China Targets Heavy Industry, Vehicles, Coal for 2015 Carbon Cuts

Bloomberg BNA — China announced a plan to conserve energy and cut greenhouse gas emissions through the end of next year by targeting heavy industry, automobile emissions and coal consumption in major metropolitan areas around Beijing, Shanghai and the Pearl River Delta in southern China.

In a May 27 statement, National Development and Reform Commission Chairman Xu Shaoxi declared a “sense of urgency” to meet the goals, which include cutting energy intensity per unit of gross domestic product by 3.9 percent in each of the next two years and reducing carbon dioxide intensity per unit of GDP by over 4 percent this year and 3.5 percent in 2015.

The announcement of relatively short-term goals to run through the end of 2015 may feed into China's attempt to reach national goals under the 12th Five-Year Plan (2011-2015). Announced in 2011, those goals were to reduce energy intensity by 16 percent and carbon intensity by 17 percent—both compared to 2010 levels—by the end of 2015.

In the first three years of the current five-year planning period, China reduced energy intensity by 9.03 percent compared to 2010 levels, Xu said.

Businesses Targeted

Xu said China would “curb” excessive industrial growth in part by shutting some outdated production facilities and older coal-fired boiler systems and by curtailing some industries, including iron, steel, electrolytic aluminum, cement and plate glass.

China hopes to remove from its roads 6 million older vehicles that do not meet current and forthcoming fuel efficiency standards in their locations.

By the end of 2015, it expects cleaner China V gasoline and diesel to be available in the three key air pollution control regions around Beijing, Shanghai and the Pearl River Delta. The new fuels would have a maximum sulfur content of 10 parts per million.

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