China’s Cheaper Coal Seen Slowing Switch to Cleaner Natural Gas
- Government aims to raise gas share of mix to 10% by 2020
- Gas use needs to grow more than 10% annually to meet target
This photo taken on November 15, 2010 shows people working at a coal mine in Huo Lin Guo Le, China's north Inner Mongolia region. China appeared November 19 to soften its stance on a sticking point in UN climate change negotiations, the issue of verifying developing countries' emissions reductions. Beijing does not 'believe that increasing transparency will be a problem,' at global talks opening later this month in Mexico, said Huang Huikang, the Chinese foreign ministry's representative at the talks. AFP PHOTO / Gou Yige (Photo credit should read GOU YIGE/AFP/Getty Images)
Photographer: Gou Yige/AFP via Getty ImagesChina’s effort to promote natural gas over coal to cut pollution is facing resistance from buyers who prefer cheaper to cleaner.
The world’s largest energy consumer seeks to raise the share of less-polluting natural gas to 10 percent of its energy mix by 2020 from 6 percent last year. Yet even with the government cutting the cost of gas, it remains almost three times more expensive than coal when used to generate electricity. That’s putting a damper on the switch from a fuel that now accounts for more than 60 percent of demand.