Contents
Contents i
List of Tables and Figures ii
Acknowledgements iii
Foreword iv
Executive Summary v
1. Introduction 1
2. The Policy and Business Environment 3
The Policy environment 3
The Business environment 11
3. Cross-Sectoral Facilitators of Change 25
Innovation and technology 25
Skills requirements of a low-carbon economy 36
Finance for low-carbon and green projects 42
Demand for low-carbon goods and services 51
4. Low Carbon – A Sectoral Perspective 60
National strengths and growth areas 60
Regional Distribution 70
Key economic activities and supply chain opportunities 77
References 110
A low carbon economy not only addresses the implications of climate change leading to an economy less reliant on carbon
emissions, it also supports a better quality of life for everyone, actively contributing towards local businesses becoming more
efficient, less wasteful and more cost effective.
A low carbon economy needs clear commitment, from supporting research and the development of low carbon technologies,
profile-raising to change behaviour, supporting modes of sustainable transport and working with businesses and communities to
address the impact of carbon dioxide emissions and energy consumption on climate change.
The NWDA is truly committed to delivering a low carbon economy for the region, exemplified by the Northwest Climate Change
Action Plan (CCAP). Developed by the region and led by the NWDA, the CCAP aims to stimulate and measure the progress of
the region towards a low carbon economy, preparing it for the challenges of a changing climate and future energy demands,
while protecting and enhancing our quality of life and rich environment.
Catalyzing strategic transformation to a low-carbon economy: A CCS roadmap for China
1. General background
1.1. Three hard truths
The energy and climate challenge facing China remains as
daunting as ever, and it is shaped by three hard truths.
The first hard truth is that China’s unquenched thirst for oil
will continue to grow. Since the ‘‘Reform and Opening Up’’ in
1978, China’s gross domestic product (GDP) and energyconsump-
tion have increased by 16 and 5 times, respectively (NBS, 2007,
2009). China mainly relies on itself to ensure primary energy
supply. In 2005, China’s energy self-sufficiency ratio was 96%, 30
percentage points higher than the average for Organization for
Economic Co-operation and Development (OECD) countries (NBS,
2008). With respect to oil supply, however, China is becoming
highly dependent on foreign supplies. China’s consumption of oil
is projected to rise dramatically during the next two decades. The
widening gap between China’s oil supplyand demand means that
China will be increasingly reliant on imported oil. As shown in
Fig.1,netoilimportsareprojectedtoincreasemarkedlyto5.1mb/
d in 2010, 7.1mb/d in 2015 and 13.1mb/d in 2030, just over
the level of US oil dependence in 2009. China’s oil import