China has sharply reduced its approvals for new coal capacity this year compared to 2023, according to a report from the Finland-based Centre for Research on Energy and Clean Air (CREA). This reduction indicates a shift towards greater reliance on wind and solar power.
CREA highlighted that new renewable energy installations are now sufficient to meet all additional power demands, suggesting a potential policy shift by the central government. Greenpeace East Asia’s recent report echoed this, noting a nearly 80% decrease in new coal capacity approvals in the first half of the year, with only 10.3 gigawatts (GW) authorized.
In contrast, wind and solar energy have seen significant growth, surpassing coal in total installed capacity—11.8 terawatts (TW) versus 11.7 TW. CREA emphasized that this marks a strategic pivot, with clean energy becoming central to China’s energy and economic policies.
Despite these advancements, coal still dominates China’s energy mix, constituting 71% of the total as of 2023, a slight decrease from 73% a decade ago. The proportion of coal usage briefly fell to 53% in May but rose to 65% in July.
While CREA views the reduction in coal approvals as a clear move towards renewables, Greenpeace remains cautious. Gao Yuhe, project lead at Greenpeace East Asia, questioned whether the slowdown is due to a saturation of approved coal projects or a broader, long-term transition away from coal.
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