1. A Lens on China’s Climate Actions:
Progress on Domestic and International
Transparency
Michael Davidson
China Climate Fellow, Natural Resources Defense Council
November 5, 2010
China Environment Forum

2. Outline
 Integrating Domestic and Int’l MRV
 China’s Climate Commitments
 Target Responsibility System
 12th
Five-Year Plan
 International Transparency

3. Integrating Domestic & Int’l MRV
Preparation of National
GHG Inventory
Implementation of
Nationally Appropriate
Mitigation Actions
National
Communication
Domestic
Activities
UNFCCC
Processes
Implementation of
Domestic MRV
Procedures
International Consultation and
Analysis
Source: Clare Breidenich

4. Integrating Domestic & Int’l MRV
Preparation of National
GHG Inventory
Implementation of
Nationally Appropriate
Mitigation Actions
National
Communication
Domestic
Activities
UNFCCC
Processes
Implementation of
Domestic MRV
Procedures
International Consultation and
Analysis

5. Plans and Programs
Source: Teng Fei

6. China’s Climate Commitments
Energy Intensity
 Target: 20% reduction from 2005 levels by 2010
 Status: 15.6% by end of 2009
 Top-1000 Enterprises program:
Reduce energy demand by 100 million tce by 2010
Carbon Intensity
 Target: 40-45% reduction from 2005 levels by 2020
 Inscribed in Copenhagen Accord
12th
Five-Year Plan (2011-2015)
 Energy Intensity Target: 15-20% reduction likely
 Carbon Intensity Target
 New strategic industries: half in EE/RE
 Strengthen target responsibility system

7. International Pledges
 In the Copenhagen Accord, China agreed to major
actions on climate:
 Reduce carbon intensity by 40-45% from 2005 levels by
2020
 Increase non-fossil energy usage to around 15% of
primary energy consumption by 2020
 Increase forest coverage by 40 million hectares from
2005 levels by 2020
See: nrdc.org/international/copenhagenaccords/
See: china.nrdc.org/library/NRDCTianjin-side-event-reports

8. Integrating Domestic & Int’l MRV (2)
Preparation of National
GHG Inventory
Implementation of
Nationally Appropriate
Mitigation Actions
National
Communication
Domestic
Activities
UNFCCC
Processes
Implementation of
Domestic MRV
Procedures
International Consultation and
Analysis

9. Target Responsibility System
11th
Five-Year Plan Binding Targets ( 约束性指标 )
 Emissions Reductions (10% of SO2, COD)
 Energy Intensity Reduction (~20%)
“Iron Hand” – May 2010: Wen Jiabao
 Overzealous localities: blackouts, curtailing
production
 Local DRCs: reward/punishment rules
 12th
FYP draft proposal

10. Target Responsibility System (2)
Priority Targets with Veto:
Examination Index Examination Content Score
s
Energy-saving Targets (40 scores) Reduction rate of energy consumption per 10,000
yuan GDP 40
Energy-saving Measures (60 scores)
Energy-saving organizational arrangements and
leadership 2
Allocation and implementation of energy-saving targets 3
Adjustment and optimization of industrial structure 20
Energy-saving investment and implementation of key
projects 10
Development and promotion of energy-saving
technology 9
Energy-saving management of key enterprises and
sectors 8
Implementation and improvement of relevant laws and
rules 3
Implementation of basic energy-saving work 5
Total Score 100
Source: “Implementation Plan of Evaluation System of Energy Consumption per Unit GDP,” November 17, 2007

11. Target Responsibility System (3)
Scoring:
Source: “Implementation Plan of Evaluation System of Energy Consumption per Unit GDP,” November 17, 2007
Score Results
95+ "Exceeded" ( 超额完成 )
80-94 "Completed" ( 完成 )
60-79
"Basically Completed" ( 基本
完成 )
0-59
"Not Completed" ( 未完
成 )

12. “Critical” Provinces
Source: www.sdpc.gov.cn/tztg/t20100910_370628.htm
Energy-saving targets as of
July 2010:
Liaoning 
Jiangsu
Henan
Guangxi
Guizhou
Sha’anxi
Qinghai, Ningxia, Xinjiang

13. Verification Systems
Emissions Reductions
 Semi-annual
 MEP regional supervision centers - lead
 Mobilization meetings, oral reporting, document review, onsite
inspection
 Also: selected daily supervision
Energy Savings
 Energy Intensity Reductions: NBS-internal verification
 Energy-Saving Measures: NDRC-led inspection (MHURD,
MOT, SASAC, AQSIQ, SAWS, NBS…)
MHURD: Ministry of Housing and Urban-Rural Development
MOT: Ministry of Transportation
SASAC: State-owned Assets Supervision and Administration Commission
AQSIQ: General Administration of Quality Supervision,
Inspection and Quarantine
SAWS: State Administration of Work Safety
NBS: National Bureau of Statistics

14. International Transparency
China is acting because…
 China is meeting ambitious domestic commitments
and deserves credit
 Increased information exchange strengthens the
international system and builds confidence
 China’s experiences with low-carbon development
provide useful models for other developing countries

15. 12th
Five-Year Plan Proposal
 Energy and carbon intensity: binding targets
 Emphasis on:
 Energy efficiency measures
 Energy-intensive industries
 Market mechanisms
 Strategic industries (3 0f 7 directly energy-related)
 Strengthen data reporting and target responsibility
system
 Expected energy intensity target: 15-20%

16. Conclusions
China is…
 making significant commitments domestically to combat
climate change
 implementing a domestic MRV system to track progress
 willing to negotiate transparency on the int’l stage
A solution to the transparency/MRV/ICA/NatComms
Gordian knot is within reach

17. Thank you!
 Contact:
 Michael Davidson (mdavidson@nrdc.org)
 Barbara Finamore, China Program Director
(bfinamore@nrdc.org)
 Jake Schmidt, International Climate Policy Director
(jschmidt@nrdc.org)
 Read our China blogs :
switchboard.nrdc.org/blogs/issues/greening_china/
 See our new reports on China:
china.nrdc.org/library/NRDCTianjin-side-event-reports
 China-U.S. Energy Efficiency Alliance:
www.chinauseealliance.org

18. Additional Slides

19. China’s Efforts to Reduce Energy Use
 11th
Five-Year Plan
 Reduce energy intensity by 20% between 2006 and 2010
(save 700 million tons of coal equivalent)
 Top-1000 program to save 100 million tce by
2010 (263 mt CO2 reduction)
 Government financial support: 7 billion RMB
in 2007 (central/provincial)
 Officials' political career prospects dependent
in part on their energy-saving performance

20. China’s Efforts to Reduce Energy Use (2)
 Distribute 150 million energy efficient light bulbs
between 2008 and 2010
 Shut down 71 GW of small inefficient coal power
plants between 2006 and mid-2010
 Implement efficiency dispatch rules – dispatch
power plants based on coal consumption level
 Adopt energy labeling for refrigerator, air
condition, washing machine, water heater,
induction cooker, fluorescent lamp, motor,
copier, computer monitor, etc.