China unleashes Clean Revolution

China unleashes Clean Revolution
China seizes low carbon export opportunities in clean tech race

Friday 1 August 2008 - LONDON – China is already the world’s leading renewable energy producer*and is over-taking more developed economies in exploiting valuable economic opportunities,creating green-collar jobs and leading development of critical low carbon technologies, says a newreport to be published by The Climate Group.

The report – China’s Clean Revolution - shows that China’s transition to a low carbon economy iswell underway, led by supportive government policies which are not only driving innovation in lowcarbon technologies but also diverting billions of dollars of investment into energy efficiency andrenewable energy.

The report reveals that the low carbon economy is just as attractive to developing nations likeChina, as it is for richer countries such as the UK, Japan and Germany.

China’s combination of cost advantages, a clear policy framework, a dynamic and entrepreneurialbusiness environment and abundant abatement opportunities, is proving that developing nationshave as much, if not more, to gain from investment in low carbon solutions creating green-collarjobs, social benefits and economic growth.

Despite its coal-dependent economy, the report reveals Chinese government and businesses haveembarked on a Clean Revolution that has already made it a world leader in the manufacture of solarphoto-voltaic technology (Solar PV) where its six biggest solar companies have a combined marketvalue of over USD $15 billion. Over the next 12 months, China is also set to become the world’sleading exporter of wind turbines and is competing aggressively in other low carbon marketsincluding solar water heaters, energy efficient home appliances, and rechargeable batteries.Steve Howard, CEO of The Climate Group says: “For too long, many governments, businesses andindividuals have been wary of committing to action on climate change because they perceive thatChina – the world’s largest emitter – is doing little to address the issue.

However, the reality is thatChina’s government is beginning to unleash a low carbon dragon which will power its future growth,development and energy security objectives.”
Changhua Wu, China Director, The Climate Group, says: “Far from ignoring climate change,Chinese leaders have already committed to improving energy efficiency and scaling up the growthof low carbon industries. China is beginning to pull its weight on climate change and the targetsand policies in place are in line with those being taken by ‘leading’ countries like the UK andGermany.”

Investment in renewable energy in China - almost USD $12 billion in 2007 - is almost level withworld leader Germany as a percentage of GDP. Stronger policies from the Chinese government arecreating increased demand for low carbon investment and China will require a further USD $398billion (USD $33bn per year) to meet its 2020 renewable energy goals.Steve Howard says: “China’s current trajectory will ensure it remains a strategic global hub for lowcarbon investment, innovation and growth over coming decades.”*In terms of installed renewable capacity, China leads the world, reaching 152 Gigawatts in 2007.

ENDSNotes to Editors:For more information, case studies and interviews on the report please contact:• Alfred Deng, The Climate Group (China) on +86 10 6440 3639 or adeng@theclimategroup.org• Tom Howard-Vyse, The Climate Group (Europe), on +44 (0)207 960 2991 orthoward-vyse@theclimategroup.org• Neal McGrath, The Climate Group (US), on +1 646 233 0554 ornmcgrath@theclimategroup.org