Green energy development in china: The case of clean coal technologies

Abstract

Purpose: This study examines the three main reasons why China is primed to vigorously pursue clean coal technologies in the years ahead: (1) coal stimulates economic development, (2) improving coal efficiency can immediately reduce demand and emissions, and (3) the Large Substituting for Small program has been a success. Design/Methodology/Approach: The study uses a wide range of data, including both primary and secondary sources, to demonstrate why China will use more coal to feed its rapidly expanding appetite for energy. Projections of future energy demand and economic data are derived from the International Energy Agency's World Energy Model and the US Energy Information Administration's National Energy Modeling System. Findings: China has no scalable alternative to coal. In fact, large emerging nations, such as India and Indonesia, view China's coal utilization strategy as an example to follow in meeting their own expanding needs. Simply put, coal's unique (1) availability, (2) reliability, (3) versatility, and (4) affordability make it the fuel of choice in the developing world. Practical Implications: Looking forward, coal-based electricity can be increasingly clean through the deployment of advanced generation technologies. Energy policies to achieve sustainability must recognize that technological advancement constantly gives us the ability to utilize fossil fuels differently tomorrow than we do today. Originality/Value: This study demonstrates that developing countries see the virtue of decreasing emissions without a legally binding quantitative commitment. © Springer-Verlag London 2013.