China and Climate Change SEAN WALSH FEBRUARY 24, 2010 Overview Historical Overview of Environmentalism in China Local Efforts to Combat Climate Change Unilateralism Green Industry International Negotiations China’s role Stakes The Copenhagen Accord and Current Proposals Future Outlook History of Environmentalism in China Early dynasties believed it was the rulers job to protect against natural disasters large element of environmental stewardship Environmental issues did not become a problem until roughly the 19th century market started to control business more than the state 400 million population Energy and agricultural needs began the environmental decline Cumulated in Mao’s dictum to conquer nature in the 1950s and several ecologically disastrous development projects More Recent History First national conference on environmental protection held in 1973, followed by a national environmental protection agency in 1974 Serious official concern did not begin until 1996, when the environment first figured prominently into one of China’s 5 year development plans (the 9th) China’s Unilateralism 45% emissions intensity drop relative to 2005 by 2020, 20% renewable energy goal by 2020 Increase forest coverage by 20% by 2010 from 2005 levels & bioengineer low emission, high yield rice Active campaign to raise energy efficiency (behavior and products) and R&D into new energy sources Over 50 bln Yuan spent in 2008 alone to build up water reservoirs and water efficiency Coastal and wildlife preservation plans as well Green Industry – Solar and Wind • Use the ‘greening’ process to further development? • China aims to become a global leader in solar – – – – Currently accounts for over 40% of global supply of solar cells and film Industry sales measured in at 150 billion Yuan in 2008 Relatively sparse use of solar domestically as of yet Technology developing at rate to reduce cost to match conventional power by roughly 2013 • Domestic use of wind goal of 135 GW by 2020 – – – Currently 13 GW installed within ~800 GW total power base Annual industry growth rate over 100%, pre crisis, and roughly 43% currently; local demand increasing 10% annually Heavy subsidies for both power itself and R&D China in the International Negotiating Process China entered into the international climate change negotiating process in the Rio Earth Summit China in key international environmental discussions Montreal Protocol ratified in 1991 Rio Earth Summit in 1992, where the UNFCCC was created Observer to Kyoto Protocol in 1997 Copenhagen Accords Stakes for China in the Negotiations – trade & development Trade and climate change cannot be dealt with independently of each other Border measures, carbon embedment, etc. Trade is a very large part of China’s growth Pre crisis, 30% of Chinese GDP was exports Development-wise, China must minimize the emissions it is responsible for China must still act to reduce emissions Sustainability of growth and health Stakes for China in the Negotiations – energy & development Local development of solar and wind power Green development at home and new export potential May bring power to more rural areas of China, once developed Coal Principle source of energy for China for foreseeable future Thus, CCS technology critical for China IP regime globally is important in this way especially COP15 in Copenhagen Brief Overview of the Copenhagen Accord Agreement between the US and the BASICs, expanded to other countries First cross developed-developing country agreement on climate change Emissions reduction based on unilateralism Preserves Kyoto commitments and furthers them Not endorsed or adopted by the UNFCCC officially No mention of trade issues Key Copenhagen Accord Proposals for China Unilateralism as multilateralism The Copenhagen Green Climate Fund Technology Mechanism Future Outlook for Negotiations • Venue of the negotiations? • Technology Mechanism and CCS • Locally if not globally? • Funding • Global dominance of Chinese solar? – Internal Chinese development via solar and wind • Continued unilateralism in China Thank You Sean Walsh swalsh@cigionline.org