While Donald Trump prepares to revive the coal sector in the U.S., China is ready to invest 2.5 trillion yuan ($363.28 billion) to increase the country’s renewable energy generation capacity by the year 2020, announced the National Energy Administration (NEA) in China.
NEA stated that the future investments made in the clean energy sector are considered a must due to the fact that China’s energy market makes the shift from the use of coal to the use of cleaner energy sources.
NEA said in a blueprint document that the new investment made in clean energy will create a number of 13 million new jobs in the renewable energy sector.
By the year 2020, the installed renewable power generation capacity, such as solar, wind, hydro and nuclear, will represent about half of the new electricity generation capacity in the country, said NEA.
The new investment shows that China plans to curb the use of fossil fuels in order to reduce the level of pollution that affects the North side of the country, especially during the winter.
The National Development and Reform Commission in China (NDRC), said last month in its own five-year plan that solar power will receive 1 trillion yuan ($145.31 billion) to increase the solar energy generation capacity in the country by five times, which could add a number of 1,000 major solar power plants, according to expert estimates.
The decision is somehow a normal consequence of the fact that the costs of building large-scale solar power plants has been decreased by as much as 40%, compared with the year 2010.
The wind energy sector will receive the amount of 700 billion yuan ($101.71 billion) to build additional wind farms, and the hydro power sector along with the tidal and geothermal power sector, will receive the amount of 500 billion yuan ($72.65 billion).
Even with this significant investment made to increase the renewable energy generation capacity in the country, clean power will account for only 15% of overall energy consumption in China by 2020.
In 2020, the use of coal in China will still represent about 50% in the country’s energy mix.
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