Discussion

The introduction of the renewable energy law in 2006 at the eve of the 11th FYP proved critical to expanding and diversifying renewables development. It created a far more robust legislative basis for business investment and established national standards for RE technologies and production (NEB 2008). This was complemented by the medium and long-term development plan for RE, implemented from September 2007. The plan set out China’s ambitious targets for multi-sector RE development to 2020 and backed up with US$263 billion of public investment. Even greater government stimulus was provided in the 12th FYP (2011-2015) that included a RMB4 trillion (US$610 billion)- funded programme to promote seven strategic emerging industries (SEIs) for ‘clean’ development and a ‘new industry base’, namely: new energy, new generation information and communications technology, energy-saving and environment protection, biotechnology, high-end equipment, new materials and alternative energy cars. Renewables are specified as a key component of the ‘new energy’ SEI sector that in addition included nuclear power. Under the SEI programme, China plans to enhance its new technological and innovation capabilities in wind energy and solar PV as part of a broader strategy of transforming China from a ‘world factory’ into an ‘innovative hub’ economy. The 2012 energy policy white paper reaffirmed the government’s commitment to vigorously develop renewables as ‘a key strategic measure for promoting the multiple and clean development of energy, and fostering emerging industries of strategic importance’ (State Council of China 2012, 11).