ABSTRACT

Under the city–countryside dual structure, the existing building governance system in China differentiates between urban and rural areas. When updating building regulations and related policies to meet challenges in the built environment, it is essential to develop different strategies for different locations according to local circumstances, requirements and capabilities. Based on two research projects, this article examines the mechanisms and strategies for promoting building energy conservation in rural China from the perspective of economic governance. The challenges and potentials of building energy conservation in rural China are analyzed. The essence of the governance paradigm is briefly reviewed. A three-level analysis framework is developed in which markets, governments and the third party (professionals and others) play complementary roles in regulating stakeholders’ behaviour. A key question addressed is how to create a favourable institutional environment in which people are willing to do the right things. Different strategy portfolios are proposed for different levels, including technology strategy, financing strategy, as well as regulations and incentive policies. In conclusion, there is no ‘best’ but rather the ‘most suitable’ approach to building governance. In this light, the principle of discriminating alignment and the multilevel analysis approach provides conceptual insights.