China is constructing nearly double the amount of wind and solar power compared to the rest of the world combined, according to a recent report by Global Energy Monitor (GEM).
The report, released on Thursday, reveals that China has 180 gigawatts (GW) of utility-scale solar power and 15GW of wind power currently under construction. This totals 339GW, significantly surpassing the 40GW being built in the US.
GEM’s analysis focused on solar farms with capacities of 20MW or more, which connect directly to the grid.
Therefore, China’s total solar capacity could be even higher, as smaller solar farms make up about 40% of its solar power infrastructure.
These findings highlight China’s leadership in global renewable energy production, even as the US grows increasingly concerned about Chinese overcapacity and dumping, particularly in the solar sector.
China’s renewable energy surge has been driven by substantial government support.
President Xi Jinping has emphasized the need for “new quality productive forces,” aiming to steer China’s economy towards technology and innovation, including the enhancement of green manufacturing.
Between March 2023 and March 2024, China installed more solar power than it had in the previous three years combined and outpaced the rest of the world in 2023.
According to GEM analysts, China is on course to reach 1,200GW of installed wind and solar capacity by the end of 2024, six years ahead of the government’s target.
“The unabated wave of construction guarantees that China will continue leading in wind and solar installation in the near future, far ahead of the rest of the world,” the report stated.
However, experts warn that more renewable capacity is needed for China to meet its goal of reducing the carbon intensity of its economy by 18%, a key factor in cutting emissions.
Carbon intensity measures the amount of CO2 released per kilowatt hour of electricity produced.
Previous analysis suggests that China must install between 1,600GW and 1,800GW of wind and solar energy by 2030 to achieve its target of generating 25% of all energy from non-fossil sources.
Between 2020 and 2023, only 30% of the growth in energy consumption was met by renewable sources, falling short of the 50% target.
“It is obviously important for China to keep on adding more renewable energy to meet its targets,” said Li Shuo, director of the China Climate Hub at the Asia Policy Institute in Washington DC.
“But it’s not as simple as you just keep building and it will be solved … [because] there is no sign that the country is trying to steer away from its coal consumption.”
Despite a 2021 pledge to “strictly control” new coal power, approvals for new coal plants increased fourfold between 2022 and 2023 compared to the previous five-year period.
This growth in coal consumption has been driven by concerns over energy security, influenced by geopolitical tensions and major power outages in China.
China’s power grid still relies heavily on coal to manage the intermittency of renewable energy.
However, clean energy sectors have become the main driver of China’s economic growth, contributing to 40% of GDP expansion in 2023.
Analysts emphasize the need for improved storage and grid flexibility to effectively use the growing volume of renewable energy.
Recognizing this, the Chinese government has prioritized lithium-ion batteries as a key technology for high-quality growth, alongside electric vehicles and solar panels.
In 2023, $11 billion was invested in grid-connected batteries, a 364% increase from 2022.
The GEM report also highlighted China’s efficiency in executing planned renewable energy projects.
The 339GW of wind and solar power currently under construction represents one-third of proposed projects, far exceeding the global construction rate of 7%.
“China’s renewable energy pipeline is two times larger than the rest of the world,” Li said.
“But the question we should increasingly ask ourselves is, how come the rest of the world is so slow?”
