『Abstract
Beginning in 2006, China experienced a rapid growth in its renewable
energy resources, particularly wind power, placing it among the
world's leading countries in terms of renewable energy installation
and generation. This growth was greatly enabled by the renewable
energy policy framework created by its landmark Renewable Energy
Law, passed in 2005 and amended in 2009, which established key
policies including: national renewable energy targets; a mandatory
connection and purchase policy; a national feed-in tariff system;
and arrangements for cost-sharing and funding of renewable energy
incentives.
This paper describes the mechanisms established by the Renewable
Energy Law and its implementing regulations, as well as the challenges
China continues to face in improving its renewable energy policy
framework to improve integration and utilization of renewable
energy sources. It also provides a comparison of the Chinese renewable
energy policy framework with those in the European Union and United
States. Finally, the paper provides recommendations for improving
implementation of the Renewable Energy Law, with regard to implementing
a renewable power quota system and priority dispatch policy, developing
technical standards for connection or renewable resources with
the grid, development of a more advanced feed-in tariff system,
and central-local coordination of renewable energy development.
Keywords: China; Renewable Energy Law; Feed-in tariff』
1. Introduction
2. Key mechanisms for renewable energy development under the Renewable
Energy Law and its implementing regulations
2.1. National renewable energy targets and renewable energy
planning
2.1.1. Use of a renewable power quota system to address challenges
in implementing renewable power targets
2.1.2. Increasing central government oversight of renewable
energy planning under the Renewable Energy Law
2.2. The mandatory connection and purchase policy and improving
integration of renewable power into the grid
2.2.1. Changes in the 2009 amendments requiring renewable generators
to meet technical standards
2.2.2. Priority Dispatch of Renewable Power
2.3. Feed-in tariffs and other renewable deployment incentives
2.4. Cost sharing and fund allocation under Renewable Energy
Law
2.4.1. Streamlining the fund collection and distribution process
3. Comparisons with the EU and US renewable energy policy frameworks
3.1. The EU's renewable energy legal and policy framework
3.2. The United States' renewable energy legal and policy framework
4. Recommendations for strengthening implementation of the Renewable
Energy Law
4.1. Implementation of the renewable power quota system
4.1.1. Interactions between the renewable power quotas and FITs
and preserving a diverse renewables portfolio
4.1.2. Tracking Compliance with the Renewable Power Quotas and
Piloting REC Trading Programs
4.1.3. Strengthening compliance with the quotas through sufficiently
strong penalties
4.2. Improving integration of renewable power through priority
dispatch, defining conditions for permissible curtailment, and
development of technical standards
4.2.1. Grid operation issues raised by priority dispatch
4.2.2. Defining permissible curtailment conditions and appropriate
compensation to generators
4.2.3. Limiting contractual arrangements allowing curtailment
4.2.4. Developing technical standards for interconnection
4.3. Developing a more advanced FIT system and distributed generation
policies
4.4. Coordinating renewable energy planning and allowing for
provincial incentives
5. Conclusion
Acknowledgments
Appendix A
References