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5-6 april 2004: EU-China High Level Conference on Renewable Energy Policy and Project Financing


Background

As the foreseen rapid economic growth in China in the future, energy demand will increase to satisfy the economic development. With rich renewable energy resources in the country, pursuing significant development of renewable energy will contribute to the optimisation of energy structure, improvement of energy efficiency, environmental quality and mitigation of GHG emissions.

Due to insufficient technologies, lack of awareness, inadequate regulatory conditions, absence of political support, insufficient institutional capacities and lack of financial means, most renewable resources, with the exception of large hydropower, are still untapped in China.

EU countries have gained large experiences in recent years in a variety of RE technologies (mainly photovoltaic, solar thermal, large-scale wind energy, biomass and biofuels) by strengthening R&D supports and adopting favourable conditions (laws, financial and fiscal incentives, norms and standards, training) for the market stimulation of such technologies. EU is strongly interested in the transfer of know-how and technologies using RE resources to other countries, specifically in the developing countries.

The Clean Development Mechanism (CDM) is such a mechanism which can link the industrialised and developing countries together to combat the climate change. It intends to assist developing countries achieve sustainable development by providing incentives for industrialised countries to invest cost-efficient GHGs reductions projects in these countries. The developed countries can receive some credits by investing and implementing GHGs emission reductions projects in the developing countries, then use these credits to fulfil their legally binding quantitative obligations laid down in the Kyoto Protocol.

China has a large potential to implement CDM projects. The technologies, which can improve the air quality while reducing CO2 emission, will have more advantages. These technologies include wind power, solar energy, biomass and geothermal energy. However, some barriers to technology transfer under the CDM should be considered. Under the EU-China partnership in CDM implementation project, a number of activities were designed to tackle these barriers in order to increasing European public and private sector involvement in renewable energy project in China. The high level conference is one of the numbers of implementation activities.

Objectives of the high level conference

· To promote the dialogue between the EU and China on renewable
  energy policy formulation and experience;

· To assist the European countries in achieving compliance with
  emission limitation and reduction commitment, and to assist
  China in achieve sustainable development and contribution
  the ultimate objective of Kyoto Protocol;

· To enhance the transfer of renewable energy technology and
  know-how between EU member states and China;

· To improve the regulatory , normative and administrative
  framework conditions forrenewable energy use through transfer
  of experience on energy policy issues;

· To increase awareness among European investors and to promote
  private investment in renewable energy in China under the
  support of CDM.

Target groups

The key barriers in developing CDM projects are existing domestic/legal/institutional frameworks, short of financing sources to execute projects, limited understanding of the opportunities that CDM represent for China, limited capacity among various stakeholders to formulate and implement CDM policy and projects. Therefore the conference has to target the groups: politicians, state Administration, academic experts, private sector decisions makers and managers.

Main contents of the conference

Day one

Morning

  Opening ceremony

  Session 1 Renewable development policy and climate change

   · Renewable energy policy and best practices in EU
    countries

   · Renewable energy development trend, policy, issue and
    barrier in China

   · Questions and discussions

  Afternoon

  Session 2 Renewable energy technology and industralization

   · Renewable energy technology and industrialization in EU
    countries

   · Renewable energy technology and industrialization in
    China

   · Questions and discussions

  Session 3 CDM policy and implementation

   · CDM progress, technology transfer opportunity and
    mechanism

   · CDM policy, implementation and priority technology areas

   · CDM policy, priority area and technology demand in China

   · Questions and discussions

  Day two

  Morning

The Clean Development Mechanism is a mechanism that links industrialised and developing countries together to combat the climate change. The high level conference in China will be a great opportunity for public and private sector to participate in.
  
  Session 1 Potential CDM projects in renewable energy field

   · EU’s CDM project demand in China

   · Potential CDM projects in renewable energy field in
    China

   · Questions and discussions

  Session 2 CDM project development cycle and financing

   · project selection criteria

   · project assessment criteria

   · cost analysis and risk assessment

   · financing approach

   · Questions and discussions

  Afternoon

  Session 3 CDM practice and case study

   · CDM practice and case study in EU

   · CDM practice and case study in China

   · Questions and discussions

Expected results of the conference

   · understanding of renewable policy, experience,technology
    and CDMdemand from EU countries;

   · understanding of renewable policy, experience,technology
    and CDM priority from China;

   · increase the awareness and capacity of realizing CDM
    business opportunities by EU and Chinese side

   · a meeting report

Time of the conference

The conference will take two days, in the occasion of the Asian Renewable Energy Conference (REAsin 2004) on 5-6 April 2004 in Beijing.

Venue

To be determined

Joint organisation of the conference

The project partner organisations:

BEA (Berlin Energy Agency), Germany

ENEA (Ente per Le Nuove Technologie, L’ Energie E L’ Ambiente) Italy

ERI (Energy Research Institute, National Development Reform
Commission) China

GIEC (Guangzhou Institute of Energy Conversation), P.R. China

Inwent, Germany

LDK (Consultants Engineers and Planners), Greece

Novem (Netherlands Agency for Energy and the Environment), the Netherlands

Contact information

China:

Ms Hu Xiulian

Energy Research Institute,

The State Development Planning Commission.

Building B1415, Muxidi Beili 11A;

Beijing 100038, P. R. China

Tel: 86-10-68002615

Fax: 86-10-68002674

Outside of China

Ms Li Hua

NOVEM

Swentiboldstraat 21

6137 AE Sittard

The Netherlands

Tel.:+31-46-4202288

Fax:+31-46-4528260

Sponsors

European Commission, Synergy programme

Ministry of Science and Technology

The Ministry of Economic Affairs of the Netherlands

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