Managing the Countrys Energy Crisis in China - Case Study Example

Energy Crisis in China The main reason why china is currently facing energy problem, a problem that is likely to be part of its future, is its great economic development. Ultimately, such great economic developments need magnitudes of energy. During development, Energy will be needed in all areas of development including transportation and communication. Presently, China is largely using electricity and coal power that are insufficient to meet the growing energy demands during this period of economic development. Generally, energy shortage is a threat to any developing country or economy, and usually hinders the improvement of living standards of inhabitant of those countries and economies. Notably, China’s gross industrial production is postulated to have been growing nearly at a rate of twenty percent annually. Therefore, this industrial growth demands sufficient energy supply. The energy shortage in China does not only affect the urban or industrial sector but also has serious effects on the rural areas (Special Report 4). Nearly 170 million farm households suffer acute energy shortage for about three and six months a year. Currently, China’s problem is to increase energy supply; however, there are fewer efficient solutions to this stalemate. Notably, most of China’s solutions to its energy problems put the country in other greater problems including environmental pollution and human safety. Nonetheless, the Chinese lawmakers and other leaders must work out the energy problem facing the faster growing economy (Economy 275). Presently, China produces the largest percentage of energy from dirty coal. China produces about 610 billion tons of coal making it the third largest producer of coal in the world after the United States and Soviet Union. Moreover, China produces about 6.8 to 7.0 billion tons of oil that puts it in the eleventh position and twenty third in the natural gas production with 230 billion cubic meters, and the number one producer of hydraulic reserves of about 680 million kilowatt (Economy 275). Environmental problem in China, that affected the entire globe atmosphere, is energy related. From energy production from coal, China emits a large amount of carbon dioxide into the atmosphere from burning coal or fossil fuel in producing energy. In fact, china is the largest world emitter of carbon dioxide into the atmosphere, another problem comparable to its energy problem. In reducing energy problems, Beijing released a five-year plan, between 2005 and 2010, aimed at reducing energy intensity by a bout twenty percent (Economy 277). This plan was ambiguous and unrealistic in the sense that China has been anywhere close to meeting the goals set by the Beijing policy. In fact, by the end of the 2006, china had only managed to reduce its energy intensity by about 1.23 per cent and the year 2007, it had only managed 3 per cent reduction in the energy intensity (Economy 281). It is crucial that China’s leadership to act in managing the country’s energy crisis since if a problem is not solved if may worsen in the future. As a fact, China lags behind among the western countries in term of energy efficiency. According to the United States Energy Information Administration, China’s energy intensity by the year 2005 was at 35,766 British thermal per U.S dollar. Nonetheless, the energy crisis in china should not be viewed as if the Chinese government is not concern. Notably, Beijing has initiated numerous policies to promote energy efficiency (Special Report 5). One of the Beijing policies include comprehensive climatic change program. Therefore, the Chinese leadership must ensure that the already established policies to resolving energy problems are made enacted into law. Other Beijing policies include the demand on the government to initiate customer’s own audit systems and programs for the largest one thousand industrial consumers to facilitate the realization of efficient energy standards (Weller 67). It is worth noting that the industrial consumers forms the largest energy consumer and accounts for over one third of China’s energy demands. The customer’s own audit systems and programs policy are not practical because the energy of a country cannot be left in for a private sector to manage or regulate for instance, the consumers. If this policy is enacted, it might lead to adverse problems than the already existing problems (Wu & Ed 255). However, most practical policies that should be implemented include the need of the government agencies to purchase energy efficient products while improving building efficiency particular in the hotel industry in the cold northern regions. Other policies that should be implemented include discouraging investments in energy efficient industries including cement and steel production industries, deterring loans on projects, and eliminating rebates (Wu & Ed 257). The above policies will somehow reduce the future looming energy shortage in china. The high and ever growing electricity demand in china is pegged on its accelerating development especially in the steel, machinery, and manufacturing sectors (Guldan 294). Therefore, any policy that will discourage investments in these sectors will greatly reduce the intensive power demands thus reducing the energy burden on the Chinese government. According to the State Information Report Center and china’s National Bureau of Statistics, if China does not regulate its industrial growth then it will face more devastating power shortage in the future (Guldan 295). China’s high rate urban growth should be regulated to help reduce energy demands. The tall buildings that form most of the Chinese houses need high electricity demand in lighting them. Therefore, China should both stop or reduce investments in such housing units and initiate housing development with low energy demands (Guldan 294). From China’s Ministry of Construction records, the urbanization rate in China between 1978 and 2002 was more than double and indicated an increase from 17.92 to 39.1 percent (Berkof 18). By the end of the year 2002, China had six hundred and sixty cities and 20,600 towns that were combined its five hundred and two million people. The fast rate urbanization is a threat to China’s energy consumption in that, it leads to increase in number of houses as well as increase in the use electronic consumer goods and cars. All these elements of urbanization lead to increase in the per-capita energy consumption. As China is struggling to reduce its increasing crisis in its energy sector, more problems energy rated issues like environment are emerging (Berkof 22). China largely consumes energy produced from coal. China burns dirty coal to produce energy for domestic consumption (Weller 238). In addition to coal, China relies heavily on the importation of oil that adversely contributes to greenhouse gases. Since the atmosphere is not personalized, the gases produced in china spread to other parts of the world (Weller 241). According to an international agreement in the greenhouse gases emission, each country should regulate it carbon dioxide emission into the atmosphere. However, such international agreements are relatively vague in that they have never efficiently achieved any of their targeted goals and objectives. That is, they do have a form of punishment for the nations, which do not attain or rather go contrary to the set objectives or goals. China has not yet signed the international agreement to reduce its carbon emission; thus, is not bound to the carbon dioxide emission regulations (Weller 239). Therefore, until such a time that it will sign an international agreement on the same, any pressure to reduce its carbon dioxide emission will be fruitless unless it takes a self-initiation in regulating the carbon emission. Once Chandler said, "They (international community) set ambitious goals, and if they miss they recalibrate the goals." He added that, "Its remarkable to me that theyve done as well as they have." That is, the International Community, which China is a member, should initiate effective goals and objects towards guarding the environment. Moreover, such goals should define and emphasize on the penalty (that must be achievable) that countries that do not adhere to the agreement are to face (Milleson 204). Nuclear energy is another source of power in China. The nuclear energy has numerous challenges such as a threat to safety and environmental concerns. China has not fully developed in the nuclear technology, thus heavy investment in nuclear energy in this country possess safety threats. Moreover, the nuclear energy has increasingly posed serious environmental problems and energy security concerns (Chinas Building Transition 1). The Chinese lawmakers have resorted to nuclear technological solutions to help curb the looming nuclear challenges (Milleson 207). However, the nuclear energy problems in china are still reckoning since the nuclear energy sector lacks effective checks and balances. Additionally, there are many uncertainties over the nuclear power technological roadmap. That is, China should short term nuclear expansion should only focus on the nuclear stability (Milleson 203). In addition, if china does not improve on nuclear technology as per it 2020 plans, it should therefore, not invest heavily on nuclear power since such investment will lead to more safety threats and huge environmental challenges. Works Cited Economy E. The river runs black: the environmental challenge to Chinas future. New York: Cornell University Press, 2010. Print Guldan G. S. "Chinas Infant Child-Feeding Transition." Paradoxes Of Plenty (2009): 294. Print Berkof J. "China: The South–North Water Transfer Project—is it Justified?" Water Policy 5 (2003) 1–28 (2003): 1-27. Print Milleson D. "A Snapshot of Chinas Hazardous Waste Management and Cleaner Production Programs." Reviving the Scorched Earth (2009): 202-208. Print Special Report. "Is Hydroelectric Development an Opportunity, or a Catast?" The `War Between Fire and Water´ Continues (2011): 1-7. Print Weller R. P. Discovering nature: globalization and environmental culture in China and Taiwan. Cambridge: Cambridge University Press, 2006. Print Wu C, & Ed. "Water Pollution and Human Health in China." Research Review (1999): 253-259. Print Read More