Energy policy and energy efficiency

Programme description

Title: Energy policy and energy efficiency programme
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: China
Lead executing agency: National Energy Administration (NEA)
Overall term: 2009 to 2013


With its CO2 emissions exceeding three billion tonnes, China already ranked second among the major CO2 producing nations worldwide in 2006 and now tops the list. Inefficient utilisation of electric power and fossil fuels in China’s energy sector causes excessive environmental and climate impacts and increased consumption of resources. The root cause of this inefficiency is the lack of technical expertise, particularly at intermediate and lower administrative levels. There is a shortage of integrated perspectives and holistic approaches. Extensive legislation enacted to protect the environment has not taken hold as envisaged due to the lack of effective and timely feedback and correction mechanisms for ensuring its implementation. Even today, too little use is made of market economy-based steering instruments (such as tariffs, duties and taxes) to create incentives to save resources and employ environmentally benign technologies.


The energy policy of key institutions at national and sub-national level is oriented toward principles of sustainability. Measures for increasing resource and energy efficiency are being successfully implemented.


The common goal driving the programme’s four components, which each function as independent units, is to contribute to sustainable utilisation of energy in China’s industrial sector. A variety of approaches is chosen within each of the components in collaboration with the relevant partners. New regulations, guidelines, strategies and approaches are being developed to bring the different coke production plants together in ‘coking parks’ to facilitate more efficient use and processing of by-products. The programme implements training measures enhancing the advisory capacities of the institutions involved. In future, energy auditors and energy managers will be in a position to provide advice independently within and for the company.

The programme gives the Chinese partners access to external expertise and tailored advisory services offered by distinguished German experts working in business, politics, research and consultancy. These services are provided with the help of a number of organisations, including the Fraunhofer Institute for Systems and Innovation Research ISI in Karlsruhe, Germany, EnergyAgency.NRW, Heidelberg University, the Siemens Industrial Solutions and Services Group and the companies DMT, Uhde and RAG Montan Immobilien.

Results achieved so far

Several staff working for the STATE GRID Corporation of China (SGCC) who received practice-oriented training and carried out energy analyses jointly with German firms of consultants are now able to provide advisory services within the company. Furthermore, additional advisory teams are being developed around the staff who took part in the initial training sessions. In future these teams will advise companies in every province in the country (multiplier effect).

The direct-controlled Municipality of Chongqing is currently drafting its 12th Five-Year Plan, taking into account the findings of studies and related proposals. The assumption is that at least three or four of these proposals will be included in the city’s new Five-Year Plan.
In collaboration with German institutions, energy consumption standards are being developed for four energy-intensive industrial sectors that are to be integrated into the administrative regulatory framework with effect as of May 2011.

In Shanxi Province, a model concept for a ‘coking park’ has been developed and adapted to the situation in the pilot area, Gujiao. These ideas have been incorporated into the development planning for the City of Gujiao and form part of the 12th Five-Year Plan.

The model concept focuses on the technical processes adapted to the pilot region to establish a standardised coking park with a production capacity of 10 million tonnes of coke, including extensive facilities for processing the by-products.