An evaluation of applying imported solutions to achieve energy reduction targets for China’s 13th five-year plan

Abstract

The People’s Republic of China (China) is the biggest sole polluter in the world, contributing nearly 30 percent of the world’s pollution. The biggest single polluting sector in China is the heavy industry sector. One of the heaviest polluting heavy industries is the iron, steel and mining industry that uses 50 to 80 percent of coal as their energy source. Since the iron, steel and mining industry is a main sector of energy consumption, the efficiency of energy conservation in this industry will affect the future prospects of energy savings. The 13th Five-year plan for economic and social development of the People’s Republic of China (2016-2020) aims to reduce the energy usage among the heavy industries in the People’s Republic of China. According to the 13th Five-Year Plan and relevant sub-policies under the plan, the energy reduction targets are mainly to be accomplished with domestic technical solutions. This is despite the fact that production efficiency in the iron steel and mining industry in China lags behind international standards. This study is trying to build a more comprehensive analysis on how the policy implications on achieving the energy reduction targets in the iron, steel and mining industry change the market landscape for international companies in China and therefore affect in applying imported solutions to achieve energy reduction targets for China’s 13th Five-Year Plan.