Wood Mackenzie’s latest analysis shows more than $5 trillion of investments would be needed for China to reach its pathway for carbon-neutrality by 2060.
“It is definitely a colossal task for a country using 90 percent hydrocarbons in its energy mix and annually producing more than 10 billion tons of [carbon dioxide emissions], and in addition, accounting for 28 percent of global total emissions,” said Prakash Sharma, Wood Mackenzie Asia Pacific head of markets and transitions. “In our Accelerated Energy Transition — AET-2 — scenario, China’s emissions peak immediately and enter a period of rapid decline, reaching net-zero slightly after 2050. This is achieved by wide-scale electrification of transport, heating and industry as well as deployment of carbon capture use and storage.”
For China to reach its goal, Wood Mackenzie estimates solar, wind and storage capacities will have to increase 11 times to 5,040 gigawatts by 2050 compared to 2020 levels. Coa