Annual Review of Low-Carbon Development in China (2011-2012)

During the 11th Five-Year Plan, China reduced its energy intensity by 19.06% compared to a 2005 baseline, primarily through the adoption of cleaner technologies and economic structural changes. While administrative and incentive instruments significantly reduced CO2 emissions, total emissions grew by 33.6%, making China the world's largest greenhouse gas emitter. The report highlights that while large enterprises and local governments implemented energy-saving measures, small- and medium-sized enterprises lagged behind, and regional competition often prioritized GDP growth over carbon reduction. Looking toward the 12th FYP, the document warns that rising marginal costs and rapid urbanization will make achieving new energy and carbon intensity targets more challenging.

• China nearly met its 11th Five-Year Plan target of a 20 percent reduction in energy intensity against a 2005 baseline, achieving a 19.06 percent reduction. This resulted in avoided carbon dioxide emissions of 1550 Mt CO2, although total emissions increased by 33.6 percent, establishing China as the world's largest greenhouse gas emitter.
• Technological advancements and structural economic shifts were the primary drivers of low-carbon performance. Cleaner technologies accounted for approximately 69 percent of the 630 Mtce energy reduction, with focus areas including wind and solar energy, carbon capture, utilization, and storage, and higher-efficiency coal-fired power plants. Structural changes accounted for 23 percent (143 Mtce) of the reduction, though the rapid growth of the industrial sector and the migration of energy-intensive industries to western and northeastern China partially offset these gains.
• China utilized a combination of policy instruments and massive financial investment to meet targets. Incentive instruments were the most effective, reducing emissions by 777 Mt, followed by administrative instruments (473 Mt) and market instruments (15 Mt). Between 2009 and the end of the 11th FYP, China became the world's largest investor in clean energy and energy efficiency, with a cumulative investment of 2.59 trillion yuan (398.8 billion USD).
• Implementation of low-carbon goals varied by actor. Local governments used target accountability systems and energy conservation funds, but often prioritized GDP growth due to regional competition. Large enterprises successfully reduced energy intensity using green credits and internal financing, whereas small- and medium-sized enterprises were limited by a lack of government support.
• Carbon emissions from transport and building operations grew more rapidly than total emissions, increasing by over 41 percent from 2005 to 2010 and accounting for roughly 30 percent of total emissions in 2010.
• Achieving the 12th FYP targets—a 16 percent reduction in energy intensity and a 17 percent reduction in carbon intensity—is expected to be difficult. Challenges include the exhaustion of easy energy-saving gains ("low-hanging fruit"), rising marginal costs, rapid urbanization, and the scale of national energy demand.

APA

Climate Policy Initiative (2012). Annual Review of Low-Carbon Development in China (2011-2012). https://www.climatepolicyinitiative.org/wp-content/uploads/2011/11/China-Country-Study-ES-Updated.pdf

Chicago

Climate Policy Initiative. Annual Review of Low-Carbon Development in China (2011-2012). 2012. https://www.climatepolicyinitiative.org/wp-content/uploads/2011/11/China-Country-Study-ES-Updated.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Annual Review of Low-Carbon Development in China (2011-2012) |date=30 January 2012 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2011/11/China-Country-Study-ES-Updated.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2012annual, author = {{Climate Policy Initiative}}, title = {{Annual Review of Low-Carbon Development in China (2011-2012)}}, institution = {Climate Policy Initiative}, year = {2012}, month = jan, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2011/11/China-Country-Study-ES-Updated.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }