Business Sentiments Survey of China’s Low-Carbon and Energy Policies
Summary
This report presents the results of a 2014-2015 survey of 230 manufacturing companies across 16 Chinese provinces to assess business sentiments regarding low-carbon and energy policies. It identifies significant gaps in policy awareness and technical capacity, particularly among small and medium-sized enterprises (SMEs), and highlights administrative burdens and uncertainty over technology as primary barriers to the adoption of energy-saving measures.
Key insights
- There is a significant disparity in the adoption of energy and emission management systems based on company size. While 82% of large energy-using facilities (consuming >10,000 tonnes of coal equivalent annually) have energy targets, this figure drops to less than 20% for facilities using less than 5,000 tonnes of standard coal equivalent per year.
- Greenhouse gas (GHG) inventories are underutilized, with 61% of the surveyed sample having no GHG emission inventory in place. Barriers to implementation include concerns over data confidentiality, a lack of expertise in accounting methodologies, and a perception that GHG reporting is a low priority for the government.
- Policy awareness is generally low, with only 19% to 20% of enterprises reporting they are 'well aware' or 'familiar' with low-carbon and energy policies. This lack of awareness is most acute among smaller firms and is attributed to a lack of engagement during the policy development and implementation processes.
- Businesses identify five primary barriers to implementing low-carbon projects: uncertainty regarding the appropriateness of technologies (cited by 50%), uneven access and unpredictable timelines for subsidies (35%), lack of financial capital (35%), high transaction costs due to reporting to multiple government levels (33%), and internal barriers such as lack of senior management awareness (20%).
- Companies express a strong preference for economic incentives over regulatory burdens, with 54% desiring subsidized loans to reduce the long payback periods of energy-saving technologies. Additionally, 48% support the creation of a standardized procurement list of qualifying technologies to increase clarity and certainty in subsidy programs.
- There is a perceived lack of fairness and transparency in the pilot carbon-trading schemes, specifically regarding the allocation of free quotas. The report notes that some power plants received large free allocations while manufacturers with high energy performance were forced to purchase permits.
- Existing industry training is viewed as too general to be useful by 58% of participants. Over 60% of companies indicate a need for more focused training, particularly in low-carbon technologies, corporate strategy, and governance, with a preference for peer-to-peer learning methodologies.
Cite the original document
- APA
- Tao, P., Yu, G., & Sawyer, D. (2015). Business Sentiments Survey of China’s Low-Carbon and Energy Policies. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/business-sentiments-survey-china-low-carbon-energy-policies-en.pdf
- Chicago
- Tao, Pan, Geng Yu, and Dave Sawyer. Business Sentiments Survey of China’s Low-Carbon and Energy Policies. International Institute for Sustainable Development, 2015. https://www.iisd.org/system/files/publications/business-sentiments-survey-china-low-carbon-energy-policies-en.pdf.
- Wikipedia
- {{cite report |last1=Tao |first1=Pan |last2=Yu |first2=Geng |last3=Sawyer |first3=Dave |title=Business Sentiments Survey of China’s Low-Carbon and Energy Policies |publisher=International Institute for Sustainable Development |date=March 2015 |url=https://www.iisd.org/system/files/publications/business-sentiments-survey-china-low-carbon-energy-policies-en.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{tao2015business, author = {Tao, Pan and Yu, Geng and Sawyer, Dave}, title = {{Business Sentiments Survey of China’s Low-Carbon and Energy Policies}}, institution = {International Institute for Sustainable Development}, year = {2015}, month = mar, url = {https://www.iisd.org/system/files/publications/business-sentiments-survey-china-low-carbon-energy-policies-en.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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