China Energy Efficiency Financing
Summary
The China Energy Efficiency Financing project, led by the World Resources Institute (WRI), addresses the lack of access to reasonable financing for industrial energy efficiency (EE) projects in China. While the top 1,000 energy-using enterprises receive significant attention, smaller industrial companies struggle with internal capacity to identify financeable projects and securing external funding. To resolve this, WRI and Shanghai Jiao Tong University (SJTU) are exploring a model to bundle individual EE projects into a portfolio to facilitate financing in Shanghai, with plans to replicate the model in one or two other provinces.
Key insights
- Industrial energy use accounts for 70% of total energy consumption in China, making the sector critical for meeting national carbon and energy intensity targets.
- Industrial companies beyond the top 1,000 energy users face two primary barriers to energy efficiency: a lack of internal capacity to identify projects that can be financed and difficulty obtaining external financing on reasonable terms.
- In the Shanghai area, energy audits conducted by Shanghai Jiao Tong University (SJTU) for over 30 companies have resulted in many identified energy efficiency projects remaining unimplemented primarily due to a lack of financing.
- WRI is implementing a pilot in Shanghai to bundle energy efficiency projects into a portfolio to attract financing, with the intention to expand this model to one or two additional Chinese provinces.
- The project aims to improve industrial capacity to work with energy services companies (ESCOs) and financiers, while identifying government policy support mechanisms and guidance for lenders and borrowers.
Cite the original document
- APA
- World Resources Institute (n.d.). China Energy Efficiency Financing. http://pdf.wri.org/china_energy_efficiency_financing.pdf
- Chicago
- World Resources Institute. China Energy Efficiency Financing. n.d. http://pdf.wri.org/china_energy_efficiency_financing.pdf.
- Wikipedia
- {{cite report |author=World Resources Institute |title=China Energy Efficiency Financing |url=http://pdf.wri.org/china_energy_efficiency_financing.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{worldresourcesinstitutendchina, author = {{World Resources Institute}}, title = {{China Energy Efficiency Financing}}, institution = {World Resources Institute}, url = {http://pdf.wri.org/china_energy_efficiency_financing.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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