From Coal to Renewables in China: Solving the Water Stress-Power Plant Mismatch

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China faces a significant challenge where 66.5% of its coal-fired power plants are located in water-scarce areas, driven by the West-to-East Electricity Transmission Project. To mitigate this, China is investing heavily in solar and wind energy, implementing air-cooling technologies that save nearly 80% of water withdrawal, and enforcing stricter water resource management quotas and caps for the coal sector.

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  • A significant portion of China's coal-fired power generation is located in regions with high water stress, a trend that increased from 58.5% in 2000 to 66.5% in 2015. This is partly due to the West-to-East Electricity Transmission Project, which moved power generation to northwestern regions near coal mines where water is scarce.
  • China is aggressively expanding its renewable energy capacity to transition to a low-carbon economy. In 2017, the country invested $126.6 billion in renewable energy, with the majority going to solar PV and wind. Between 2010 and 2018, the installed capacity for these two sources grew elevenfold.
  • To reduce the water footprint of coal power, China's National Development and Reform Commission mandated air-cooling technology for new plants in water-scarce northern and northwestern regions starting in 2004. This technology can reduce water withdrawal by nearly 80% compared to traditional recirculating cooling.
  • The Chinese government has implemented a series of water management regulations for the coal sector, including 2012 water withdrawal quotas and 2013 mandatory water resource assessment reports. In 2019, the MWR introduced a cap on water use by coal plants, which is expected to improve water use efficiency by 10% to 20%.

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APA
World Resources Institute (2020). From Coal to Renewables in China: Solving the Water Stress-Power Plant Mismatch. https://www.wri.org/insights/coal-renewables-china-solving-water-stress-power-plant-mismatch
Chicago
World Resources Institute. From Coal to Renewables in China: Solving the Water Stress-Power Plant Mismatch. 2020. https://www.wri.org/insights/coal-renewables-china-solving-water-stress-power-plant-mismatch.
Wikipedia
{{cite report |author=World Resources Institute |title=From Coal to Renewables in China: Solving the Water Stress-Power Plant Mismatch |date=6 February 2020 |url=https://www.wri.org/insights/coal-renewables-china-solving-water-stress-power-plant-mismatch |access-date=23 October 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{worldresourcesinstitute2020from, author = {{World Resources Institute}}, title = {{From Coal to Renewables in China: Solving the Water Stress-Power Plant Mismatch}}, institution = {World Resources Institute}, year = {2020}, month = feb, url = {https://www.wri.org/insights/coal-renewables-china-solving-water-stress-power-plant-mismatch}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }

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