At a Glance:
- Shell aims to meet 60% of China’s electricity needs by 2060.
- China needs to be swift with the strategy to stay on track with the carbon-neutrality goal.
- China’s carbon price to rise by 1,300 yuan ($200) a tonne in 2060 from 300 yuan in 2030.
Royal Dutch Shell recently confirmed that China might triple the electricity generation to supply 60% by 2060. This will be part of the Beijing carbon-neutral goal, which currently is 23%.
Shell is among the largest investors of China’s energy sector that covers petrochemicals, business covering gas production, and retail fuel network, and has recently expanded into a low-carbon business.
While assessing China’s energy sector, Shell hinted that the country needs to take swift actions in this decade if it aims to meet the carbon-neutrality goal.
China investing in renewable energy
China has not showcased any detailed carbon road map for 2060 however it did map out plans for 2030 to reach peak emissions. To achieve this, the country will be investing in reliable & renewable power. Also, into demonstrating technologies that can transform the heavy industry by leveraging hydrogen, carbon, and biofuel.
In a webinar hosted by Shell’s China business, the Chief Economist of Shell International, Mallika Ishwaran stated, “With early and systematic action, China can deliver better environmental and social outcomes for its citizens while being a force for good in the global fight against climate change.”
Shell outlines China’s energy consumption rise
In 2020, China recorded 20 exajoules which is expected to rise by thrice i.e. 60 exajoules by 2060. Also, solar and wind will contribute as the largest source of electricity by 2034 rising from 10% to 80% in 2060. Moreover, Shell also confirmed that China will experience a carbon price rise to 1,300 Yuan a tonne in 2060, which will be 300 Yuan in 2030.
In the coming years, to come nuclear and biomass will play key roles in power generation stated Shell. It adds that power generated from biomass when combined with carbon capture & utilization will offer a source of negative emissions for the rest of the energy system from 2053.