Sino Inno Cap


Energy & Electricity

Resource: “Renewables in China 2019: The mid-year status of generation and subside schemes”,, 2019

The Chinese government has published a plan which aims to neutralize its CO2 emissions by 2060. In order to meet climate targets, China is working on expanding its current energy infrastructure and continuously gain insights into technologies and energy policies. Regulations are likely to extend throughout the supply chain of various industries in order to reduce carbon emission. Notably, China has based its 2025 energy plan on nuclear power and has committed to building at least 150 nuclear power plants over the next 15 years. Nuclear power enjoys the full support of the government, making it an industry with no ceiling in China. [1]

In April 2022, the total investments in five major high technology industry (including Taiwan)–China’s semiconductor, optoelectronic display, circuit board, consumer electronics, and renewable energy–total amounted to 1251 billion RMB (around $185 billion). [2] In April 2022, China’s renewable energy project investment amounted to 953.8 billion yuan (around ($141 billion), accounting for about 76.2% of the total investment ratio of the five major emerging technology industries. From January to April 2022, the amount of investment in China’s renewable energy industry has reached 2.3 trillion yuan (around $340 billion), which has exceeded the annual investment amount in 2021. It is predicted that China’s (including Taiwan) renewable energy industry’s investment amount will exceed 5 trillion yuan (around $739 billion) in 2022, an increase of more than 240% year-on-year. [2]

The National Development and Reform Commission along with other official departments issued the “14th Five-Year Plan for the Development of Renewable Energy”, which explicitly mentions that the goal is to reach 3.3 trillion kilowatt hours of renewable energy generation by 2025. [3] By province, the new energy industry industrial park above a certain scale is mainly distributed in Jiangsu Province, Shandong Province and Guangdong Province, and the three provinces have more than 25 new energy industry park, accounting for 37.42% of the national total. The public-hold companies in the industry are concentrated in Guangdong Province, Zhejiang Province, Jiangsu Province and Shanghai, the number of public-hold firms in the renewable energy industry in the above-mentioned areas and the size of the entities are large. At the same time, Xinjiang Uygur Autonomous Region, Shaanxi Province and Beijing also have more public-hold companies compared to other regions, and these regions have strong public-hold renewable energy firms such as Goldwind Technology, Longji Green Energy, Three Gorges Energy and Changjiang Power.