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Green energy revolution sparked by political will

Adaptive legal framework supercharged nation's renewable network rollout

By HOU LIQIANG | CHINA DAILY | Updated: 2026-05-07 09:01
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Editor's note: As protection of the planet's flora, fauna and resources becomes increasingly important, China Daily is publishing a series of stories to illustrate the country's commitment to safeguarding the natural world.

China's first 100-megawatt molten salt tower solar thermal power plant operates in Dunhuang, Gansu province, in September. The facility, completed in late 2018, is able to generate some 390 million kilowatt-hours of green electricity every year. CHINA DAILY

When the Renewable Energy Law took effect in 2006, China's clean tech sector was a fraction of its current size, struggling to compete as the country wrestled with severe, localized power shortages.

Two decades later, the transformation is staggering. By 2025, renewable electricity generation in China reached approximately 4 trillion kilowatt-hours, exceeding the total consumption of the European Union's 27 member states. More than 60 percent of China's installed power generation capacity comes from renewable sources.

This meteoric rise from a marginal player to the global leader in renewables was not an accident of the market; it was engineered by forward-thinking legislation. According to energy experts, the 2006 law provided the vital regulatory foundation required to transform an energy crisis into an economic opportunity.

Zhou Dadi, executive vice-chairman of the China Energy Research Society, explained that the law was enacted against the backdrop of severe domestic electricity shortages and intensifying international climate negotiations.

Accelerated economic development following the country's reform and opening-up in 1978 further worsened the electricity supply, making rolling blackouts a frequent occurrence, he told China Energy News. On the international front, the United Nations Framework Convention on Climate Change, signed in 1992, established the principle of "common but differentiated responsibilities".

Although developed countries accounted for 60 percent of global greenhouse gas emissions at that time, and China's emissions remained far lower than those of developed economies, the country's total energy consumption — given its vast population — could no longer be overlooked, Zhou said.

The enactment of the Renewable Energy Law proved to be the decisive answer. It established renewable energy as a priority category, granted it policy preferences, and provided the legal guarantees required to launch the industry.

In 2003, the National People's Congress, China's top legislature, listed renewable energy legislation on its priority agenda.

Wang Zhongying, a key participant in drafting the law, recalled 2004 as a critical turning point that sped up its passage. That year, China announced to the world that it would enact the law at the International Conference for Renewable Energies in Bonn, Germany.

Wang highlighted the important role of international cooperation in shaping the law.

"Through renewable energy research projects with the World Bank and the United Nations Development Programme, as well as group study tours organized by different departments to Germany and Denmark, we deepened our understanding of renewable energy and accelerated the law's drafting," he said.

The efforts of Wang and his team saw the law, featuring classified pricing, guaranteed purchase and special funds, adopted in February 2005.

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