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World Bank and China: a 25 year partnership for growth

By Yang Cheng (China Daily)
Updated: 2009-06-24 08:09

Improving the quality and scale of wind farms would be critical to meet the wind power generation targets for 2020, he added.

"There is no doubt that China can meet these targets - given its commitment and implementation capabilities. After all, in the late 1990s, the installed wind power capacity in China was less than 600 KW but now China has over 12 GW installed and is likely to become the second largest wind power producer in the world within the next three to four years," he said.

Another successful renewable energy investment project has focused on small hydro-power plant rehabilitation.

China has a very large base of small hydro-power plants in operation that, with limited investment, can produce more clean energy.

The WB has worked with Zhejiang province on implementing a centralized institutional mechanism to support the development and financing of several relatively small projects - thereby promoting good practices and scaling-up the impact that small investments can have.

The WB officials also highly praised their productive partnership with a number of different levels of the Chinese government.

Lamech said: "It has been an extremely valuable learning experience for us at the World Bank too. Going forward, one area of focus should be on the training and certification programs offered by local universities and institutes. There will be a huge demand for skilled professionals to implement China's renewable energy programs and cope with the engineering and construction challenges."

Future projects

The WB looks forward to extending its on-going partnership to support the development of offshore wind power projects.

A first step might be the development of wind projects in inter-tidal areas where the potential is considerable - especially off the coastlines of Jiangsu, Shanghai and Shandong.

In addition, efforts should be made to initiate projects in deeper offshore waters where the wind speeds are generally higher than in inter-tidal areas, such as Fujian, Zhejiang, Guangdong, Shandong, Jiangsu and Shanghai.

Future engagement will also build on the institutional development and clean energy focus of the WB's lending and advisory work.

Elements of WB's planned future energy activities in China include: developing financial sector intermediaries to scale up energy efficiency financing; incentive mechanisms to support the closure of inefficient power plants; advising on power and heating sector reform; assisting policy makers in assessing low-carbon policy measures; and supporting the adoption of renewable energy and clean coal technologies.

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