Chinese President Xi Jinping issued an “important article” titled Correctly Understanding and Mastering Major Theoretical and Practical Issue of the (Chinese) Nation that appears to serve as an overarching guiding strategy for national economy matters.
In the session “Correctly Understanding Carbon Emission Peak and Carbon Neutrality,” Xi said that (2030/2060) carbon peak and carbon neutrality is a critical strategy and a “solemn promise” made by the Central Committee of the Chinese Communist Party. However, he said that “problems” emerged in China’s promoting the net-neutrality agenda. These problems include “decarbonization rush,” “rigid uniformity,” “movement decarbonization,” and “power rationing.”
Xi emphasized that the phaseout of conventional energy should be built on safe and reliable renewable substitution. The process will be a complex and long-term task. A rush to change energy structure and industry structure is not practical. Instead, the country needs to “establish (new system) before wrecking (the old).”
He then demanded the industry secure energy supply, increase supply channels, and ensure price stability. He added that “electricity rationing in a large scale is strictly forbidden from happening again.”
Energy Iceberg: “power rationing” is not a phenomenon that occurred in recent years. Instead, it emerged as soon as China began to combat air pollution issues and enhance energy efficiency in the late 2000s. As the central government increased the pressures on local governments to combat air pollution and cap emissions, power rationing became a common policy tool for the local government to achieve the climate targets.