Reducing China’s building material embodied emissions: Opportunities and challenges to achieve carbon neutrality in building materials
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Engineering topics
Publications and source records attributed to Price, Lynn.
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As part of its Paris Agreement commitment, China pledged to peak carbon dioxide (CO 2 ) emissions around 2030, striving to peak earlier, and to increase the non-fossil share of primary energy to 20% by 2030. Yet by the end of 2017, China emitted 28% of the world's energy-related CO 2 emissions, 76% of which were from coal use. How China can reinvent its energy economy cost-effectively while still achieving its commitments was the focus of a three-year joint research project completed in September 2016. Overall, this analysis found that if China follows a pathway in which it aggressively adopts all cost-effective energy efficiency and CO 2 emission reduction technologies while also aggressively moving away from fossil fuels to renewable and other non-fossil resources, it is possible to not only meet its Paris Agreement Nationally Determined Contribution (NDC) commitments, but also to reduce its 2050 CO 2 emissions to a level that is 42% below the country's 2010 CO 2 emissions. While numerous barriers exist that will need to be addressed through effective policies and programs in order to realize these potential energy use and emissions reductions, there are also significant local environmental (e.g., air quality), national and global environmental (e.g., mitigation of climate change), human health, and other unquantified benefits that will be realized if this pathway is pursued in China.
Energy performance contracting is an important market mechanism that uses energy savings to pay over time for the upfront costs of energy efficiency retrofits in buildings, industries, and other types of facilities. Through energy performance contracts (EPCs), Energy Service Companies (ESCOs) play an important role in implementing energy efficiency retrofits. Both China and the United States have large markets for EPCs and significant opportunities for growth. The Chinese government has made great efforts in promoting the country’s ESCO business and expanding its EPC markets. This paper makes a series of recommendations for China to adopt more ambitious policy measures to encourage deep energy savings projects via EPCs. These recommendations are built on initial insights from a white paper developed by researchers at the Pacific Northwest National Laboratory and the Lawrence Berkeley National Laboratory with the assistance from the ESCO Committee of China’s Energy Conservation Association (EMCA). Key recommendations are listed below.
China’s cement and steel industry accounts for approximately half of the world’s total cement and steel production. These two industries are two of the most energy-intensive and highest carbon dioxide (CO 2 )-emitting industries and two of the key industrial contributors to air pollution in China. For example, the cement industry is the largest source of particulate matter (PM) emissions in China, accounting for 40 percent of its industrial PM emissions and 27 percent of its total national PM emissions. The Chinese steel industry contributed to approximately 20 percent of sulfur dioxide (SO 2) emissions and 27 percent of PM emissions for all key manufacturing industries in China in 2013. In this study, we analyzed and projected the total PM and SO 2 emissions from the Chinese cement and steel industry from 2010–2050 under three different scenarios: a Base Case scenario, an Advanced scenario, and an Advanced EOP (end-of-pipe) scenario. We used bottom-up emissions control technologies data and assumptions to project the emissions. In addition, we conducted an economic analysis to estimate the cost for PM emissions reductions in the Chinese cement industry using EOP control technologies, energy efficiency measures, and product change measures. The results of the emissions projection showed that there is not a substantial difference in PM emissions between the Base Case and Advanced scenarios, for both the cement and steel industries. This is mainly because PM emissions in the cement industry caused mainly by production process and not the fuel use. Since our forecast for the cement production in the Base Case and Advanced scenarios are not too different from each other, this results in only a slight difference in PM emissions forecast for these two scenarios. Also, we assumed a similar share and penetration rate of control technologies from 2010 up to 2050 for these two scenarios for the cement and steel industry. However, the Advanced EOP scenario showed significantly lower PM emissions for the cement industry, reaching to 1.7 million tons of PM in 2050, which is less than half of that in the other two scenarios. The Advanced EOP scenario also has the lowest SO 2 emissions for the cement industry in China, reaching to 212,000 tons of SO 2 in 2050, which is equal to 40 percent of the SO 2 emissions in the Advanced scenario and 30 percent of the emissions in the Base Case scenario. The SO 2 emission is mainly caused by fuel (coal) burning in cement kiln or steel processes. For the steel industry, the SO 2 emissions of the Advanced EOP scenario are significantly lower than the other scenarios, with emissions declining to 323,000 tons in 2050, which is equal to 21 percent and 17 percent of the emissions of Advanced and Base Case scenarios in 2050, respectively. Results of the economic analysis show that for the Chinese cement industry, end-of-pipe PM control technologies have the lowest abatement cost per ton of PM reduced, followed by product change measures and energy efficiency measures, respectively. In summary, in order to meet Chinese national and regional air quality standards, best practice end-of-pipe emissions control technologies must be installed in both cement and steel industry and it must be supplemented by implementation of energy efficiency technologies and reduction of cement and steel production through structural change in industry.
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China’s industrial sector dominates the country’s total energy consumption and energy efficiency in the industry sector is crucial to help China reach its energy and CO 2 emissions reduction goals. There are many energy efficiency policies in China, but the motivation and willingness of enterprises to improve energy efficiency has weakened. This report first identifies barriers that enterprises face to be self-motivated to implement energy efficiency measures. Then, this report reviews international policies and programs to improve energy efficiency and evaluates how these policies helped to address the identified barriers. Lastly, this report draws conclusions and provides recommendations to China in developing policies and programs to motivate enterprises to improve energy efficiency.
Iron and steel manufacturing is energy intensive in China and in the world. China is the world largest steel producer accounting for around half of the world steel production. In this study, we use a bottom-up energy consumption model to analyze four steel-production and energy-efficiency scenarios and evaluate the potential for energy savings from energy-efficient technologies in China’s iron and steel industry between 2010 and 2050. The results show that China’s steel production will rise and peak in the year 2020 at 860 million tons (Mt) per year for the base-case scenario and 680 Mt for the advanced energy-efficiency scenario. From 2020 on, production will gradually decrease to about 510 Mt and 400 Mt in 2050, for the base-case and advanced scenarios, respectively. Energy intensity will decrease from 21.2 gigajoules per ton (G/t) in 2010 to 12.2 GJ/t and 9.9 GJ/t in 2050 for the base-case and advanced scenarios, respectively. In the near term, decreases in iron and steel industry energy intensity will come from adoption of energy-efficient technologies. In the long term, a shift in the production structure of China’s iron and steel industry, reducing the share of blast furnace/basic oxygen furnace production and increasing the share of electric-arc furnace production while reducing the use of pig iron as a feedstock to electric-arc furnaces will continue to reduce the sector’s energy consumption. We discuss barriers to achieving these energy-efficiency gains and make policy recommendations to support improved energy efficiency and a shift in the nature of iron and steel production in China.
This report is designed to help city authorities evaluate and prioritize more than 70 different policy strategies that can reduce their city’s energy use and carbon-based greenhouse gas emissions of carbon dioxide (CO 2 ) and methane (CH 4 ). Local government officials, researchers, and planners can utilize the report to identify policies most relevant to local circumstances and to develop a low carbon city action plan that can be implemented in phases, over a multi-year timeframe. The policies cover nine city sectors: industry, public and commercial buildings, residential buildings, transportation, power and heat, street lighting, water & wastewater, solid waste, and urban green space. See Table 1 for a listing of the policies. Recognizing the prominence of urban industry in the energy and carbon inventories of Chinese cities, this report includes low carbon city policies for the industrial sector. The policies gathered here have proven effective in multiple locations around the world and have the potential to achieve future energy and carbon savings in Chinese cities.
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Energy performance contracting (EPC) is a mechanism that uses private sector investment and expertise to deploy energy efficiency retrofits in buildings, industries, and other types of facilities. China and the United States both have large, growing EPC markets. This White Paper shares key insights on each market, including strengths and barriers inherent to these markets, compares the two markets, and sets forth options for enhancing EPC markets in each country. The White Paper concludes with recommendations structured around common goals of both countries.
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The allowance mechanism is one of the core and sensitive aspects in design of a carbon trading scheme and affects the compliance cost for each company covered under the scheme. By examining China's allowance mechanism from two aspects including allowance allocation and allowance distribution, this paper compares China's carbon trading pilots with the EU Emissions Trading System and California Cap-and-Trade Program, and through the comparison identify issues that affect the efficiency of the pilots. The paper also recommends course of actions to strengthen China's existing pilots and build valuable experiences for the establishment of the national cap-and-trade system in China.