Chinese President: China Will Not Sacrifice Environment For Short-Term Growth

[hatrack]

Gosh, where was I?

Oh, yeah . . .

China’s President Xi Jinping indicated a tolerance for slower expansion to avoid environmental degradation, adding to signs that the government will limit temporary boosts for the economy as officials map out plans for market-based changes to drive long-term expansion.

The country won’t sacrifice the environment to ensure short-term growth, Xi said during a study session of the Communist Party’s top leadership on May 24. His comments follow a statement issued on the same day that the State Council, or cabinet, which is chaired by Premier Li Keqiang, approved a series of measures aimed at revamping the economy.

China’s new leaders may be reluctant to implement stimulus to reverse an unexpected slowdown in first-quarter growth after a 4 trillion yuan ($586 billion at the time) package to support the economy during the global financial crisis led to inflation, a housing bubble and industrial overcapacity. Since taking office in March, Li has pledged to cut government interference in the economy, give market forces more power and boost the role of private companies.

“The government is showing a much bigger tolerance for lower growth because they understand that China’s potential growth rate is slowing and that concerns about the environment are rising,” said Lu Ting, chief China economist at Bank of America Corp. in Hong Kong. “One of the reasons we cut our growth forecast is because protests over environmental issues are leading to the cancellation or delay of a lot of investment projects.”

EDIT

http://www.businessweek.com/news/2013-05-26/xi-joins-li-in-indicating-china-tolerance-for-slower-growth-rate

[kristopher]

1. Don't see what you're laughing at - this is good news

And it isn't the first indication we've seen either.

They've been showing a growing awareness of the environmental consequences of their development for several years now. Remember that in their system when the top leaders speak it isn't just political rhetoric forgotten as soon as the next election is over.

What they've done to date for renewable energy is historic; if they continue or accelerate their commitment to decarbonizing and other pollution control it is - in the words of Uncle Joe - a Big F&$%*ng Deal.

[dipsydoodle]

2. Presumably he means

as the US did and continues to do so with the highest CO2 / capita of all developed nations.

[NickB79]

3. The irony is, this could be horrible for solar manufacturers there

China’s new leaders may be reluctant to implement stimulus to reverse an unexpected slowdown in first-quarter growth after a 4 trillion yuan ($586 billion at the time) package to support the economy during the global financial crisis led to inflation, a housing bubble and industrial overcapacity. Since taking office in March, Li has pledged to cut government interference in the economy, give market forces more power and boost the role of private companies.

Several major solar panel manufacturers in China have gone bankrupt recently because of......industrial overcapacity! Cutting back government subsidies on renewable industries and boosting the private sector could likely result in rising solar panel costs and slower annual production, as manufacturers can no longer make panels below cost and get reimbursed by the Chinese government.

[kristopher]

4. No wonder y'all are so pronuclear

You couldn't objectively analyze something if your life depended on it.

1) goal is to cut pollution and increase energy production

2) solar subsidies consisted only of loan guarantees.

3) solar shake out is about over - global mfg capacity spiked to about 60GW while demand was at 35GW, demand is increasing and a lot of older dirtier capacity has shut their doors. The high profile bankruptcies in China have involved not shutting plants, but writing off foreign debt and transferring equity to local governments hosting the still operating plants.

4) goals for installing solar in-country have steadily escalated, there is no sign of rollback. They still need power and the advantages of distributed generation are especially pronounced there. 24 months ago their goal of installed solar by 2015 was 5GW - as of Jan this year it is 35-40GW (depends on reporting). Their stated reason for latest increase in Jan was to help deal with smog and pollution.

5) Poor nuclear.....

[NickB79]

9. Which mean's China will no longer supply the world with cheap panels

global mfg capacity spiked to about 60GW while demand was at 35GW, demand is increasing and a lot of older dirtier capacity has shut their doors.

snip

24 months ago their goal of installed solar by 2015 was 5GW - as of Jan this year it is 35-40GW (depends on reporting).

Based on your numbers, China's domestic panel demand will soon eat up most of their domestic panel production. This is excellent news, as they desperately need clean energy production. On the other hand, this means panel costs will raise globally in the short term with Chinese panels effectively taken off the market. Which means my plan of installing panels on my roof in the next few years might cost quite a bit more than I budgeted for

[GliderGuider]

5. "as officials map out plans for market-based changes to drive long-term expansion"

It will take almost 100,000 years to get the current amount of excess CO2 out of the atmosphere. A fat lot of good a 20-year "slowdown" in their expansion will do, if they're planning on 200 years of long-term growth after that..

[stuntcat]

6. They must have invented a Time Machine

haha made a joke

[Kablooie]

7. Well at least he's *saying* the right things. That's more than our Republicans have done.

[pscot]

8. As a great GOP president once said

"Watch what we do, not what we say."