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Industrial and Power Plant Energy Efficiency & Financing

In 2008, half the increase in annual CO2 emissions worldwide could be attributed solely to the Chinese electric utility sector. This component of ISC’s sustainable manufacturing division supports incentives for market-based models, which promote energy efficiency within the power sector and among end users. Key areas of focus include:

  1. Working with the power sector to incorporate promotion of energy efficiency as part of its business model.
  2. Addressing barriers to the further development of the Efficiency Power Plant (EPP) model in China.

EPPs are bundles of energy savings that can be used to offset construction of new power plants. The EPP model was selected as an area of focus because of the significant investments that have already been made, and because it addresses incentive and regulatory issues that, if solved, will have a significant impact on creating incentives for energy efficiency within the power sector. In addition to direct work with the power sector, this component also addresses the issue of energy efficiency (EE) financing for the industrial sector. Power demands from industry are growing with the expansion of China’s economy, yet EE financing is still underdeveloped. The US-China Partnership for Climate Action (PCA) developed tools and piloted a financing approach for the industrial sector as a means of further elaborating barriers and successful practices, which can be scaled up.

ISC’s partners (World Resource Institute and Lawrence Berkeley National Laboratory) in the PCA program also helped to identify and remove key barriers to increasing energy efficiency in the industry and power sector and helped to stimulate and scale up public sector financing mechanisms for clean energy initiatives.

The project is targeting both supply and demand side policy barriers and public finance mechanisms. After the Industrial and Power Plant Energy Efficiency & Financing project, the PCA program also expanded models for major energy efficiency initiatives and built capacity in the industrial, residential, and commercial sectors to identify and secure energy efficiency and renewable energy financing.

guangdong energy efficiency in public buildings


Xiaoling (Megan) Yu
External Relations Manager
Steven Zeng, staff
Lei (Steven) Zeng
China Country Director

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