Dynamic mechanism for the decline of China’s energy intensity during the 11th FYP (Five-Year Plan)

Abstract

From 2006 to 2009, the aggregate energy intensity of China fell by 14.38%,1) which means that China has made substantial progress towards its goal of achieving approximately a 20% reduction in energy intensity during the period of the 11th FYP (Five-Year Plan). This paper describes some new properties of the mechanism for the decrease in China’s energy intensity since the beginning of the 11th FYP. First, compared with the period of the 10th FYP, technical, structural, and residential energy-savings have been improved to a certain extent. Secondly, unlike the dynamic mechanism before 2000, technical energy savings have been the main driver of momentum since the beginning of the 11th FYP. Next, although structural energy savings are not the main factor, they are still a key factor for the decrease in energy intensity. Finally, residential energy savings are still a stable driver of momentum for the decline in China’s energy intensity.