· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on the Financial Times or enjoy below:
🗞️ Driving the news: China plans to invest over $800 billion in its electricity grid over the next six years to support its green energy transition
• The aging grid is currently a significant bottleneck, with rapid renewable energy growth putting strain on the system
🔭 The context: This year, China invested 122.9 billion RMB ($17 billion) in grid projects, a 24.9% increase from last year
• Despite heavy investments, more than 100 regions have halted new small-scale solar projects from connecting to the grid, highlighting existing constraints
🌍 Why it matters for the planet: Effective grid upgrades are essential for China to meet its climate targets of peak carbon emissions by 2030 and carbon neutrality by 2060
• Overcoming grid limitations will enable greater integration of renewable energy sources
⏭️ What's next: China will continue ramping up investment in grid infrastructure and battery storage to handle increasing electricity demand and renewable capacity
• The government is focusing on modernizing the grid to support the shift away from coal
💬 One quote: “The current level of spending is not catching up with how fast China’s solar and wind new capacity additions are growing,” says Xuyang Dong, China energy analyst with Climate Energy Finance
📈 One stat: China accounted for 65% of global wind capacity and 60% of global solar capacity in 2023
Click for more news covering the latest on energy transition and power grid
