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Friday, 08 November 2024

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The World Bank grants China a $ 84m credit to support renewables

The World Bank's board has approved a $ 84m credit to support the first phase of China's Renewable Energies Take-Off Program. 67 million will go to interior Mongolia-based Huitengxile windpark. The remaining money will help a number of small hydro facilities in Zhejiang. The PDER program has the goal of creating a commercial network for renewable energies in China. The World Bank's credit granted to Huitengxile means a sign of trust from the international financial industry towards China's renewable energy ambitions. In the coming weeks the liceses to turbine suppliers will be granted, according to some Asian sources.

In 2005, the Government passed the renewable energy law, which sets a goal of 20 GW of wind power installed in the country by 2020. Currently, China is preparing measures to make mandatory for electricity utilities to include a share of renewable energy in their production mix. Initially, for those utilities with over 5 GW of portfolio, the Government is thinking of a 5% share until 2010 and 10% from then until 2020. For utilities with smaller portfolios, the obligation suggested is 1% and 3% respectively.

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