
China is the world's largest consumer of energy and coal, and its energy structure is dominated by coal power. In 2020, coal made up 56.8% of China's energy use, contributing significantly to air pollution and carbon emissions. China emits around one-quarter of the world's greenhouse gases, the largest share of any country. While China has pledged to reduce its carbon emissions and transition to cleaner energy sources, it continues to rely heavily on coal to meet its economic growth targets.
| Characteristics | Values |
|---|---|
| China's global carbon input between 1990 and 2020 | 22% of total global emissions |
| China's share of global greenhouse gas emissions | 25% |
| China's energy consumption in 2020 | 3.3 billion tonnes of oil |
| China's coal consumption in 2019 | 4.02 billion metric tons |
| China's coal consumption in 2020 | 56.8% of total energy use |
| China's carbon emissions goal | Decline by 2030 |
| China's carbon neutrality goal | 2060 |
| China's share of carbon-heavy fuel in national energy consumption goal | 20% by 2025 |
| China's share of non-fossil fuels in primary energy consumption goal | 25% by 2030 |
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What You'll Learn

China's industrial sector
China's cumulative carbon emissions are the largest in the world. Between 1990 and 2020, China and the United States were responsible for 22% and 19.5% of total global emissions, respectively. During this period, China's global carbon input was larger than that of all other developed countries. Recognizing the need to reduce its reliance on fossil fuels, China has made significant strides in investing in renewable energy sources and transitioning to cleaner energy alternatives. In 2021, China invested $266 billion in energy transition measures, accounting for more than one-third of the global total.
China has also set ambitious targets to increase the share of non-fossil fuels in its energy mix. Ahead of the 2021 UN Climate Change Conference in Glasgow, China pledged to "strictly limit" the increase in domestic coal consumption and bring its total installed capacity of wind and solar power to over 1.2 billion kilowatts by 2030. China is also turning to nuclear power to decrease its reliance on fossil fuels. In addition, China has made progress in reducing the carbon intensity of its economy, which measures the amount of carbon emitted per unit of economic output. This indicates that China is becoming more efficient in its use of energy, which can help reduce its overall emissions.
Despite these efforts, China still generates about 70% of its electricity from fossil fuels as of 2024. However, this is a significant reduction from a decade ago when fossil fuels accounted for two-thirds of its power capacity. China's renewable energy sector is growing rapidly, and the country is now a global leader in renewable energy investment and production. In 2022, China installed as much solar capacity as the rest of the world combined, then doubled it in 2023. These efforts are in line with China's commitment to the 2016 Paris Agreement, where it pledged to make non-fossil fuel energy 20% of its energy supply by 2030 and to peak CO2 emissions by the same year.
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Coal consumption
China's industrial sector, particularly manufacturing, drives a large proportion of the country's energy demand, with much of the energy coming from burning coal. In 2019, manufacturing accounted for about 55% of China's total energy consumption, and 59.6% of the manufacturing sector's energy came from coal.
China's economy has grown, and so has its demand for coal. From 1990 to 2019, China's coal consumption nearly quadrupled from 1.06 billion metric tons of coal to 4.02 billion metric tons. Since 2011, China has consumed more coal than the rest of the world combined. As of 2020, coal made up 56.8% of China's energy use, with 49% of coal being used for coal-fired power. In 2020, coal contributed over 65% of China's rural household emissions, and an estimated 36% of China's population was exposed to harmful emissions from the household burning of coal and other solid fuels.
China's cumulative carbon emissions are the largest in the world. Between 1990 and 2020, China and the United States were responsible for 22% and 19.5% of total global emissions, respectively. During this period, China's global carbon input was larger than that of all other developed countries. China emits around one-quarter of the world's greenhouse gases, the largest share of any country. In 2020, 69.5% of China's CO2 emissions came from coal, compared to 65% in India, 22.6% in Russia, and 18.9% in the United States.
China has made commitments to reduce its coal consumption and emissions. In 2016, China pledged to make non-fossil fuels 20% of its energy supply by 2030 and to peak CO2 emissions by 2030. China has also emerged as the world's largest investor in clean energy transition, investing $266 billion in energy transition measures in 2021, accounting for more than one-third of the global total. In 2021, ahead of the UN Climate Change Conference in Glasgow, China pledged to "strictly limit" the increase in domestic coal consumption and increase the share of non-fossil fuels in primary energy consumption to around 25% by 2030. China's policymakers remain committed to ambitious renewable capacity targets, efficiency improvements, and structural energy reforms, positioning the country for sustained coal generation declines year over year.
There is evidence that China's coal-fired electricity generation has peaked and is entering a permanent decline trajectory. In the first quarter of 2025, China's coal electricity generation dropped by nearly 5%, driven by explosive rooftop solar growth. China's dramatic shift toward distributed solar represents a major structural transformation in the world's largest electricity market. Renewables like wind and solar accounted for the vast majority of incremental electricity demand growth in recent years, a trend that is only accelerating. The rapid expansion of rooftop solar is directly displacing traditional fossil-fuel generation, especially coal, reducing both emissions and dependence on coal.
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Energy-storage technology
China is the world's largest consumer of energy, demanding the energetic equivalent of nearly 3.3 billion tonnes of oil per year. The country's industrial sector accounts for two-thirds of its total energy consumption, with manufacturing driving a large proportion of its energy demand. From 1990 to 2019, China's coal consumption nearly quadrupled, and since 2011, it has consumed more coal than the rest of the world combined. As of 2020, coal accounted for 56.8% of China's energy use, with coal contributing over 65% of rural household emissions in 2015. China emits around a quarter of the world's greenhouse gases, the largest share of any country.
China has recognised the need to reduce its reliance on fossil fuels and has committed to transitioning to cleaner energy sources. In accordance with the 2016 Paris Agreement, China pledged to make non-fossil fuels 20% of its energy supply by 2030 and to peak CO2 emissions by 2030. China has also signed a joint declaration with the United States to cooperate on climate-related issues, including reducing methane gas emissions.
To achieve its goals, China has been investing heavily in energy-storage technology, becoming the world's largest market for energy storage deployment. The country's energy storage sector is rapidly expanding, attracting investments worth tens of billions of dollars. China's capacity for ""new type" energy storage systems, such as batteries, quadrupled in 2023 alone, reaching 31.4GW. This rapid growth has led to China being named the "new driving force" for the country's "new quality productive forces" by the National Energy Administration (NEA).
Some notable energy storage projects in China include:
- The CGD Group Golmud City Solar Thermal Plant-Molten Salt Thermal Storage System: A 600,000kW molten salt thermal storage energy storage project located in Golmud City, Qinghai.
- The Ming Yang Smart Energy-Tong Liao Hybrid Project: A 320,000kW lithium-ion battery energy storage project located in Tong Liao, Inner Mongolia, using lithium-ion battery storage technology.
- The Baotang Battery Energy Storage System: A 300,000kW lithium-ion battery energy storage project located in Foshan, Guangdong, with a rated storage capacity of 600,000kWh.
- The Hubei Yingcheng Compressed Air Energy Storage System: A 300,000kW compressed air storage energy storage project located in Hubei Yingcheng, Hubei, with a rated storage capacity of 150,000kWh.
- The Salt Cavern Compressed Air Energy Storage Phase-I: A 300,000kW compressed air storage energy storage project located in Taian, Shandong, owned and developed by the China Energy Engineering Group.
China's advancements in energy-storage technology are a critical component of its strategy to reduce fossil fuel reliance and transition to cleaner energy sources.
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Carbon emissions
China's cumulative carbon emissions are the largest in the world. Between 1990 and 2020, China was responsible for 22% of total global emissions, more than any other developed country. China emits around one-quarter of the world's greenhouse gases, the largest share of any country. China's industrial sector accounts for two-thirds of the country's total energy consumption, with manufacturing driving a large proportion of its energy demand. In 2019, manufacturing accounted for about 55% of China's total energy consumption, and 59.6% of the manufacturing sector's energy came from coal.
China's dependence on coal for industrial power generation has significantly contributed to air pollution. Coal contributes over 65% of China's rural household emissions and, in 2020, an estimated 36% of China's population was exposed to harmful emissions from the household burning of coal and other solid fuels like wood. In 2020, coal made up 56.8% of China's energy use, down from 72.4% 15 years prior. From 1990 to 2019, China's coal consumption nearly quadrupled from 1.06 billion metric tons of coal to 4.02 billion metric tons, and since 2011, China has consumed more coal than the rest of the world combined. According to Carbon Atlas, 69.5% of China's CO2 emissions came from coal in 2020.
China has ambitious goals for cutting its carbon emissions. In 2016, China committed to making non-fossil fuel energy 20% of its energy supply by 2030 and to peak CO2 emissions by 2030. China has also pledged to strictly limit the increase in domestic coal consumption, increase the share of non-fossil fuels in primary energy consumption to around 25%, and bring its total installed capacity of wind and solar power to over 1.2 billion kilowatts by 2030. In 2021, China invested $266 billion in energy transition measures, accounting for more than one-third of the global total. China has also called for international cooperation in reducing carbon emissions and has indicated that it will strictly control coal-fired generation projects and limit increases in coal consumption over the next five years.
However, China has also stated that it has no choice but to rely on coal power for the foreseeable future as it prioritizes economic growth. Coal is readily available, and renewable energy needs to develop further in China. China's funding of coal power projects in developing countries will continue, as many of these countries lack access to electricity.
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Renewable energy
China is the world's hungriest consumer of energy, demanding the energetic equivalent of almost 3.3 billion tonnes of oil per year. Since 2011, China has burnt more coal than all other countries combined, with coal making up 56.8% of its energy use in 2020.
China's industrial sector accounts for two-thirds of the country's total energy consumption, with manufacturing driving a large proportion of its energy demand. As China's economy has grown, its demand for coal has surged, contributing significantly to air pollution. Recognising the negative impact of fossil fuels, China has committed to reducing its reliance on them and investing in renewable energy sources.
China has become a world leader in clean energy technology, with dramatic growth in its installed renewable capacity over the last two decades. In 2015, China became the world's largest producer of photovoltaic power, and from 2005 to 2014, its production of solar cells expanded 100-fold. China's six biggest solar companies have a combined value of over $15 billion, and the country is set to lead global growth in biofuel production.
China has abundant geothermal resources, with over 2,700 hot springs occurring at the surface, and has recognised geothermal energy as a renewable source since the 1970s. In 2006, China had 181 identified geothermal systems with an estimated generation potential of 1,740 MW, but only seven plants with a total capacity of 32 MW were operational.
China has made strategic investments in renewable technologies, including solar, wind, green hydrogen, and battery storage. In 2022, China installed a significant amount of solar photovoltaic capacity, and in 2023, it doubled new solar installations, increased new wind capacity by 66%, and almost quadrupled additions of energy storage. China is also the world's third-largest producer of ethanol-based biofuels, which now account for 20% of total automotive fuel consumption in the country.
China's transition to renewable energy is driven by its "energy revolution" and the "fight against pollution", with a focus on reducing emissions and improving air quality. The country has pledged to increase the share of non-fossil fuels in primary energy consumption and is the world's largest investor in clean energy transition, investing $266 billion in 2021.
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Frequently asked questions
China is the world's largest consumer of energy, demanding the energetic equivalent of almost 3.3 billion tonnes of oil in one year.
As of 2020, 56.8% of China's energy came from coal, with 69.5% of their CO2 emissions stemming from this source.
The industrial sector, particularly manufacturing, drives a large proportion of China's energy demand, with 59.6% of the manufacturing sector's energy coming from coal.
China emits around one-quarter of the world's greenhouse gases, the largest share of any country. Between 1990 and 2020, China was responsible for 22% of total global carbon emissions, compared to 19.5% for the United States.
China has pledged to limit the increase in domestic coal consumption and increase the share of non-fossil fuels in primary energy consumption to around 25% by 2030. They are also investing heavily in clean energy transition, committing $266 billion in 2021, more than one-third of the global total.











































