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China sets 5 Gtce cap on energy consumption by 2020

China has set a cap on energy consumption by 2020, in order to keep energy demand within 5 Gtce (coal equivalent) in the next five years. China aims to improve industrial energy efficiency, curb greenhouse gas (GHG) emissions and tackle air pollution.

The 5 Gtce target has been set by combining economic growth forecasts for 2016-2020 (6.5%) and a planned cut in energy intensity by 15% over the same period. However, energy intensity is already declining rapidly in China and some consider that an 18% savings target could have been used to limit energy consumption to 4.8 Gtce by 2020 and 5.3 Gtce by 2030. According to preliminary statistics, primary energy consumption rose by 0.9% in 2015, down from 2.3%/year over the 2012-2015 period and from 6.4%/year between 2005 and 2012. China has already set a target to cut carbon intensity (CO2 emissions per unit of GDP) by 18% by 2020 and committed to cut carbon intensity to 40-45% below 2005 levels by 2020.

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