Distributed Renewable Energy in China: Current State and Future Outlook
Development of distributed renewable energy has significant implications for China’s energy transition and energy sector cleanup. A distributed renewable energy system can distribute energy directly to end users in its vicinity. It can also be used to deliver combined cooling, heat and power (CCHP) solutions. Besides effectively improving energy efficiency, distributed renewable energy systems also have many other environmental and social benefits. Renewable energy, including solar, wind, hydropower and biomass, have grown rapidly in China, but the grid infrastructure and the grid connection policy could hardly keep up with the growing output from renewable sources. In order to stimulate the development of distributed renewable energy, China should improve the distributed renewable energy policy framework, explore new market-based mechanisms, summarize and promote best practices relating to in situ consumption of output of distributed renewable energy systems, develop industry-wide supporting policies, and promote innovations relating to business models and financing mechanisms for distributed renewable energy.
KeywordsDistributed renewable energy In situ consumption Energy efficiency
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