Phase II of Renewable Energy in America

National Policy Conference

November 28-29

Cannon Caucus Room, Washington, DC

American Council On Renewable Energy (ACORE)

Good morning, everyone.  I think several speakers this morning already introduce about the renewable energy <inaudible> in the world already, also something about China.  I don't want to repeat too much but give some flavor about China, what China does.  Essentially and other people are saying this, especially the Americans always criticize China, you're <inaudible> and consumers and your cause <inaudible> so quickly.  That's true I think.  We could point to this in China.  You see China and U.S.A. was a big country, big consumers of energy.  As a matter of China is the big population.  We have a 20 percent of population.  It's no doubt energy consumption will peak about 20 percent of the world.  Currently it is only about 15 or 18 percent.  Here the number one kind of fossil energy but renewable energy as you know, China renewable energy is really develop very fast.  I give you the figures on that.  It's last year it's coal maybe like seven percent, but the wind a 100, 105 percent, the PV is 100 percent growth, so that's the story.  So I'll give you something why China happening about renewable energy.  The first thing is we have the kind of renewable that <inaudible>.  I think we are happy that you signed the three, and we make the commitment to sign the four in the bond, so we should have China renewable law.  Also we have China kind of energy launch, renewable energy launch planning.  So we did that in 2005.  The renewable laws I think to start up in 2005, February, then we kind of we set up several kind of system literally learn from Germany defeating turf sea jumps, but not really like Germany.  This is not China situations also we set up as a national target and also set up a national fund for these renewable energies.  Then <inaudible> for <inaudible>.  I think for the renewable target this was officially launched in this year in September by 2010, by 10 percent but under 15 percent by 2020.  Also we formatted a target for power monopolies, that means one percent to two percent for non-hydroelectricities for operate companies.  Also three and eight percent for non-hydropower log producers.  That's by 2010 to 2020 respectively, this means we have to do this way.  This is the kind of national policies.  Also the cost and the pricing <inaudible> terms.  The pricing I think breeding proceeding for wind that 25, little <inaudible> of Yuan for kilowatt hours, for biomass and approval price of other renewable technologies.  I think next the fund is really to be set up in 2006, started six this support went renewable energies for buildings, also biomass is especially for the <inaudible>.  Currently I think the renewable law is make very good kind of impacts for the renewable environment.  You see before the 2004 we have like 500 megawatt, but now we have about, 2006 we have near I think 2.6 gigawatt.  But I think this year we got about a five gigawatt with about a 2.5 gigawatt gross.  The solar is I think grew as well fast, currently China's solar collectors take in about 60 percent of the whole world total and the biomass from zero to about 500 megawatt in the last year.  Also the manufacture is booming as more than 40 manufacturers located in China already.  Similar like Germany 20 years ago, 15 years ago.  I think all the international manufacturers come to China including GE with us and <inaudible>.  I think also so many PV manufacturers in China, I think at least six or eight PV manufactures are companies listed on the New York stock market and the <inaudible> and the Hong Kong.  And the <inaudible> I think is limited absolutely compared with wind and solar, but there is still is a lot of companies so they're sort of like <inaudible> factories that have been set up.  The <inaudible> I think does like <inaudible>.  I think China is big market.  Here we do not talk about small hydro.  Small hydros is also big market in China.  Last year we stored five gigawatt only last year for small hydros.  This year we bid five-and-a-half gigawatt of small hydros were being stored.  So that's a big kind of renewable energy also.  <inaudible> you say after 2005, end of '04, really booming for the wind.  This is one of the big wind farms in Mongolia.  And this is solar, someone made it a solar collector.  I think if you go to southern part of China you look the roof, all the roof is covered by solar collectors.  There is one city in Quinan [ph?] in Yunnan Province where the source west of China.  This is the solar PV.  Solar PV grows really, really fast.  You compare with in 1995 before 1995 not seen China most, but China now becoming maybe the second largest, third largest solar PV manufacturers.  Maybe after 2010 China is number one for producers of solar PV.  China also try to use some solar PV.  That's one of the grid connected solar station in Tibet.  This year try the large solar programs for make the kind of rooftop programs like in Japan and Germany.  Also want have for great <inaudible> PV pump station in that area.  For next step I think China have a very clear kind of target already.  Some of targets, the two, some more I think have really kind of ambitious target now in the industry for wind for example.  The <inaudible> will not have certainty by 2020, but most kind of industry people believe I said 80 gigawatt is reliable like in you countries maybe can reach 80 gigawatt by 2010.  China be <inaudible> behind.  By 2020 China should have 80 gigawatt.  Even lot of people believe even more, 120 gigawatt of wind even unreliable.  For solar <inaudible> I think most people hope China have a like a kind of one person, one square meter.  This is the target of Europeans who won't have it 2030, but China will have this by 2020 <inaudible>.  So the PV we don't know yet since the sort of PV is expensive compared with kind of the other technologies, but I believe follow the kind of industry development.  The market of scale of PV while it's completely in China.  Biomass the same.  That's I think the things I want to talk to you and you know word end I would like to say I think something to the American audience on that.  You say that you always have a need I think for <inaudible> in the 1980s.  Yes, you're world leader but after that the Europeans the world leader.  So for the next 10 or 20 years who the leader which we discussed, European, China or American?  We hope that you are the leader since in the next year in the coming months you offer 2008 WIREC international renewable conference.  We hope you'll be the leader.  I think that you have the power, you have the knowledge, you have the financing base to be the leader.  So I hope in the next <inaudible> of the U.S.A. still be the leader for renewable energies.  Thank you.