China’s total energy investment is expected to reach US$940 billion (S$1.21 trillion) this year, the highest in the world.
According to CCTV Finance, the Global Energy Transition Report (2026), released by the China Enterprise Reform and Development Society on 7 November, said China has built the world’s largest and fastest-growing renewable energy system.
As of the end of last year, China’s installed renewable power capacity reached 2.337 billion kilowatts, accounting for 60.1% of the country’s total installed power capacity. China also accounted for 63.6% of global renewable capacity additions. Its renewable electricity generation reached 3.99 trillion kilowatt-hours, or 38.3% of total electricity generation. The increase in renewable electricity generation fully covered the growth in electricity consumption across the economy.
The report said China’s renewable energy technology remains dominant globally. China supplies 70% of the world’s wind power equipment and 80% of its photovoltaic module equipment, helping to drive down global wind and solar power generation costs by more than 60% and 80% respectively.
According to Bloomberg, China’s energy investment is gradually shifting from rapidly expanding installed capacity towards building power grids and other supporting infrastructure to better connect and absorb additional renewable energy. The International Energy Agency expects China’s power grid investment to rise to about US$140 billion this year.
The CCTV report also noted that global energy-related carbon dioxide emissions rose 0.4% year on year to 38.4 billion tonnes last year, the smallest increase since 2021. China’s carbon emissions fell 0.5%, while those of the US rose 2.4%, making the US the largest contributor to the increase in global carbon emissions.
Peng Huagang, president of the China Enterprise Reform and Development Society, said coal’s share of China’s electricity generation fell to 49.7% in the first half of this year, dropping below 50% for the first time. This indicates that coal-fired power is shifting from being the main source of electricity to providing backup supply and balancing the power system.
China is the world’s largest emitter of greenhouse gases, accounting for about 30% of global emissions last year. It has pledged to achieve carbon neutrality before 2060.
