China started building 33 gigawatts of new coal-fired power generation capacity last year, the most since 2016, research published on Thursday showed, a sign the country is falling back on fossil fuels as economic worries mount.
The newly added capacity under construction was three times more than the rest of the world combined, said Helsinki-based Centre for Research on Energy and Clean Air and U.S. think tank Global Energy Monitor .
CREA and GEM said, "There is no space for this new capacity to be utilised under the goals of the Paris Agreement", adding it could leave China with an additional $90 billion to $130 billion in stranded assets. "Along with the real estate slowdown, the pandemic and pandemic control measures and expected headwinds to exports are adding urgency to boosting the industrial and construction sectors, which are the most carbon-intensive part of the economy," said CREA lead analyst Lauri Myllyvirta.
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