China has in recent years seen a boom in renewable integration and has recently committed to net zero emissions by 2060, which will even further accelerate the deployment of renewables. In order to successfully integrate renewables into the Chinese electricity sector, China has started to undertake major market reforms which is exemplified by spot market pilots in several provinces.
The IEA has a strong collaboration with China, and under this collaboration the IEA and the NEA hosted a roundtable discussion on electricity markets and low carbon support mechanisms. The roundtable outlines recent trends in renewable subsidy mechanisms as well as how the subsidy mechanisms interplay with electricity markets. The roundtable also explored the coexistence of electricity markets, market based renewable support mechanisms and carbon trading, in order to understand and discuss what the best policy mix is to ensure deployment of renewables in with market based instruments.
The organisation of this event was made possible through the Clean Energy Transitions in Emerging Economies programme, which received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 952363