Dr Frauke Urban Climate Change and Development Centre, IDS

Tsinghua University, 19th March 2010

International collaboration

for equitable low carbon development:

NZEC and Low Carbon Innovation Centres

UK-China Innovation for Sustainability and Equitable Development

NZEC: The UK-China Near Zero Emissions Coal project

Background:

China has rapidly increasing CO2 emissions

40-50% of the emissions come from the energy sector

Strong reliance on coal contribution to climate change

Low carbon technologies are needed to reduce emissions and to move towards a low carbon economy

NZEC: The UK-China Near Zero Emissions Coal project

UK-China innovation collaboration:

NZEC: Near Zero Emissions Coal project

Bilateral innovation initiative for carbon capture and storage (CCS) between the UK and China

CCS is a new technology which captures the CO2 from fossil fuels during the combustion process and stores it underground in geological formations

NZEC: The UK-China Near Zero Emissions Coal project

Objectives:

Demonstrating advanced, near zero emissions coal technology through CCS in China and the EU by 2020

Enhance knowledge transfer between Chinese and UK parties from academia, industry and policy-making

Build capacity for CCS in China

Explore options for demonstration projects and CO2 storage

Develop CCS innovation technology and construct a demonstration plant by 2015 in China

NZEC: The UK-China Near Zero Emissions Coal project

Initiators and actors:

Bilateral agreement developed by Chinese and UK policy-makers in 2005

Developed out of the EU-China Summit as part of the EU-China Partnership on Climate Change

Funded by the UK's Department of Energy and Climate Change DECC

Implemented by China’s Ministry of Science and Technology MOST

NZEC: The UK-China Near Zero Emissions Coal project

Partners:

Wide range of project partners from academia, private sector businesses and state-owned businesses

10 UK partners include British Geological Survey, BP, Cambridge University, Imperial College, Shell

20 Chinese partners include Chinese Academy of Sciences, Tsinghua University, Energy Research Institute, Greengen, BP Centre at Tsinghua, China University of Petroleum, PetroChina

NZEC: The UK-China Near Zero Emissions Coal project

Time frame:

2005 – 2015

Consultations in 2005/2006

First phase completed 2007-2009

Funding:

First phase: DECC provided £3.5 million funding

Phase 2 / 3: estimated at £7.5 -15 million (Phase 2) and £35-750 million (Phase 3) based on the technology chosen

NZEC: The UK-China Near Zero Emissions Coal project

Impacts:

CCS technology could reduce 85% of CO2 emissions from coal significant climate change mitigation potential within Chinese energy sector

Knowledge sharing for innovation between China and UK

Technology cooperation between China and UK for low carbon innovation

CCS demonstration plant running in China by 2015

Low Carbon Innovation Centres

Background:

Low carbon development requires the development and promotion of appropriate low carbon technology innovation

China and other developing countries need support to gain access to and develop low carbon innovation

Additional funding needed

Low Carbon Innovation Centres

Objectives:

Accelerate the development and commercialisation of emerging low carbon technologies

National, regional or global levels

Support the transition to low carbon development pathways in low and middle-income countries

Provide additional funding

Low Carbon Innovation Centres

Initiators and actors :

Key actors: DfID, World Bank-based network InfoDev, institutions/experts like Carbon Trust

Carbon Trust held consultations with developing country experts

DfID to test low carbon innovation approach together with InfoDev

Multilateral innovation initiative for at least three developing countries

Short-listed countries in 2008: China, India, Brazil, South Africa, Indonesia, Mexico, Vietnam and Kenya

2010 onwards: low carbon innovation centre in China?

Low Carbon Innovation Centres

Time frame:

2008-9: scoping and stakeholder engagement

2010 onwards: setting up centres

1-5 year trial period

Funding:

Estimates by Carbon Trust: US$ 40 -100 million per centre per year

Funding from DfID and other bilateral and multilateral development agencies

Low Carbon Innovation Centres

Impacts and future plans:

Acceleration of low carbon development in developing countries

Acceleration of deployment of low carbon technologies in developing countries

Overcome key barriers to innovation

Enhance R&D by adapting technology to local needs

Set up business incubator services by providing business skills for start-ups

Create new enterprises

Provide early stage funding for low carbon ventures

Enhance capacity building

Gain new insights into innovation policy and markets

Opportunities for collaboration

China Low Carbon Platform: Dissemination of research reports, policy documents and news on low carbon innovation for China

ESRC Rising Powers: China’s impact as an emerging power on energy and climate-relevant issues in low income countries / How could Chinese energy innovation policy affect low income countries in SE Asia and Africa?

Proposal to ESRC: Innovation and technology cooperation for CCS, offshore wind energy and solar power between China and European Union

Thank you for your attention

Questions?