11 China’s Role
and Responsibilities in Global
Energy Governance
11.1 China’s Role in Global
Governance Reform Is
Increasingly Important
From an outsider to an insider, from a follower to
an influencer: could China promote and lead the
reform of global energy governance?
11.1.1 China Has Become a Country
with the Strongest Global
Economic and Energy
Influence—This Influence
Will Last
(1) Economy: China has become the world’s
second largest economy and will remain
open to maintain fast growth. Its global
influence is far-reaching
Despite China undergoing structural adjustment
and entering a new economic phase of slower
growth, the scale, speed and quality of its economic rise remain the highest in the world.
Eventually, China may overtake the USA in
terms of the size of its economy, which means
the relations between China and India may need
to be taken into long-term consideration.
New changes are occurring in China’s foreign
economic relations: the first is the change in scale
from being a small trading country to a large
emerging economy; and the second is the structural change resulting from China’s comparative
advantages.
China is going to implement new strategies of
openness, namely those of strengthening its
emerging power, improving its international
competitiveness and building mutually beneficial
win-win relations with the international community. New benefits in international competition and new patterns in China’s openness need
effective global governance to safeguard financial security, resources and energy.
(2) Energy: China has become the world’s
most influential country in energy and its
influence is increasing
In terms of energy supply and demand, China is
the centre of the global energy industry, as it is
the world’s largest energy consumer. China will
continue to be the largest growing energy market
and is already transitioning to low-carbon
energy.
(3) Trends: Forecasting global economic and
energy trends is important for China,
enabling it to expand its influence in
international energy
The world economy is recovering, but uncertainty remains. In contrast, China’s economic
growth and energy development are largely
ensured. The reconstruction of the global energy
governance system is accelerating and the global
energy landscape is adjusting. As the interests of
energy producers and consumers differ, the focus
of competition shifts to winning control over
energy pricing, currency settlement, and transition and reform.
(4) Inclusiveness: China’s participation in
global energy governance is essential to
improve inclusiveness and universality
The existing global energy governance system
does not meet the requirements of emerging
economies, including China. These countries
want to take part in the governance system and
address global energy supply and demand. The
main defects of the current governance framework are: participants are not well represented;
an effective dialogue mechanism between energy
suppliers and consumers is not in place; the
system does not address the diversity of energy
supply, and; it does not meet multiple objectives,
such as combating climate change or promoting
technology transfer.
Global energy governance is evolving into a
new system that is inclusive, multi-polar and
Special Report 5: International Energy Cooperation and Governance
673
and Responsibilities in Global
Energy Governance
11.1 China’s Role in Global
Governance Reform Is
Increasingly Important
From an outsider to an insider, from a follower to
an influencer: could China promote and lead the
reform of global energy governance?
11.1.1 China Has Become a Country
with the Strongest Global
Economic and Energy
Influence—This Influence
Will Last
(1) Economy: China has become the world’s
second largest economy and will remain
open to maintain fast growth. Its global
influence is far-reaching
Despite China undergoing structural adjustment
and entering a new economic phase of slower
growth, the scale, speed and quality of its economic rise remain the highest in the world.
Eventually, China may overtake the USA in
terms of the size of its economy, which means
the relations between China and India may need
to be taken into long-term consideration.
New changes are occurring in China’s foreign
economic relations: the first is the change in scale
from being a small trading country to a large
emerging economy; and the second is the structural change resulting from China’s comparative
advantages.
China is going to implement new strategies of
openness, namely those of strengthening its
emerging power, improving its international
competitiveness and building mutually beneficial
win-win relations with the international community. New benefits in international competition and new patterns in China’s openness need
effective global governance to safeguard financial security, resources and energy.
(2) Energy: China has become the world’s
most influential country in energy and its
influence is increasing
In terms of energy supply and demand, China is
the centre of the global energy industry, as it is
the world’s largest energy consumer. China will
continue to be the largest growing energy market
and is already transitioning to low-carbon
energy.
(3) Trends: Forecasting global economic and
energy trends is important for China,
enabling it to expand its influence in
international energy
The world economy is recovering, but uncertainty remains. In contrast, China’s economic
growth and energy development are largely
ensured. The reconstruction of the global energy
governance system is accelerating and the global
energy landscape is adjusting. As the interests of
energy producers and consumers differ, the focus
of competition shifts to winning control over
energy pricing, currency settlement, and transition and reform.
(4) Inclusiveness: China’s participation in
global energy governance is essential to
improve inclusiveness and universality
The existing global energy governance system
does not meet the requirements of emerging
economies, including China. These countries
want to take part in the governance system and
address global energy supply and demand. The
main defects of the current governance framework are: participants are not well represented;
an effective dialogue mechanism between energy
suppliers and consumers is not in place; the
system does not address the diversity of energy
supply, and; it does not meet multiple objectives,
such as combating climate change or promoting
technology transfer.
Global energy governance is evolving into a
new system that is inclusive, multi-polar and
Special Report 5: International Energy Cooperation and Governance
673