Five Years After China’s Overseas Coal Pledge, Off-Grid Plants Test Its Commitment
China generated less than 50% of its electricity from coal in the six months to June, a first for the country. South African President Cyril Ramaphosa and Chinese ambassador Wu Peng unveiled the first phase of Ummbila Emoyeni, a Chinese-built wind farm in Mpumalanga province, and environmental groups in Zimbabwe welcomed the Industrial and Commercial Bank of China's decision not to fund the $3 billion Sengwa coal-fired project. China has funded about 39 GW of coal electricity around the world, particularly in South and Southeast Asia, and those plants would breach 2040 carbon targets if they operate until the end of their lifespans.
Why it matters: The items bear on the energy transition theme: China's falling domestic coal share contrasts with the overseas coal capacity it has financed, whose operating lifetimes determine whether its pledge holds.