How might China achieve its 2020 emissions target? A scenario
analysis of energy consumption and CO
2
emissions using the system
dynamics model
Xi Liu
a, b
, Guozhu Mao
a, *
, Jing Ren
a
, Rita Yi Man Li
c, d, e
, Jianghong Guo
f
, Ling Zhang
g
a
School of Environmental Science and Engineering, Tianjin University, Tianjin 300072, China
b
College of Management and Economics, Tianjin University, Tianjin 300072, China
c
Sustainable Real Estate Research Center, Hong Kong Shue Yan University, North Point, Hong Kong
d
Department of Economics and Finance, Hong Kong Shue Yan University, North Point, Hong Kong
e
School of Natural and Built Environments, University of South Australia, Adelaide 5000, Australia
f
Hydrochina Huadong Engineering Corporation, Hangzhou 310014, China
g
School of Pharmaceutical Science and Technology, Tianjin University, Tianjin 300072, China
article info
Article history:
Received 2 September 2013
Received in revised form
9 December 2014
Accepted 11 December 2014
Available online 31 December 2014
Keywords:
Energy consumption
CO
2
emissions
System dynamics
Scenario analysis
abstract
According to the Chinese government's CO
2
reduction commitment, the production and consumption of
traditional and renewable energy in China from 2001 to 2012, this paper forecasts the energy con-
sumption, gross CO
2
emissions and CO
2
emission intensity in China from 2013 to 2020 via system dy-
namics simulation. Coupled with the energy system and renewable energy policy factors, the effects of
different economic growth rates and policy factors on the energy consumption were estimated. The
results showed that in different economic growth rates scenarios, total energy consumption and CO
2
emissions increased by 36,140.75 kWh and more than 10,000 billion kg in 10% GDP growth rate scenario
than in the 7% scenario in 2020. The CO
2
emission per GDP decreased by 52% in 2020 as compared to
2005 under the scenario of 10% GDP growth rate. Under different renewable energy policy factors'
scenarios, the coal energy consumption decreased by 2.3% in scenario of 5% policy factor as compared to
1% policy factor scenario. The CO
2
emissions reduced by 3321.94 billion kg in 2020 under the scenario of
5% policy factor as compared to that in the scenario of 1% policy factor. The CO
2
emission per GDP
reduced by 47e50% based on the 2005 level in different scenarios of renewable energy policies. We
found that with an increase in GDP, total energy consumption and CO
2
emissions increased in the base
scenario. Higher economic growth rates led to an increase in energy consumption, including both the
traditional and renewable energy resources. In stark contrast to total CO
2
emission, however, CO
2
emission intensity decreased with an increase in economic growth rate. The renewable energy policy
improved the renewable energy development, reduced CO
2
emissions and CO
2
emission intensity. It was
more effective in energy saving and CO
2
reduction than the high growth rate scenarios. The results
indicated that China is highly likely to achieve its CO
2
emission reduction goal under different simulated
scenarios. Besides, the energy distribution was similar in different scenarios. Coal was the major energy
source which amounted to more than 70% of the total energy consumption. Finally, we conclude with
important policy implications according to our simulations results.
© 2015 Elsevier Ltd. All rights reserved.
1. Introduction
In recent years, international communities increasingly recog-
nized the severe problems of climate change, leading to an increase
in pressure to reduce CO
2
emissions (Zhang et al., 2012). The rapid
development in industrialization and urbanization has led to an
increase in energy use in China sharply to 3617.32 million tons
standard coal equivalent in 2012. It accounts for 21% of the global
primary energy consumption and China has surpassed the US as the
major contributor of CO
2
emissions (Wang and Liang, 2013). Thus,
China is facing an urgent need to reduce energy consumption, CO
2
emissions and improve environmental conditions (Cheng et al.,
* Corresponding author. Tel.: þ86 135 020 786 77.
E-mail address: maoguozhu@tju.edu.cn (G. Mao).
Contents lists available at ScienceDirect
Journal of Cleaner Production
journal homepage: www.elsevier.com/locate/jclepro
http://dx.doi.org/10.1016/j.jclepro.2014.12.080
0959-6526/© 2015 Elsevier Ltd. All rights reserved.
Journal of Cleaner Production 103 (2015) 401e410