China’s Carbon Emissions Are Set to Decline Years Earlier Than Expected
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China’s Carbon Emissions Are Set to Decline Years Earlier Than Expected

By SHA HUA
Mon, Feb 12, 2024 8:37amGrey Clock 4 min

China’s massive rollout of renewable energy is accelerating, its investments in the sector growing so large that international climate watchdogs now expect the country’s greenhouse-gas emissions to peak years earlier than anticipated—possibly as soon as this year.

China installed 217 gigawatts worth of solar power last year alone, a 55% increase, according to new government data. That is more than 500 million solar panels and well above the total installed solar capacity of the U.S. They appeared everywhere from the deserts of Inner Mongolia to the mountains of southwest China to rooftops across the country, including on the Great Hall of the People on the edge of Tiananmen Square.

Wind-energy installation additions were 76 gigawatts last year, more than the rest of the world combined. That amounted to more than 20,000 new turbines across the country, including the world’s largest, planted on towers in the sea off China’s east coast.

The low-carbon capacity additions, which also included hydropower and nuclear, were for the first time large enough that their power output could cover the entire annual increase in Chinese electricity demand, analysts say. The dynamic suggests that coal-fired generation—which accounts for 70% of overall emissions for the world’s biggest polluter—is set to decline in the years to come, according to the Paris-based International Energy Agency and Lauri Myllyvirta , the Helsinki-based lead analyst at the Centre for Research on Energy and Clean Air.

China’s expanding renewables footprint is shaping the global response to climate change. Its companies are the leading manufacturers of clean-energy technology, from solar panels and wind turbines to electric vehicles. That is stoking concerns in the rest of the industrialized world about depending on China for their energy supplies in the future.

At the same time, China’s deployment of renewables at home is breathing new life into international climate diplomacy . Its rapid emissions growth long provided fodder for critics who said Beijing wasn’t committed to fighting climate change or supporting the Paris accord , the landmark climate agreement that calls for governments to attempt to limit warming to 1.5 degrees Celsius over preindustrial temperatures. Now, analysts and officials say Beijing’s efforts are lending momentum to the Paris process, which requires governments to draft new emissions plans every five years.

“An early peak would have a lot of symbolic value and send a signal to the world that we’ve turned a corner,” said Jan Ivar Korsbakken, a senior researcher at the Oslo-based Center for International Climate and Environmental Research.

In 2020, Chinese leader Xi Jinping pledged that the country’s emissions would begin falling before 2030 and hit net zero before 2060, part of its plan prepared under the Paris accord. He also said China would have 1,200 gigawatts of total solar- and wind-power capacity by the end of this decade. The country is six years ahead of schedule: China reached 1,050 gigawatts of wind and solar capacity at the end of 2023, and the China Electricity Council forecast last month that capacity would top 1,300 gigawatts by the end of this year.

“China’s acceleration was extraordinary,” said Fatih Birol , the executive director of the Paris-based International Energy Agency.

Chinese authorities publish regular data on energy consumption and generation but not overall greenhouse-gas emissions. Transition Zero, a U.K.-based nonprofit that uses satellite images to monitor industrial activity and emissions in China, says the official data are “broadly aligned and consistent” with theirs.

Once the peak arrives, some analysts expect an emissions plateau to follow rather than a rapid fall in the following years. That is a problem, scientists say, because the world’s major emitters must sharply cut global emissions this decade—by 43% compared with 2019—to fulfill the Paris accord.

Climate Action Tracker, a scientific consortium that evaluates governments’ emissions plans, rates China’s current policies as “highly insufficient” to meet the 1.5 degrees Celsius goal . Its latest analysis, published in November, says China’s emissions should peak by 2025. If wind and solar installations can average 300 gigawatts a year—as they did last year—China’s emissions should fall significantly by the end of the decade, the consortium says. The actions and policies of the U.S., where emissions have been falling, were graded as “insufficient.”

Still, moving China’s timeline for an overall emissions peak forward could shave off around 0.3 to 0.4 degrees Celsius of projected global warming if emissions started to decline next decade, analysts say. Emissions plans submitted to date under the Paris accord would put the world on track to warm by 2.5 degrees Celsius this century, a United Nations Environment Program report said in November.

China is still building coal-fired power plants , fueling criticism from Western officials that it is locking in carbon-dioxide emissions years into the future. Beijing has been telling Western officials that the new plants won’t be as polluting as they fear. They are replacing older, higher-emitting plants, and will run far below full capacity, used largely to maintain electric-grid stability as China generates more of its power from intermittent wind and solar. In November, China unveiled a system of capacity payments for coal-fired plants that will allow them to earn money even when they are running as backup power sources. Xi said in 2021 that China would begin to phase down its coal consumption starting in 2026.

The exact timing of China’s peak depends on factors such as economic growth and weather in the next few years, analysts say. Growth is expected to slow following China’s real-estate sector slump —unless Beijing undertakes a major new program of economic stimulus that would boost industrial emissions. Another spell of drought this summer would push the country’s coal plants to run harder to replace lost hydropower generation.

The most certain variable in the equation is the breakneck pace of China’s renewable-energy rollout, which analysts expect will continue to add 200 to 300 gigawatts of new wind and solar capacity a year. The investments in renewable energy have become a major driver of the Chinese economy. The country’s clean-energy spending totaled $890 billion last year, up 40%. Without that growth, investment in China would have been flat as the country reels from the slump in its real-estate sector, according to the Centre for Research on Energy and Clean Air.

The investments include clean-energy installations and the construction of enormous factories to produce solar panels, wind turbines, batteries and electric vehicles—turning the country into the leading manufacturer of clean tech. Its factories in those sectors now have plenty of unused capacity . The adoption of electric vehicles is happening so rapidly that analysts say peak gasoline demand in China was already reached last year.

At the United Nations COP28 climate conference in Dubai in November, Xie Zhenhua , then China’s climate envoy , said the government would calculate the year and absolute volume of the country’s emissions peak. He also said Beijing is drawing up its next emissions plan under the Paris accord.

“Our country will do as it’s said and strive to do even better,” he said. “I have faith.”



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The computing revolution investors cannot ignore 

Quantum computing is moving from theory to real-world investment. Professor David Reilly says it could reshape finance, security and global technology infrastructure. 

By Jeni O'Dowd
Mon, Mar 9, 2026 3 min

For decades, the world’s computing power has quietly expanded at an astonishing pace.  

From the first transistor developed at Bell Labs in 1947 to modern processors containing billions and even trillions of transistors, each generation of technology has been faster, smaller and more powerful than the last. 

But according to quantum physicist and technology entrepreneur David Reilly, that era of effortless progress is beginning to slow. 

Reilly, CEO of Sydney-based Emergence Quantum and Professor of Physics at the University of Sydney, says the computing infrastructure underpinning modern economies is approaching fundamental physical limits. 

And that could have enormous implications for finance, artificial intelligence and global investment. 

Speaking at an industry event organised by Kanebridge International, Reilly said many critical parts of modern society depend on computing and the infrastructure used to process information. 

The slowdown behind the tech boom 

For years, the technology industry relied on a steady improvement known as Moore’s Law, where the number of transistors on a chip doubled roughly every two years.  

More transistors meant more computing power, allowing faster software, smarter devices and ever-larger data systems. 

Today, however, those gains are slowing. 

“It feels to me very innate that I’m going to just find that next year there’s going to be another breakthrough,” Reilly said. 

“But if you look at the data…there’s a slowing down, a roll off in performance that started some 10, 20 years ago.” 

Rather than making chips dramatically faster, manufacturers are now largely increasing computing capacity by packing more transistors onto each processor.  

The approach works, but it comes with growing complexity, higher costs and increasing energy demands. 

The brute-force race for AI 

That challenge is already visible in the massive data centres being built to support artificial intelligence. 

In the race to dominate AI, companies are constructing vast computing facilities that consume huge amounts of electricity and water. Reilly described this expansion as a “brute force” approach driven by the global competition to develop advanced AI systems. 

Yet the demand for computing power continues to accelerate. 

Artificial intelligence, advanced robotics, healthcare research, pharmaceuticals and cybersecurity all require far more processing capacity than today’s systems can easily deliver. 

The question now facing the technology sector is whether traditional computing can keep up. 

Enter quantum computing 

That is where quantum computing enters the conversation. 

Unlike conventional computers, which process information using binary switches that represent ones and zeros, quantum computers exploit the unusual behaviour of particles at the atomic scale. 

Reilly describes them as a fundamentally different type of machine. 

“So a quantum computer is a wave computer,” he said. 

Instead of processing information through simple on-off switches, quantum systems can use wave-like properties of particles to process many possible outcomes simultaneously. 

Those waves can interact in complex ways, reinforcing correct solutions while cancelling out incorrect ones. In theory, this allows quantum systems to tackle certain types of problems dramatically faster than classical computers. 

What it could mean for finance 

The concept may sound abstract, but its potential applications are significant. 

Quantum computers are expected to transform areas such as materials science, chemical modelling and pharmaceutical development.  

They could also help solve complex optimisation problems in logistics, finance and risk management. 

For financial institutions in particular, the technology could offer new tools for detecting fraud, analysing market behaviour and optimising portfolios. 

But the shift will not happen overnight. 

“One message to take away is that quantum is not going to suddenly solve all of your problems,” Reilly said. 

Instead, he said quantum systems will likely complement existing computing technologies as part of a broader and more diverse computing ecosystem. 

Why data centres may soon “go cold” 

One key change already emerging is how computing systems are physically designed. 

Many next-generation technologies, including quantum processors, operate far more efficiently at extremely low temperatures. As a result, future data centres may rely heavily on cryogenic cooling systems to manage heat and energy consumption. 

Reilly believes that the shift will gradually reshape the computing industry. 

“Over the next five years, you’re going to see data centres go cold,” he said. 

“And as that happens, they almost drag with them new compute paradigms.” 

Emergence Quantum, the company he co-founded, is focused on developing technologies to support that transition, including cryogenic electronics and integrated hardware platforms designed for quantum computing and energy-efficient systems. 

A new technological era 

For investors and businesses, the technology remains in its early stages. But the scale of global interest is growing rapidly. 

Governments, research institutions and technology companies are investing heavily in quantum research, betting it could become a foundational technology for the next generation of computing. 

For Reilly, the moment feels similar to earlier technological turning points. 

In the 19th century, new discoveries in thermodynamics helped drive the development of steam engines and the Industrial Revolution. In the 20th century, advances in electromagnetism led to radio, television and eventually the internet. 

Quantum physics, he suggests, could represent the next chapter in that story. 

“Today we have, as a society, in our hands new physics that we’re just beginning to figure out what to do with,” Reilly said. 

“But I think it’s an exciting time to be alive and watch what happens over the coming decades.” 

 

 

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