Technicians install wind power facilities in Lianyungang, East China's Jiangsu province. (Geng Yuehe/for China Daily)
Nation praised for rolling out financial platform to boost funding in energy efficient power projects
China is taking a leading role in building greener economies through the Belt and Road Initiative after rolling out environmentally friendly power projects at home.
The country has also embraced the decision by the World Green Economy Organisation, or WGEO, to launch a Financial Sector Platform to invest in energy efficient ventures.
Last week, Saeed Mohammed Al Tayer, chairman of WGEO, praised China's "ambitious green finance plans" as the program was unveiled at the United Nations' Compound in Beijing.
"China has launched an ambitious domestic program to develop a green financial system and is making green finance one of the priorities of its G20 presidency," Al Tayer said. "As such, China was selected to launch this effective platform."
The WGEO was launched by the United Arab Emirates last year to help combat climate change through international cooperation.
Part of the goal is to fuel "green economy" development worldwide, a project that is close to the hearts of both the UAE and China.
"Given the strength of trade ties and investment cooperation between the UAE and China, particularly the UAE's position as an important (part) of the Belt and Road Initiative, launching the Financial Sector Platform (here) speaks about our shared strategic objectives," Al Tayer said.
The UAE is a major oil producer and has the second biggest economy after Saudi Arabia in the Gulf Cooperation Council, or the GCC.
During the past decade, the country has pursued numerous energy-efficient projects and developed more environmentally friendly businesses and buildings,
China has also wheeled out policies geared toward renewable power as it plans for a greener future.
The country is a world leader in wind power generation and the largest market for photovoltaics and solar thermal energy.
"Launching the Financial Sector Platform will not only provide access to green finance, but also promote the standardization of green practices and implement national sustainable finance roadmaps," said Al Tayer.
State-owned enterprises here have been teaming up with economies involved in the Belt and Road Initiative to forge closer new energy ties.
The China Three Gorges Corp, which built and operates the world's largest hydroelectric power project, the Three Gorges Dam, is using advanced technology on key overseas projects.
Apart from the technological aspects, the government is also providing finance for sustainable economic development.
"As we all know, China has directly invested more than billion and initiated the Asian Infrastructure Investment Bank (AIIB), a new multilateral institution designed to finance vital public works throughout Asia's emerging economies," Al Tayer said.
The WGEO chairman stressed that as the UAE was a founding member of the AIIB, it was committed to the bank's central mission of bringing the Belt and Road Initiative to life.
Still, investment in transforming businesses and infrastructure across B&R economies, while combating climate change, will be a delicate balancing act, one energy consultant pointed out.
"Pressed by the growing attention from society on environmental protection, a great number of traditional industries and enterprises are eyeing transformation," said Li Li, energy research director at ICIS China, a consulting company that specializes in the energy market.
"In addition, with the enforcement of the Paris Agreement, a green transition becomes increasingly significant and urgent," Li added.
"Therefore, more diversified financial models and related techniques are needed to help traditional enterprises survive this historic moment."