Energy Economics in China's Policy-Making Plan: From Self-Reliance and Market Dependence to Green Energy Independence

Abstract The chapter provides a framework for delineating the transformation of China's development policy from a social-communist self-reliance national model (1949 to the 1970s) to a market-oriented dependency (the 1970s to 2008), and then today (2009 into the future) to an alternative sustainable path of social capitalism with a focus on the environment, sustainability, and renewable energy. This is being done now through the current 12th Five-Year Plan implemented in Mar. 2011. In the past decades China's growing energy dependence has become a major concern for its environment, economic and security directly related public policymakers in which each area is expanding to link with foreign policy objectives. Furthermore, Chinese energy demands and their impact on the environment have become a top priority of national security and policy legitimacy. China is rethinking its land development strategies to integrate green and renewable energy in policy-making calculations aimed at alternative or renewable energy for sustainable development of large and small communities. The current trend is very promising due to China's new environmental strategies and energy policies. Now in the 12th Five-Year Plan, China is set to become the global economic leader in policy, research, development, production, finance, and application of renewable energy systems for sustainable communities. Yet today China is straddled by the limited fossil fuel energy supplies to meet its economic demands for the massive increase in power required for its growing vehicle transportation and building needs.