• The transformation of the district heat system of the city of Jinan (capital of Shandong Province), which will move from steam supply to hot water supply, improving the whole automation of the system. The project will increase energy efficiency and will lead to a better use of resources, reducing both greenhouse gas emissions and water consumption. The project will almost halve heat losses by 46% and electricity consumption for the system by 48%, and will reduce water usage by 16%. With the project, the combined heat & power plants will become highly efficient and fully compliant with the respective EU Directives. The EIB provides EUR 31 million to support this project.
• The installation of street, building, landscape and lawn lighting with energy efficient lights running on renewable solar energy, in Chaoyang City (Liaoning Province). Energy will be produced by photovoltaic modules, making use of batteries for energy storage, both in stand-alone mode or integrated with network energy. The EIB provides EUR 29 million to support this project.
• 10 small scale hydropower plants, with a total capacity of 62 MW, in Yichang City (Hubei Province). The project aims at increasing the share of renewable energy in the general production mix in China. A particular focus has been brought on the environmental and social impact of these projects where mitigating measures are satisfactorily implemented. The EIB provides EUR 40 million to support this project scheme.
• The construction and operation of a sodium carbonate and ammonium chloride co-product plant, using the CO2 currently vented from the existing fertiliser complex. The project will allow the use of residual heat, waste gas streams and solid residues to produce energy, thus increasing the energy efficiency of the production facilities. The plant is located in Qiaokou Township (Hunan Province). The EIB provides EUR 30 million to support this project.

All four projects will result in a significant reduction of emissions of greenhouse gases and other pollutants, as well as improve energy efficiency, thereby contributing to the mitigation of global climate change. All projects will seek CDM registration for carbon credit generation; the possible sale of carbon credits would further improve their financial situation and mitigate the extra-cost of their “green” investments.

The operations are in line with the objectives of the CCCFL and will contribute to the European Union-China Strategic Partnership, which among other things provides for joint efforts to mitigate climate change, in particular under China’s National Climate Change Programme.

Since the signature of the CCCFL in November 2007, 20 project schemes received EIB funding for a total amount of EUR 334 million (out of the EUR 500 million available under the CCCFL). Overall CO2 emission reductions will stand at 1.57 million tons every year when all schemes will be fully operational.