Category Archives: Commentary

Commentary

China's growing use of gas: substitution for coal or additional energy consumption?

China's government has ambitious plans to raise the consumption of natural gas between 2011 and 2015. This demand will be met by growing domestic production of conventional and unconventional gas, as well as by imports. The key question is whether this greater availability of gas will lead to substitution of coal by gas, or to greater total energy consumption. Substitution on a significant scale will only occur if the government puts in place strong economic and administrative measures to constrain coal use.