China

As the first emitter of CO₂, China has promised, under the Paris Climate Agreement, to reach the emission peak of CO₂ by 2030 and reduce its emissions by 60 à 65 % per unit of GDP by 2030 compared with 2005 level.

In order to help accelerate this transition, our actions focus on financing pilot projects, on innovative segments, renewable energy and energy efficiency to promote carbon-free growth.

We support the creation and restoration of heating networks, enabling significant energy savings especially through the adoption of innovative and state-of-the-art technology solutions :

• support for the construction of a biomass cogeneration plant in Yichun (Heilongjiang Province)

• construction of decentralized geothermal systems to recover the heat of treated waste water from two sewage treatment plants to supply collective heating for two districts of Jinan (Shandong Province).

AFD also supports the establishment of food waste management and recovery system in the city of Shaoyang (Hunan Province). Since 2007, the Agency is also working with Chinese banking institutions through « green » credit lines to finance green investments, including renewable energy and energy efficiency projects.

Reduce the ecological footprint of cities

In China, AFD strives to mitigate the negative effect of urbanization and to improve the use and management of water resources. We fund several waste water treatment and drinking water production projects, using energy-saving technologies, providing advanced processing technology and high-quality services, as well as a sponge city pilot project in a district of Mianyang (Sichuan Province).

AFD also finances projects to protect and restore the cultural heritage, for example the historic center of the Qixian district (Shanxi Province).

Protect the natural heritage

The portfolio of biodiversity projects in China is currently the largest for AFD in this sector. We finance programs enabling the development and protection of ecosystem and natural resources with a view to sustainable management of global public goods.

• AFD supports the development of several projects, such as wetland restoration in Liaoning, Shanxi and Hunan, reforestation in Yunnan and forest biodiversity conservation in Anhui.
• AFD also stands by Xianju district (Zhejiang Province) in the implementation of a pilot project as part of national parks reform in China to protect, restore and develop the exceptional natural and cultural heritage of Xianju.

As a major international investor, China is playing an increasingly important role in international development funding. The amount of its funding will be decisive to achieve the global Sustainable Development Goals. The achievement of co-financing with Chinese stakeholders in third countries aims to promote international stan- dards in environmental and social issues, governance, contracting and funding sustainability.

China is committed to defining a long-term low-carbon strategy (2050). The dialogue initiated with Chinese authorities relates in particular to the energy transition and the implementation of a national greenhouse gas emission contract through partnerships and cooperation with the institutions such as the International Energy Agency (IEA). Besides, AFD also continues its dialogue with the academic world, think tanks, banks and regulatory authorities on the management of climate finan- cial risks and aims to support the financial stakeholders’ practices transformation.

China is a Megadiverse country, and its biodiversity crisis needs strong policy guidance. AFD group develops projects in Chinese ecological transition sector, participates in France-China bilateral dialogue and institutional exchanges on biodiversity. It also contributes, at its level, to the preparation of COP 15 of the Convention on Biological Diversity (Kunming, 2021).