On energy equity and China’s policy choices

Abstract

Energy is a resource that is essential to economic, cultural, and social development. As China’s economy enters its “new normal” state, it risks falling into the middle income trap, and energy equity is critical for China to get rid of the middle income trap, considering the great gap on energy utilization (including quantity, quality, and infrastructure) between rural and urban areas and the negligence of environmental equity. This article explains the political, economic, and environmental significance of energy equity from the perspectives of the energy trilemma, Engel’s coefficient, and environmental equity. After analyzing the meaning of energy consumption equity and environmental equity and identifying the problems facing China in these aspects, the authors suggest that China can do the following to promote energy equity: (1) ensure access to modern energy; (2) intensify the focus on environmental protection; (3) employ a nexus approach to energy management; (4) establish an energy eco-compensation mechanism; and (5) implement differential environmental protection standards and measures.