China Needs New Energy Technologies.

China can afford to meet its burgeoning energy needs without compromising environmental goals by applying new technologies and accelerating market reforms, according to a report issued by Battelle, Columbus, Ohio. "China's Electric Power Options: An Analysis of Economic and Environmental Costs" is a joint effort by Battelle's Advanced International Studies Unit, the Beijing Energy Efficiency Center, and China's Energy Research Institute.

Rapid economic growth over the past two decades has made China the fastest growing market for electric power in the world. Since 1990, the country has added the equivalent of one large (600 megawatts) power plant every two weeks. Its heavy reliance on coal to fuel most of these needs has caused extensive environmental damage. Sulfur dioxide emissions alone, the main precursor of acid rain, cost the economy more than $13,000,000,000 each year, erasing two percent of the nation's gross national product.

"Chinese planners and government officials have often placed economic growth ahead of environmental concerns," Jeff Logan, lead author of the report, points out. "But we found that when you consider the full environmental costs of producing electricity, it's actually more economical to use cleaner alternatives, like flue gas desulfurization equipment, natural gas, and clean coal technologies." He adds that China should accelerate its research and development programs on fuel cells, gas and wind turbines, gasification processes, and other advanced power technologies as a way to meet future energy and environmental goals with the least cost. "We think China could become a leading exporter of these advanced technologies within two decades."

Results of the study indicate that:

* Controlling sulfur emissions in southern China is cheaper than incurring the environmental and health damages they cause.

* Natural gas can meet up to one-third of the country's future power needs for less total cost...