Presentation from the 2014 World Water Week in Stockholm www.worldwaterweek.org

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Towards a Water-Energy Secure Future in China

3rd September 2014, Eyes on Asia, World Water Week in Stockholm Dr.Lailai LI, China Country Director, World Resources Institute

Flicker/jonasclemens

Agenda Water Risks in China and WaterEnergy Nexus Energy Production and Water Use Increased Energy Intensity in Water Sector

Key Findings and Recommendations

WATER STRESS IN CHINA: Water resources and baseline water stress

Water Resources per Capita in China

Baseline Water Stress in China

WATER STRESS IN CHINA: Water withdrawal by various sectors

Water Use by Sectors in China

WATER-ENERGY NEXUS (WEN): Conceptual framework Fuel extraction, production and power generation

Water

Climate Change

Energy

Water withdraw, conveyance, treatment and pumping

• Water and energy are interlinked • Increased water demand in energy sector: a big challenge for water security • Increased energy intensity in urban water system: a potential challenge for low carbon city development

Agenda Water Risks in China and WaterEnergy Nexus Energy Production and Water Use Increased Energy Intensity in Water Sector

Key Findings and Recommendations

Energy Production and Water Use

Baseline water stress and power generation by energy type

Trends in water withdrawal for power generation

Energy Production and Water Use: Power MISMATCHED ENERGY AND WATER INPlants CHINA

Power Sector: Largest contributor to GHG emissions and biggest industrial water user in China Installed capacity will increase by 50% between 2011 to 2015

Energy MISMATCHED Production ENERGY and Water AND Use: WATER SNG IN projects CHINA

• (map re power generation/baseline water stress in China)

Energy Production and Water Use: Shale gas reserves

Baseline water stress and shale gas reserves

Agenda Water Risks in China and WaterEnergy Nexus Energy Production and Water Use Increased Energy Intensity in Water Sector

Key findings and Recommendations

ENERGY FOR WATER: Increased energy intensity in water supply (Qingdao, China) Electricity per unit water production （kWh/m3）

High cost, energy

4.0

consumption, environmental and social risks

3.5 3.0 2.5

2.0 1.5 1.0 0.5

0.0 0

20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 220,000 240,000 260,000 surface

Yellow to Qingdao

ground

Reclaimed wastewater

Water supply potential (10,000 m3 per year)

S to N desalination blackrish

ENERGY FOR WATER: Increased energy intensity in wastewater treatment

Agenda Water Risks in China and WaterEnergy Nexus Energy Production and Water Use Increased Energy Intensity in Water Sector Key Findings and Recommendations

Key findings and Recommendations

• Improvement of the awareness of water-energy nexus • Intensification of water stress in energy development – The power sector is China’s largest industrial water user, and its water demand increased 60 percent in the past decade. – 94.3 percent of China’s total power generation capacity is heavily reliant on water, making the power sector vulnerable to climate change. – 12 percent of China’s thermal power fleet are still using water intensive open-loop cooling technology.

• Increased energy intensity in water system

Key findings and Recommendations

• Empower water management in energy development – – – –

Water use cap Water right trading Water resources assessment Water tariff reform

• Upgrade cooling system in power generation – Expand the deployment of dry cooling to all inland provinces facing high water risk – Gradually phase out the outdated open-loop technology in south China

Key findings and Recommendations

• Establishment of energy management in water sector – Carbon accounting for water sector

– Improving energy efficiency water supply and wastewater system – Incorporating energy consideration into water sources allocation

• Build up the statistical system for water-energy nexus • Develop water-energy nexus plan

Supporters

Contact Dr.Lijin Zhong Senior Associate China Water Lead World Resources Institute China Office (86)10-6416 5697-55 [email protected] www.wri.org