Environmental Engineering Reference
In-Depth Information
Figure 8. Source: World Bank http://www.eia.doe.gv/environment.html
ducer of renewable energy, as it doubled its wind
power capacity for the fifth year in a row, becom-
ing the fourth biggest producer of wind power at
the global level (Renewable Global Status Report
2007, 2008). In its 2009 update, the Global Status
Report points out that in 2008 China overtook
Japan as the worldwide leader in photovoltaic cell
production (Renewable global Status Report 2009
UPDATE, 2009, p. 8). The fundamental and
critical question is if and to what extent diverse
sources of renewable energy could provide an
alternative source for China's coal based energy
production and equally critically the ability of
generating enough energy to keep up with the
increasing demand. Another, fundamental issue
relates to the crucial question of how long the
'window of opportunity' for alternative routes of
economic development will exist as economic
investment in specific industries will create spe-
cific incentives and embedded interests which
may forestall a future shift in a country's develop-
ment strategy. In this context, Ruth points towards
a process of co-evolving of a specific institu-
tional setting for particular industries. Citing the
example of centralized fossil-fuel based power
plants which led to the generation of public/private
research facilities for addressing related issues,
thereby generating additional vested interests and
facilitating a process of development which Ruth
describes as, 'lock in' systems, consequently
forestall a shift in strategy at a later stage (Ruth,
2005, p.162). One may recall the dominant posi-
tion heavy industry enjoyed in pre-reform China
and the political power of the related ministries,
to appreciate the implications the selection a
specific economic developmental strategy has.
Overall, the dominance of the heavy industry was
based on political decisions made by the leader-
ship indicating their conviction that the develop-
ment of heavy industry was a pre-requisite for
national development and national strength. In
this context it is worth noting that the Chinese
government designated the automotive industry
as a pillar industry of the national economy in
1994, thereby not only following other major
industrial countries but also providing important
signals for a specific industrial development as
