Accelerating the Green Transition: China’s 1+N Policy Framework, Two Sessions, and Beyond

By Hengrui Liu

At the Climate Policy Lab, we consistently monitor, update, and expand our Climate Policy Databases covering major greenhouse gas-emitting countries. To date, we have developed comprehensive national climate policy inventories for the United States, China, India, Brazil, Mexico, Ethiopia, and Indonesia. These inventories enable observers to track individual governments’ progress in designing, implementing, and enforcing national climate policies that align with their ongoing international commitments and agreements.

As part of our tradition of regularly publishing policy briefs on significant climate policy developments worldwide, we are releasing our latest policy brief on China’s climate policy progress in 2022. This new policy brief covers China's recent advancements in climate policy development, climate mitigation and adaptation progress, an updated climate change adaptation strategy, a more ambitious NDC, and new targets in the 14th Five-Year Plan.

The most prominent climate policy development in 2022 was the 1+N policy framework, which outlines a comprehensive roadmap for peaking emissions across various sectors before 2030. The 1+N policy framework consists of overarching guidance: the “1,” and action plans and policy measures for key sectors and industries: the “N.” These policies prioritize the decarbonization of the industrial sector, primarily focusing on building materials, metallurgy, and chemical industries. To enhance coordination and strengthen enforcement in response to climate change, the Chinese government has formed Carbon Peaking and Carbon Neutrality (CPCN) Leading Groups at national, provincial, and municipal levels since 2021. Han Zheng, formerly Vice Premier and now Vice President, heads the CPCN leading group with officials from 30 ministries and commissions as members.

Every March, the Chinese government organizes a series of meetings in Beijing to approve new laws and amendments and validate leadership positions. The event is commonly referred to as the “The Two Sessions” because it comprises two major assemblies: the National People’s Congress (NPC) and the Chinese People’s Political Consultative Conference (CPPCC). The NPC is often dubbed “China’s parliament,” while the CPPCC serves as an advisory body. Why does it matter to climate policy in China? It matters because delegates engage in discussions that can influence how Chinese laws and policies are crafted.

Following the completion of the “1+N” climate change policy framework in 2022, the Chinese government has demonstrated an ongoing policy trend to strengthen policy measures for achieving carbon peaking and carbon neutrality during this year’s Two Sessions. In his final Government Work Report, former Chinese Premier Li Keqiang highlighted China’s accomplishments in energy efficiency, emission reduction, and the transformation of its energy structure over the past five years. Key milestones include an 8.1% decrease in energy consumption per unit of GDP, and a significant rise in the proportion of clean energy consumption.

During the 14th CPPCC, a new environmental resources sector was established – the first new sector added in 30 years since 1993. The new sector aims to address the contradictions between development and environmental resources, one of the core issues of high-quality development. The establishment of the new sector aligns with China’s new Premier Li Qiang’s statement during a press conference that China will shift its focus to high-quality development.

The Two Sessions have revealed new initiatives regarding climate change legislation and policies. One proposal is to introduce a “Climate Change Law” in China that would provide a legal basis and effective institutional guarantee for carbon emission reduction and trading activities under China’s ETS. Another suggestion made by Two Sessions representatives is for China to establish a sustainable disclosure standards development institution and create a coordination mechanism involving relevant ministries in response to the sustainable disclosure standards being developed in the European Union and the United States.

If the proposed “Climate Change Law” is enacted, it could serve as a crucial legal foundation for China’s transition to a low-carbon economy. This move would also help the country enhance its climate resilience and drive innovation in clean technologies. While it is difficult to predict the development of China’s climate change laws and policies this year, the positive signs from the Two Sessions demonstrate China’s ongoing commitment to green transition, despite the ceremonial nature of the meetings.

 Hengrui Liu is a predoctoral research fellow in the Neubauer Family Economics and Public Policy program (The Fletcher School and the Graduate School of Arts and Sciences at Tufts University).