An emphasis on the development of clean energy in China has transformed the global cleantech industry. China's central government has proven that it can implement changes in its energy landscape at an extremely expeditious pace. As a result of its ability to change energy policies rapidly, China's cleantech initiatives have helped the country surpass members of the G-20, including the United States, as the leader in clean energy investments in 2009. By 2020, China anticipates its solar target to be 20 GW and its wind target to be 150 GW, resulting in a major change for a country that currently derives 80% of its electricity from coal. Furthermore, China has set targets for 2015 and 2020 that include hydro capacity of 280 GW; 90 GW of wind by 2015 and 150 GW by 2020; a nuclear target of 80 GW; 5 GW solar PV installations for 2015 and 20 GW for 2020; and low-carbon vehicle sales of 1 million units by 2015.

CLSA's 2011 China Opps Market Outlook states that for the next five-year plan, the government may double the use of alternative energy to 418 GW. According to the 2010 Clean Energy Trends by Clean Edge, China could end up spending $440 billion to $660 billion on its clean-energy build-out over the next 10 years. Worldwide wind power new installation capital costs are projected to expand from $63.5 billion in 2009 to $114.5 billion in 2019, of which China should be the biggest participant. Last year's global wind power installations reached a record 37,500 MW. China, the global leader in new installations for the first time, accounted for more than a third of new installations, or 13,000 MW.

Our focus on global cleantech solutions is strongly aligned with the policies of the central government for clean energy in China, which is fostered through substantial growth in wind, solar and nuclear. China's cleantech goal is clear: cut carbon emissions while increasing the energy production to drive economic growth. Barron Partners is committed to win-win investments with companies in China.