China's Efforts to 'Green' the Belt and Road

Download the Brief THE ISSUE As China comes under increased scrutiny over its global energy investments, Chinese authorities have announced a series of multilateral initiatives to “green” its Belt and Road initiative (BRI). Of these, the BRI International Green Development Coalition and the Green Investment Principles for the Belt and Road Development show the most promise, yet they are in danger of failing to deliver on their stated goals. As long as investors on the ground only need to follow host countries' environmental standards and Belt and Road members can free ride on Chinese “green” initiatives, investment along the Belt and Road—particularly in new fossil fuel energy infrastructure—will undermine China's political rhetoric and climate targets. While just recognizing the problem is a positive step for China, these initiatives are generally too voluntary to be effective, too duplicative to be adding value, and too opaque to be adequately assessed. HOW SERIOUS ARE CHINA'S EFFORTS TO “GREEN” THE BELT AND ROAD? For the last decade and a half, China has taken a prominent role in investing in and developing infrastructure projects around the world, particularly in the energy sector. These investments, which since 2013 have been loosely connected under the banner of the Belt and Road Initiative (BRI), have garnered a great deal of attention and criticism for their geopolitical, financial, and environmental implications. In response, China has launched a wide array of multilateral initiatives of varying scope and ambition to “green” the BRI.