The forecast for China's total support on fossil fuels for residential use, measured as a percentage of GDP, indicates a consistent yet modest upward trend from 2024 to 2028. In 2024, the value is expected to be 0.01% of GDP, gradually increasing to 0.013% by 2028. The year-on-year growth rates are subtle, with slight increments primarily between successive years, reflecting a stable investment approach. Over the five-year period, the compound annual growth rate (CAGR) is steady, substantiating a sustained commitment to this support level.
Future trends to watch for include:
- Potential shifts in government policy towards reducing fossil fuel dependency may impact future support levels.
- Technological advancements in renewable energy could alter the demand and funding priorities for residential fossil fuels.
- Ensuing global economic conditions and environmental agreements might influence China’s energy subsidy strategies.
