Institute for China Studies

China Releases Guidelines for the Construction of Digital Energy and Carbon Management Centers for Industrial Enterprises and Parks

On 7 March 2025, the Ministry of Industry and Information Technology (MIIT) released the Guidelines for the Construction of Digital Energy and Carbon Management Centers for Industrial Enterprises and Parks (Ministry of Industry and Information Technology [2025] No. 13), providing a roadmap for integrating digital technologies into energy and carbon management. This initiative is aligned with China’s carbon neutrality and green transformation goals, aiming to strengthen monitoring, analysis, and decision-making processes for energy use and emissions.

Strategic Importance of the Guidelines

Strengthening Energy and Carbon Management

The digital energy and carbon management centers will serve as a comprehensive system to improve energy efficiency, carbon footprint tracking, and compliance with regulatory standards. By utilizing artificial intelligence, the Internet of Things (IoT), and big data analytics, these centers will support real-time monitoring and predictive analytics, enabling industrial enterprises to optimize their energy use.

Key functions include:

  • Monitoring and analyzing energy consumption patterns.
  • Implementing predictive modeling for energy optimization.
  • Automating carbon verification and compliance reporting.
  • Integrating renewable energy sources to reduce reliance on fossil fuels.

Aligning with National Sustainability Policies

The Guidelines align with national policies such as the Energy Conservation Law of the People’s Republic of China and the Work Plan for Accelerating the Construction of a Dual Control System for Carbon Emissions. These policies emphasize the role of digitalization and automation in achieving carbon reduction goals, reinforcing the need for structured, technology-driven approaches in industrial energy management.

By 2030, China aims to reach peak carbon emissions, with a long-term goal of carbon neutrality by 2060. The introduction of smart energy monitoring systems and digital carbon management solutions is an essential step toward achieving these objectives.

Key Components of the Guidelines

The Guidelines outline a structured approach for industrial enterprises to establish digital energy and carbon management centers.

Core Functions

The centers will facilitate:

  • Real-time energy consumption tracking and efficiency benchmarking.
  • Carbon footprint assessment at the product, enterprise, and supply chain levels.
  • Energy optimization strategies using machine learning and automation.
  • Compliance with carbon reduction policies and reporting standards.

Technical Framework

To support these functions, the Guidelines recommend a six-layer system architecture:

  1. Infrastructure – Development of a hardware and network framework.
  2. Data Collection – Integration of IoT-enabled smart sensors.
  3. Data Architecture – Storage and structuring of energy and emissions data.
  4. Model Components – AI-driven analytics for energy and carbon efficiency.
  5. Business Applications – Digital tools for energy planning and optimization.
  6. Interactive Display – Real-time dashboards for data visualization.

By implementing cloud computing and industrial AI, enterprises can enhance energy conservation efforts while ensuring compliance with regulatory frameworks.

Implementation and Future Developments

Scaling Digital Energy Management Across Industries

MIIT has already piloted over 200 industrial energy management centers in several provinces. The next phase will involve expanding these initiatives by encouraging enterprises to upgrade existing systems or build new digital energy and carbon management centers.

Encouraging Cross-Sector Collaboration

The Guidelines emphasize data sharing and collaboration across regional and industry sectors. Establishing a centralized platform for emissions tracking will enhance coordination between government agencies, industrial enterprises, and technology providers, creating a more efficient framework for carbon reduction.

Policy and Financial Support

Government incentives will play a key role in accelerating adoption, including:

  • Subsidies for digital energy management technologies.
  • Tax benefits for enterprises investing in smart energy solutions.
  • Incentives for companies participating in carbon reduction programs.

These measures will encourage industries to adopt energy-efficient practices and invest in long-term sustainability solutions.

Conclusion

China’s digital energy and carbon management strategy represents a significant step toward industrial sustainability. By integrating advanced digital technologies, enterprises and industrial parks will be able to:

  • Improve energy efficiency and optimize resource use.
  • Achieve carbon reduction targets and regulatory compliance.
  • Enhance competitiveness in green markets.
  • Accelerate the transition toward renewable energy adoption.

As digital transformation continues to shape industrial operations, the successful implementation of energy and carbon management centers will play a critical role in China’s low-carbon transition. The focus on technological innovation, regulatory alignment, and cross-industry collaboration will be essential in ensuring long-term sustainability and economic growth. China’s commitment to green technology adoption and digital transformation presents an opportunity for industrial enterprises to lead in energy efficiency and environmental responsibility. The coming years will be crucial in determining the impact of these digital initiatives on national and global sustainability efforts.