Building Climate Resilient Utilities 2025

CASE STUDY 6 China Three Gorges Corporation – desert-based photovoltaic (PV) project In the Gobi Desert and Loess Plateau, large-scale photovoltaic (PV) arrays are demonstrating significant ecological and climate adaptation benefits. Beyond generating clean energy, these installations act as physical barriers that suppress wind erosion and retain soil moisture, creating favourable microclimates for the growth of native grasses and shrubs. This, in turn, stabilizes soils and supports the recovery of local biodiversity. A prime example of this synergy is the China Three Gorges Corporation (CTG) Kubuqi Desert-based 2 GW PV Project. Located in the heart of the Kubuqi Desert in Inner Mongolia, it is the country’s largest single-site desert-based PV project. The project employs a comprehensive “PV + sand control” model, combining solar panel foundations for sand stabilization, under-panel planting and grazing and the use of crops to rehabilitate and improve soil quality. This integrated approach has yielded multiple benefits: –Wind and water control: PV arrays reduce desert wind speeds and surface water evaporation, while enhancing soil fertility. –Vegetation recovery: The project has significantly increased vegetation cover, restoring 100,000 mu (about 6,700 hectares) of desert land. –Carbon and energy benefits: Annually, the site generates approximately 4.1 billion kWh of clean electricity, reducing CO2 emissions by 3.19 million tonnes. –Socio-economic impact: The project supports local livelihoods through eco-agriculture and animal husbandry, demonstrating a scalable model for climate adaptation and rural revitalization. Source: China Three Gorges Corporation.28By integrating resilient equipment, AI-driven operations and smart grid technologies, the utilities sector is achieving new levels of infrastructure resilience and operational intelligence. These innovations not only protect physical assets but also enable rapid, data-driven decision-making, ensuring that utility services remain robust and adaptive in the face of escalating climate risks. Integrating green infrastructure to supplement traditional engineering As China’s utilities sector advances towards climate resilience, ecosystem-integrated solutions are emerging as a vital complement to traditional engineering approaches. By harnessing the power of ecosystems, utilities are not only mitigating climate risks but also delivering co-benefits for biodiversity, land restoration and community well-being. These green infrastructure strategies are increasingly integrated into utility planning and operations. The China Three Gorges Corporation’s 2 GW Kubuqi Desert PV project in Inner Mongolia demonstrates how large-scale solar installations in arid regions can deliver environmental and socio-economic benefits (see Case Study 6). By integrating solar energy generation with sand control measures – including under-panel vegetation, grazing and soil rehabilitation – the project reduces wind erosion, conserves moisture, restores over 6,700 hectares of desert land and abates 3.19 million tonnes of CO2 annually. It also boosts local livelihoods through eco-agriculture, offering a scalable model for climate adaptation and rural development. China Huaneng Group’s hydropower operations in the Lancang River basin showcase how digitally integrated, cascade reservoir systems can serve as powerful tools for climate adaptation – balancing clean energy production with flood control and drought relief (see Case Study 7). During China’s severe 2024 floods, these stations cut flood peaks by ~70%, storing 147.1 billion cubic metres of water to protect downstream communities. Beyond borders, emergency water releases during Mekong droughts (notably 12.65 billion m³ in 2016) aided neighbouring countries, fostering regional cooperation. This model demonstrates how smart hydropower infrastructure enhances resilience at home and abroad, setting a global benchmark for adaptive, multi-functional water-energy systems. Together, these case studies illustrate how China’s utilities are pioneering ecosystem-integrated solutions that go beyond conventional engineering to build holistic climate resilience. By blending renewable energy infrastructure with ecological restoration and smart water management, they deliver cascading benefits – from carbon reduction and biodiversity recovery to transboundary cooperation and rural livelihoods. By integrating under-panel vegetation, grazing and soil rehabilitation, the Kubuqi Desert PV project restores over 6,700 hectares of desert and abates 3.19 Mt of CO2 annually. Building Climate-Resilient Utilities: Lessons from China and Future Pathways 15