Comment by jillesvangurp

Not only that. Renewable tech is also a major export sector for China. Most batteries and solar panels bought elsewhere are Chinese. And they are dominating EV manufacturing and manufacturing of pretty much everything else. China has invested and is now getting enormous returns on investment. The rest of the world has divested and is now missing out. Not investing enough was a mistake that needs to be corrected.

It used to be that the Chinese economy was based on just cheap labor. It's now increasingly based on cheap energy and automation. Replicating that elsewhere needs to start with modernizing energy infrastructure. Without that, there is no chance of competing. Manufacturing is energy intensive. So, cheap energy is indeed a key enabler.

The cost per kwh is a good one to call out. I think the medium term target for that should be < 1 cent per kwh. Effectively it trends to zero because there is very little marginal with solar, wind, and batteries other than the depreciation of infrastructure, equipment, etc. over time.