Question

The growth of China's economy has caused pollution problems. Explain why the government continues to use coal-fired power plants despite the pollution problems they caused.

Answer 1

Coal-fired power plants and plants which function with other fosil fuels such as oil or natural gas, are still the cheapest energy source. Changing the production model and implementing renewable and environmentally friendly energy sources requires extremely high investments..

The growth model in China is based on cheap exports which require  efficiency hence, producing at a lower cost than other international competitors so that their products are more attractive for consumers in the international markets due to their low price. If large investments are accomplished to implement renewable energy resources, production costs would rise spectacularly, spoil the competitiveness of Chinese products and slow the country's growth level.

Answer 2

Because they are still the cheapest option.