In the second decade of 21st century China has evolved as the world largest producer, consumer and importer of fossil fuels, including crude oil, natural gas and coal. The other side is the country’s leadership in emission of greenhouse gases, mainly CO2. The problem, already addressed during five-year plans in 2006-2015, got special attention in the thirteenth five-year plan under the concept of ‘beautiful China”, which contains ambitious goals in ecological reconstruction of China. The central problem among these goals is decarbonization and phasing down coal as the backbone of China’s energy system. The existing plans and models are viewed by the authors together with the short history of energy sector, rapid progress in building a sound renewables segment, which is also number one in the world. Special attention in the article is given tothe complexity of China's energy transition, the authors analyze the current state of the PRC's energy industry and provide possible scenarios for energy transition and emerging green finance in China. The methods and instruments of the state policy in the field are presented, including trade in emissions of CO2 which has a huge growth potential. Energy transit in China doesn’t look as a close perspective due to complex domestic issues and international environment where the interests of developed and developing countries collide. At home there is a problem of financial efficiency of renewables, at the world scene China at present can hardly trust western partners in rebuilding the energy sector, which has a strategic significance.