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China - Heavy Energy Demand Prompted Govt. to Launch Five-year Campaign

Oct 09, 2007

China is burning energy in excessive amounts thus raising the world prices and pollution. So to fight this mounting energy requirement and abate pollution, the Chinese government has issued a five-year campaign.

According to news published on IHT by Xinhua, China’s government news agency, the energy efficiency of China’s fuel-guzzling economy is improving, but is still struggling to meet its self imposed conservative targets.

T
he reasons behind the increasing demands of the energy resources in the country are China’s increasing population, improving conditions of living, and improvement in the status level. Also, the thriving economy and speeding automobile sector, which consume the maximum part of the energy of China, contribute to the growing energy requirements day-by-day. The other vital factor that is pushing the energy demand in the country is that the Chinese industries’ use 20%-100% more energy per unit of output than their US, Japanese and other counterparts.

China is being criticized abroad due to its heavy energy use; and because its huge demand for oil has propelled the world prices and has led the state owned companies to sign production deals with international pariahs like Sudan.

Also, China’s main source of power generation is coal. As a result, China has become the world’s largest producer of greenhouse gases overtaking the United States.

Concerning for the rising pollution and its dependence on imported oil, China launched a five-year campaign in 2006 to cut energy use per unit of economic output by 20%, which will last till 2010. In the first half of 2007, there was a 2.78% fall in total energy consumption per unit of economic output from the first half of 2006. In coal industry, there was 7.76% fall in the energy consumption per unit of output in 2007 over 2006. Construction materials producer gained 7.84% and chemicals companies made progress by 5.17%.

RNCOS research analyst reveals “China is the world’s one of the emerging economic powers bolstering the demand of energy. Recognizing the energy crisis and in an effort to save energy and reduce emissions, the Chinese government has put forth the five-year campaign encouraging the development, production, selling and use of environment-friendly vehicles and new category automobiles which are propelled by new clean fuel. So it will ultimately help to make the environment cleaner and better than it is now”.

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