BEIJING, Feb 7, 2006 -- Xinhua

 

A high-profile drafting group has prepared a new law of energy, which is expected to encourage conservation in China, which is suffering growing shortage of energy.

Analysts said the energy law will offer a legal foundation for the establishment of a cabinet energy department governing energy issues, according to Tuesday's China Daily.

"My understanding is that the drafting of the law is a preparatory step to set up a central government department to supervise energy security and clean use," Zhang Jianyu, visiting fellow with the Public Management School of Tsinghua University, was quoted as saying.

The office of the State Council Energy Leading Group, which heads the draft work, said the law will focus on basic principles of energy saving, cleaner utilization, security and energy trade with overseas partners.

Zhang, also the Beijing office head of the U.S.-based environment protection organization Environment Defence, said: "It seems that momentum is gathering that China should have an umbrella energy law, as China has already had specific laws."

Laws covering electricity, coal, oil and energy saving have been enforced for years, and the law of renewable energy has started to take effect this year.

Xu Dingming, deputy office director of the State Council Energy Leading Group, said the main purposes of the law are to ensure energy saving, environmental protection, and energy security in China.

His office believed there is a tremendous potential for energy conservation in China, which should be beefed up with the energy law.

Energy consumption per unit of GDP in China is 2.4 times higher compared with the global average, 4.9 times higher than European Union countries, and 8.7 times higher than Japan.

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China prepares energy law to encourage conservation