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Energy Economics in China’s Policy-Making Plan Chapter j 17 341

Plan, however: (4) “strengthen environmental protection,” (5) “enhance
innovation,” and (6) “improve living standards” by changing the focus of
Chinese “export-oriented” economic model to a “domestic demandeoriented”
economic model (Lo, 2011, pp. 7e9) Some concrete policy measures were
implemented in line with these macro policy goals. In Dec. 2007 China’s
Information Office of the State Council issued the country’s first ever white
paper on its energy conditions and policiesdChina’s Energy Conditions and
Policies. China’s National Energy Administration (NEA) was set up in 2008 to
coordinate energy issues concerning various ministries, commissions, and
state-owned energy companies. To promote the development of emerging
energy industries and meet the carbon emissions reduction targets of 2020, the
NEA has compiled a development plan for emerging energy industries from
2011 to 2020 that will require direct investments totaling 5 trillion yuan
according to China Daily. 7
Consider the growth of renewable power systems in China. The
Chinese government is to launch a series of policies to support new energy
development through China’s 12th Five-Year Plan, or 12th Five-Year Plan for
National Economic and Social Development from 2011 to 2015 (Lo, 2011),
which is focusing on new energy, including wind, solar, and nuclear power,
and the plan is under final review. The new energy policy will increase China’s
proportion of nonfossil energy in overall energy consumption from 12%
to 13% by 2015, according to China’s Energy Research Institute. This
development trend is noticed by an international consulting organization with
the following data:

Energy security and environmental problems in China should be resolved
not only through self-reliance efforts but also through international economic
cooperation. To diversify access to energy supplies and reduce dependency on

7. People’s Daily online, Jul. 22, 2010, available from http://english.peopledaily.com.cn/90001/
90778/90862/7076933.html.