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Premier Li urges transformation in energy production and use

Updated: Nov 17,2016 9:42 PM

Premier Li Keqiang has outlined a push to continue development of a low-carbon, secure and efficient energy system at a meeting of the National Energy Commission on Nov 17.

Chaired by Premier Li, who is also the leader of the commission, the meeting passed the national energy development guidelines during the 13th Five-Year period.

The National Development and Reform Commission and National Energy Administration presented reports at the meeting and other committee members and related experts gave speeches.

Premier Li said the energy strategy was an important pillar among national development strategies. Facing profound adjustment in international energy supply and a new round of energy technology reform, China should promote international cooperation on energy consumption, supply, technology and system reform. The guidelines also urge upgrades to the energy consumption structure, strengthening of weak links in energy development, and improvement of industry competitiveness to build a low-carbon, secure and efficient energy system to support for China’s stable and sustainable economic development.

The Premier stressed that in relation to energy production, the quality of reserves must be improved and the clean and efficient use of coal should be a top priority.

The amount should also be increased, he said, adding to increase the proportion of renewable energy, such as water, wind, solar power and biomass energy. He also named the development of nuclear power in a safe and efficient way as an option to optimize the energy production structure.

When it comes to energy consumption, the Premier said the total amount used and its intensity could be controlled, using economic, legal and necessary administrative methods that promoted energy conservation and emission reduction in the key areas of industry, construction and transportation fields.

The Premier suggested forming an energy-saving lifestyle by eliminating backward production capacity, speeding up the upgrades of traditional industries, creating new drivers and increasing energy efficiency. The main task at present is to prepare for managing winter heating and prevention of air pollution, he said.

He also said that speeding up the technology innovation and system reform is the key for promoting the sustainable development of energy. He called for making breakthroughs in renewable energy development and reuse, building Internet Plus smart energy, increasing the system adjustment capacity of the grid, improving the consumption capacity of new energy, developing advanced and efficient energy-saving technology and seizing the advantages of competition in the energy technology market.

He also called for more promotion of mass entrepreneurship and innovation to inspire the creative brains in energy enterprises and research institutes to create more energy technology advantages and then transform them into economic advantages.

The Premier urged deepening market-oriented reforms by promoting administrative changes, improving services, reforming the ownership system of oil, gas and minerals and straightening out the power transmission process to support private enterprises entering the energy industries, while carrying out State -owned enterprises’ reforms.

He proposed improving the mechanism and policies for encouraging the development of distributed energy resources, straightening out the energy price system, and restoring the merchandise property of energy to build up a fair competitive market through fully exerting the roles of the market and government.

The Premier pointed out that securing national energy security will require coordination with domestic and overseas markets to form a diverse and stable supply structure.

The country should also consolidate cooperation with traditional resource-rich countries, improve the energy trade structure, seize the opportunity of the Belt and Road initiative to promote the interconnectivity of energy infrastructure, increase the international production capacity cooperation and drive the export of new energy equipment with competitive advantages, the Premier said.

He also called for the active participation in global energy management to promote the global energy order and make the management system fairer and more rational.

Vice-Premier Zhang Gaoli and State Councilors Yang Jing and Wang Yong also attended the symposium.