China passes Renewable Energy Law to boost clean energy industry

Mao Rubai, director of the Environment and Resource Protection Committee of NPC, said China must vigorously develop renewable energy, because rapid economic development had caused energy shortages, heavy pollution and dependence on imported energy.

In 2003, China's renewable energy consumption accounted for only 3 percent of the country's total energy consumption. The government plans to lift up the figure to 10 percent in 2020.

According to the law, renewable energy includes hydroelectricity, wind power, solar energy, geothermal energy and marine energy, all of which should be taken consideration in the state and local development plans.

The law offered a series of favorable policies for developing renewable energy. For instance, the law demanded all state grids to purchase renewable energy, even though the cost is high. In this way, people's enthusiasm of developing renewable energy couldbe enhanced.

Source: CAS