Comments to NEA on Energy Law of the People’s Republic of China

2020-05-08 | All chapters

The Energy Law is the first fundamental law in the field of energy in China, and it is necessary to formulate, modify or amend the supporting laws and regulations to ensure the enforcement of the Energy Law. The enterprises have submitted certain comments based on the notion that the relevant implementing rules and supporting laws will be formulated, revised and sent to public for opinions as soon as possible to ensure that the open competition guideline in the Energy Law, including the "energy marketization", “right of the investors to participate equally in investment according to laws” and “establishment of an effective energy regulatory system”, will be put in place and that the provisions of Chapter 10 concerning legal liabilities will be implemented on a legal basis.  

Increased transparency in the sector should be a central topic, as it removes risk and facilitates investment. This applies in general to the clear designation of regulatory institutions, as well as the framework for addressing non-compliance to regulations.

In general an increased awareness on utilizing and supply of surplus energy from the energy and industrial sector should have more focus. In China, there is a huge potential for using the very abundant and freely available surplus energy from the different sectors. Potentially this is a free energy source that is otherwise wasted, which can bring in huge amount of extra energy capacity (power/heat), fuel savings and major reduction in emissions, both particle and GHG.