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2008 is a crucial year for fulfilling the binding targets for energy conservation and emission reduction in the “Eleventh Five-Year Plan†period. According to the recent deployment of the Central Economic Work Conference, the completion of energy saving and emission reduction targets will be used as an important criterion for examining the effectiveness of economic development. This will become a “hard bar†for assessing the level of local cadres' governance at all levels. The fiscal year 2008 will Increase investment in energy conservation and emission reduction.
At the same time, in the new year, the government will also play a more leading role in energy conservation and emission reduction, which will be highlighted in the financial support for the company's energy-saving technological transformation projects. According to reports, in 2007 China has awarded 700 energy-saving technological transformation projects for enterprises, and will continue to intensify efforts in 2008. It is expected that during the “Eleventh Five-Year Plan†period, 130 million tons of standard coal will be saved. In addition, the fiscal year 2008 will also increase support for the construction of sewage pipe networks and pollution emission reduction monitoring systems in the central and western regions, accelerate the establishment of new mechanisms for promoting energy conservation and emission reductions, and establish an outdated production capacity withdrawal mechanism. Local governments must arrange funds to eliminate backward production capacity. The central government will also give appropriate subsidies and incentives to underdeveloped areas, and increase governance investment in the "Three Rivers and Three Lakes" and Songhua River and other key river basins.