It is possible for China to set up an independent energy
administrative agency, which is authoritative and efficient enough
to enact the proposed Energy Law, a key drafter said.
"It is possible for the country's top decision-makers to set up
an energy administration. I regard such an agency as necessary to
execute the future Energy Law. However, it is still uncertain what
the final outcome will be," Ye Rongsi, a drafter of the Energy Law,
said at the International Symposium on China's Energy Law on
Friday.
The seminar was held to get international input on the drafting
of China's Energy Law. The law will overarch existing energy laws
and regulations. It will also address particular issues covered by
existing energy rules, Ye said.
Ma Kai, minister of the National Development and Reform
Commission, China's top economic planner, said it was absolutely
necessary for China to come up with an overriding Energy Law,
because existing laws and regulations only address individual
industrial problems.
Furthermore, they were inadequate in matters relating to secure
energy supply and sustainable energy development.
Ye in agreeing with Ma, said the proposed Energy Law, while
laying the foundation and serving as the overarching legal
framework, should also be effective and efficient to "crack
specific hard nuts".
"Although the planned energy law is expected to have fundamental
functions, it should also be applicable and maneuverable, embodying
some key targets and standards for the industry to follow," Ye
said.
"In the drafting of the law, we should quantify the specific
goals wherever possible."
Ye admitted that there is debate on whether specific targets and
benchmarks should be enshrined in the planned law, because many
market players may fall short of the targets and standards, thereby
undermining the law's authority.
Currently, there are four energy laws in China on coal,
electricity, energy conservation and renewable energy. There are no
laws yet governing petroleum, natural gas and nuclear energy.
Some sections of the existing laws are out of date and crucial
issues, such as strategic crude reserves, are not covered, Zhang
Qiong, deputy director of the Department of Legislation Affairs
Office of the State Council, said.
According to Zhang, amendments to current energy laws and
regulations are being carried out along with the drafting of the
Energy Law to make the country's energy industry better
governed.
(China Daily April 28, 2007)