Energy production should be boosted and oil and gas exploration
should be increased to guarantee adequate supplies and national
energy security, Vice Premier Zeng Peiyan said Sunday.
He made the remarks after hearing annual reports from China's
major oil and electricity producers, including PetroChina, Sinopec,
Huaneng Group and Guangdong Nuclear Power Group.
The petroleum and petrochemical industries must "bear the
overall situation in mind and enhance the awareness of their
responsibilities", he said.
"These industries should raise output and make arrangement for
transportation in order to ensure stable supplies of oil products.
Oil and gas exploration should also be increased," Zeng said.
China raised fuel prices by about 10 percent in November amid
shortages after major refiners allegedly withheld supplies due to
low government-set prices.
The government ordered earlier this month prices of refined oil,
natural gas and electricity should not be adjusted "in the near
future". The move was taken to lighten inflationary pressure over
common people ahead of the upcoming Spring Festival.
Inflation in China soared above the three-percent official
target to 6.9 percent in November, an 11-year high.
"Oil and gas, petrochemical and power industries are the basic
sectors and lifeline of the national economy and bear upon the
economic and social stability," Zeng said.
He added the government should strengthen supervision of the
electricity market and make efforts to save energy and reduce
greenhouse gas emissions in the power sector.
"Power supplies must be ensured and the power sector must
develop in an efficient, clean and safe manner. Small, inefficient
coal-fired power stations will be restricted, hydropower projects
will be developed and construction of nuclear power plants will be
promoted," the vice premier said.
(Xinhua News Agency January 21, 2008)
