The output value of China's energy saving and environmental protection industry would hit 2.8 trillion yuan (US$412 billion) by 2012, said Xie Zhenhua, deputy director of the National Development and Reform Commission on Sunday.

Those sectors have become a new economic growth point and have bright prospects in China, Xie said at the fourth China-Japan Energy-saving and Environment Protection Forum which began Sunday.

He said the government will beef up investment in the construction of resource recycling projects, which will directly boost the industry development.

He noted the government will further reform the pricing system of the resource products.

Enterprises should also enhance innovation to break technological bottleneck notably in the development of clean coal transfer technology and pollutants treatment facilities.

China has been pushing for a national energy saving campaign to address the worsening conflicts between economic growth and environmental deterioration.