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Gov't Calls Time on Waste of Valuable Resources

Poverty is not a shame. But waste is.

Reports are coming in that in China's vast western region, energy resources, especially oil and coal, are being seriously wasted as they are mined.

According to the country's technical code for coal mining and utilization, at least 75 percent of available coal should be extracted. But one official in Shaanxi Province of northwest China says none of the mines in his province reaches that level, with just 30 percent being mined.

Oil fields have also been explored in some places in a similar way to coal mining in the region.

What has led to the massive waste in exploitation is not backward technology, but the pursuit of short-term interests and a frantic craving to save costs at the expense of safety and efficiency.

Many mine owners do not invest in more than one mine. They simply choose another site, dig out the surface tier and leave lower layers of the mine discarded.

Over time, these layers will be exposed to the elements and become worthless.

This practice is carried out by some small-sized private enterprises, but also by some state-owned enterprises, taking advantage of the loophole in the country's lax management and supervision in coal mining.

Experts are worried that if the exploitation is continued in such a low-effective way, coal supplies will be exhausted much sooner than expected in China.

The western region, covering 12 provinces, autonomous regions and municipalities, is rich in energy resources and serves as the country's strategically important energy reserve. Energy supply in the region could have a far-reaching impact on the national economy, which is still relying heavily on natural resources.

A country abundant in resources, China is however feeling an increasing pinch of energy and resource shortages. The government has been promoting the idea of an energy-saving society. But if huge waste continues, simply talking about efficient consumption will not get anywhere.

As such, governments at all levels in the west should strengthen their management and supervision in energy exploitation. They may begin with straightening out the mining industry in the region, which has seen a serious waste in coal exploration.

Before granting mining rights to enterprises, the government should probe the reserve first. If final production does not meet estimates, mining enterprises should be punished.

A lack of legislation in disciplining mining practices is another loophole which the governments in the west should devote relentless efforts to plug.

The central government initiated the "go west" campaign in the 1990s in a bid to stimulate development in these areas and shake off its poverty. A better model for development must be introduced.

Experiences at home and abroad prove that an extensive model will not be sustainable and in the end there will be a high price to be paid, especially at a time when resources are becoming more and more scarce and precious. How to find a suitable, energy-saving development model should be given priority when western regions are gearing themselves up to seek quick economic growth.

(China Daily November 8, 2004)

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