Even though Shanghai has made great progress on environmental protection, the city is still facing increased pressure on pollution control, say green watchdogs.

Large numbers of industrial facilities - including chemical plants, high population density, rivers that are vulnerable to pollution and industrial sites located too close to housing are some of the problems facing the city, officials from Shanghai Environmental Protection Bureau said yesterday.

They warned that the city is too reliant on imported energy and its current level of environmental protection can't meet the requirements of local economic and social development.

The bureau was drawing its conclusions in an environmentally friendly city initiative project, undertaken in cooperation with the United Nations.

Since 2000, Shanghai has invested at least 3 percent of its gross domestic product in environmental projects.