Chapter 1 General Provisions
Article 1 This law is formulated in order to promote energy conservation throughout society, improve the efficiency of energy utilization, achieve economic benefits, protect the environment, secure national economic and social development, and meet the requirement everyday life of people.

Article 2 The term energy used in this Law refers to various resources including coal, crude oil, natural gas, power, coke, coal gas, heat, oil products, liquid petroleum gas, biomass, and other resources from which useful energy can be derived directly or through processing and conversion.

Article 3 The term energy conservation used in this Law means: enhancing energy use management; adopting measures which are technologically feasible, economically rational, and environmentally and socially acceptable; reducing loss and waste in the chain of energy production and consumption, all to achieve the efficient and rational use of energy.

Article 4 Energy conservation is a long term strategy for national economic development.

he State Council and the governments of provinces, autonomous regions and municipalities directly under the central government should: strengthen their efforts in energy conservation; restructure industry, enterprises, products, and energy consumption patterns; promote technological progress for energy conservation; reduce energy consumption per unit of economic output and energy consumption per physical unit of product; improve the exploitation, processing, conversion, transmission, and distribution of energy; and encourage the national economy to develop in an energy-efficient manner.

The state encourages the development and utilization of new and renewable sources of energy.

Article 5 The state makes energy conservation policy and compiles energy conservation plans which shall be incorporated into the national social and economic development plan, consistent with economic development and environmental protection.

Article 6 The state encourages and supports the research and dissemination of energy conservation science and technology, enhances understanding of and education for energy conservation, popularizes scientific knowledge about energy conservation, and improves citizens?awareness of energy conservation.

Article 7 All organizations and individuals should fulfill energy conservation obligations and have the right to report any wasteful energy behavior.

The people's governments at all levels provides awards to organizations and individuals for outstanding achievements in energy conservation or research and popularization of energy conservation science and technology.

Article 8 The authorized energy conservation agencies of the State Council are responsible for energy conservation supervision and management on a national basis. Other agencies of the State Council supervise energy conservation efforts within their areas of responsibility.

Energy conservation management authorities of local governments at and above the county level supervise and manage energy conservation within their jurisdictions. Relevant authorities of local people's governments at and above the county level supervise and manage energy conservation within their jurisdictions.



Chapter 2 Energy Conservation Management
Article 9 The State Council and local governments at various levels should enhance their leadership in energy conservation, and on an annual basis deploy, coordinate, supervise, review, and promote energy conservation efforts.

Article 10 The State Council and People's governments of provinces, autonomous regions, and municipalities directly under the central government should, according to the principle of giving importance to energy conservation and energy exploitation, putting energy conservation first, choose in an optimal way energy conservation and energy exploitation investment projects, and develop energy investment plans, based on a technical, economic, and environmental assessment of energy conservation and energy exploitation.

Article 11 The State Council and People's governments of provinces, autonomous regions, and municipalities directly under the central government shall arrange energy conservation funds from capital construction and technical retrofit funds to support rational energy utililization and exploitation of new and renewable energy sources.

People governments at municipal and county levels shall arrange energy conservation funds according to their situation in order to support rational energy utililization and exploitation of new and renewable energy sources.

Article 12 Special assessment of rational energy utilization should be included in the feasibility analysis reports of fixed capital investment projects.

The design and construction of fixed capital investment projects should comply with the standards of rational energy use and regulations of energy conservation design.

Regulatory and supervisory authorities shall not approve the construction or completion of projects which do not meet the standards of rational energy use and regulations for energy conservation design. Completed projects which do not meet these standards and regulations should not be certified.

Article 13 New industrial projects which employ backward technology, consume excessive amounts of energy, and waste energy significantly are prohibited from being constructed. The energy conservation management authorities of the State Council, in cooperation with other relevant agencies of the State Council, develop lists of prohibited industrial projects that consume excessive amounts of energy, and develop specific enforcement methods.

Article 14 The administrative agency of the State Council in charge of standardization formulates national standards of energy conservation.

In the absence of the aforementioned national standards, relevant departments of the State Council formulate sectoral energy conservation standards by legal means and report them for filing to the responsible department of the State Council.

Energy conservation standards should be technically advanced, economically rational, and subject to continuous improvement and perfection.

Article 15 The authorized energy conservation agencies of the State Council, in association with the relevant agencies of the State Council, should enhance supervision of sectors producing large numbers of widely used energy-consuming products, and urge them to apply energy conservation measures, make efforts to improve product design and manufacturing technology, and reduce energy consumption per physical unit of production within these sectors.

Article 16 The responsible energy conservation management authorities at and above the provincial level, in coordination with the relevant departments at the same level, shall set limits in terms of energy consumption per physical unit of product, for products which are energy-intensive to produce.

Limits on energy consumption per physical unit of product shall be set scientifically and rationally.

Article 17 The state applies a system for discontinuing backward, over energy-intensive energy-consuming products and equipment.

The authorized energy conservation agencies of the State Council, in association with relevant agencies of the State Council, determines and promulgates an inventory of overly energy-intensive energy-consuming products and equipment to be discontinued. The authorized energy conservation agencies of the State Council, in association with relevant agencies of the State Council, formulates a detailed method of enforcement and implementation.

Article 18 Enterprises may voluntarily apply to the product quality supervision and management agencies of the State Council or to the certification agencies assigned by sectoral agencies authorized by products quality supervision and management agencies of the State Council, in accordance with relevant national product certification regulations, for energy saving quality certification for their energy-consuming products. After successful certification, a certificate of energy saving quality shall be issued, and labels of energy saving quality certification can be affixed on the energy-using products and their packaging.

Article 19 The statistical agencies of the People's governments at and above county level, in association with relevant agencies at the same level, organize statistics on energy consumption and utilization, publicize periodically statistical bulletins, and report energy consumption per physical unit of product for major energy consuming products, etc.

Article 20 The state shall enhance energy conservation management in key energy-consuming entities. Key energy-consuming entities are defined as:

(1) Energy-consuming entities with total annual energy consumption above 10,000 tons of coal equivalent;

(2) Energy-consuming entities with total annual energy consumption between 5,000 and 10,000 tons of coal equivalent, as determined by relevant agencies of the State Council, or energy conservation management agencies of people's governments of provinces, autonomous regions, and municipalities directly under the central government.

Energy conservation management agencies of governments at and above the county level shall coordinate with other relevant agencies to supervise and examine the energy utilization situation of key energy-consuming entities. They may, by legal means, delegate to appropriate organizations the authority and responsibility for conducting energy efficiency examinations and measurements.

The responsible energy conservation management agencies of the State Council, in association with relevant agencies of the State Council, formulate energy conservation requirements, energy conservation measures, and management methods for key energy-consuming entities.