China to increase input in alternative energy projects in next 5 years

The Ministry of Finance has decided to increase input in projects involved in developing bio-energy and other alternative energies between 2006 and 2010.

The move aims to ensure China's energy security as the country fears that the soaring world oil prices would have a negative impact on its economic growth, said sources with the ministry.

But the ministry did not elaborate on the investment figures, saying only that it would earmark more funds for bio-energy, solar and wind energy projects, as well as for coal-to-liquid fuel projects over the next five years.

The ministry has listed the development of renewable energy a top priority in the coming five years. It would also encourage consumers to save energy and make efforts to build energy reserves.

The problem of energy shortage has been plaguing China's fast economic development. In the first half of this year, China's economy grew year on year 10.9 percent.

Data showed that China's dependence on foreign oil reached 43 percent last year. Departments concerned forecast that China's oil consumption would hit 450 million tons in 2020, with 250 million tons to be imported from abroad.

Source: Xinhua