National Energy Administration Starts Functioning      

The National Energy Administration (NEA) held an inaugural meeting July 30 - July 31 to study the current global energy situation and arrange the work of energy issue.
    "The surging price of crude oil in the international market this year has had considerable impacts on politics, economy and diplomacy in the world," said Zhang Guobao, Deputy Director of the National Development and Reform Commission and Director of NEA. The energy issue is related to the global climatic change and the sustainable development, and it is also a hot topic in the economic life of China today. The supply shortage of coal, power, oil and transportation in the first half of 2008 has already become a major factor constraining the economic functioning in China. NEA established in such a scenario shoulders the trust of the State Council, the expectation of the whole society and also tedious tasks.
    According to Mr. Zhang, NEA should make an effort to study energy issues, including easing the supply shortage of power and coal, advancing the development of nuclear energy and wind energy to replace coal, strengthening the foreign cooperation in energy sectors such as oil, gas and atomic energy, enhancing the manufacturing ability of energy machinery.
    The State Council approved the framework and the function of NEA this June. (CCR2008, No. 20)
   NEA takes charge of the administration to the refining, the coal-based fuel and the fuel alcohol sectors. For the energy price administration, NEA should propose a motion concerning the energy price readjustment to the National Development and Reform Commission (NDRC) or the State Council for an examination and approval. If NDRC changes the prices of energy products set by the government, it should solicit opinions from NEA. NEA is committed to the administration for energy sector such as coal, oil, natural gas, power (including nuclear power), new energy and renewable energy.
    NEA is also in charge of international cooperation in the energy sector, including negotiating/signing agreements with foreign competent energy departments and international energy organizations, helping survey overseas energy development project and assessing/approving overseas investment projects of energies such as coal, oil, natural gas, power and natural uranium etc.