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  It is Chinese goal to quadruple national wealth by the year 2000,
  limiting the increase in energy consumption to twice the current
  This ambitious challenge, commensurate with the country's vast
  energy potential, was one of the important points confirmed by
  the Chinese authorities to Mr Nicolas Mosar, Member of the
  Commission responsible for energy, during an official visit to
  China from which he has just returned. In the course of their
  discussions, Mr Song Jian, President of the State Commission for
  Science and Technology, repeatedly drew Mr Mosar's attention to
  what China regard as the lay role of energy cooperation with the
  European Comunity and its "pilot" function for certain bilateral
  cooperation operations with Community countries.
  This cooperation is also an important element in the
  technological exploitation of the energy sector of benefit to
  both China and Europe.
  In order to meet this challenge which, in terms of energy output,
  would match the results achieved by the European Community since
  the first oil crisis, the Chinese authorities are relying not
  only on a more effective exploitation of their energy potential,
  but also on continuing the cooperation with the European
  Community which started in 1980.
  The work carried out jointly by experts from the Community and
  the People's Republic of China has already produced very tangible
  results, especially in the campaign to save energy.
  China's enormous energy potential
  China possesses the world's largest potential hydro-electric
  reserves of which only 5 % are currently exploited and the second
  largest potential cost stocks after the USSR.
  Moreover, despite China's spectacular rise, from being the
  world's 13th largest crude oil producer in 1973 to sixth place in
  1986 than increase in output from 53 million tonnes to 129.6
  million tonnes with putting it close behind the Twelve with 143.7
  million tonnes and Mexico with 140 milion tonnes, the country's
  vast oil and natural gas reserves remain largely unexploited.
  Greater exploitation China's vast energy potential would be good
  for the world energy market, helping to reduce tensions in the
  medium and long term.
                                - 2 -
  "Soft" sources of energy : a reality in China
  This short assessment of China's energy potential would be
  incomplete without reference to "soft" or alternative sources of
  energy - wind energy, solar energy, bio-gas energy produced from
  straw - used a fairly wide scale in rural areas of China where
  80 % of the population lives.
  These sources of energy meet about 25 to 30 % of China's current
  energy requirements and their development will continue according
  to what Mr Mosar was told.
  Leading role of coal
  In order to meet the challenges they have set themselves the
  Chinese authorities indicated to Mr Mosar that the future energy
  policy of the People's Republic will have to include the
  following points :
  - increased and coal production and consumption, allowing exports
  of coal, oil and natural gas,
  - an increase in electricity production, including nuclear energy
  (the first nuclear power station, near Shangai, is planned for
  1989 and two others, in Canton and Shangai again for the turn of
  the century),
  - interconnection of six large regional electricity grids,
  - progressively bringing energy prices into line with actual
  - more efficient use of energy by means of analytical assessments
  and energy forecasts based on up-to-date information planning,
  - training of officials needed to achieve these objectives.
  Cooperatin with the European Community : tangible achievements
  In order to achieve its ambitious goals, China - as was again
  confirmed during Mr Mosar's visit - is relying in particular on
  cooperation with the Twelve.
  Since the beginning of the 1980', China has "played the European
  card" : opening up of China to the outside world has been
  characterized by reliance on the European Community in fields
  such as energy policy and analytical techniques, training of
  officials and the move to nuclear energy. Energy cooperation with
  the Community goes back to 1981 when a first protocol was signed,
  covering the development of energy sources (coal and electricity)
  and especially the development of analytical techniques and
  training officials.
  This cooperation has grown spectacularly with the following
  tangible results :
                                - 3 -
  - more than 2 200 Chinese managerial staff have been trained at
  four joint EEC/China centres in Beijing, Tianjin, Nanjing and
  Guangzhou : three new trainig centres have just been openen and
  will train over 600 people a year,
  - trained officials have carried out sometimes fundamental
  reorganization of energy use in their companies, with very
  positive results ; savings in excess of 20 % of the "energy bill"
  have been record in various sectors,
  - "energy plans" have been drawn up for various Chinese provinces
  and an energy data bank has been established for the country as a
  - two "energy buses" equipped by the Community and with European-
  trained staff are touring firms to help them use energy more
  1987 - Environment and nuclear safety : China relies on European
  For this year onwards energy cooperation with China will take a
  new dimension : for the first time, as confirmed in a memorandum
  signed by Mr Mosar and Mr Ruan Chongwu, Vice-Chairman of the
  State Commission for Science and Technology, the Energy planning
  techniques developed by European experts will be extended from
  the study currently under way in the Beijing area to the analysis
  of energy flows for the entire People's Republic and to energy
  forecasting for China for the year 2030, while China will also
  partipate in the analysis of world energy needs for the periods
  1990/95/2000/2005 via the network set up by the European
  During his visit to Beijing, Mr Mosar opened the EEC/China
  training centre for nuclear safety inspectors for which the
  Chinese authorities submitted the formal request 11 months during
  Mr Delors' official visit to China.
  An important operation is being prepared in the Sanghai region
  involving advising and training Chinese experts with a view to
  achieving significant energy savings in some 5 000 factories in
  the region.
  Finally, there is a new feature in EEC/China energy cooperation :
  the Chinese authorities and the Community plan to carry out
  training programmes, exchanges of experts and research with the
  aim of reducing energy-based pollution. Atmospheric pollution is
  an increasing problem in major Chinese cities. There is acid rain
  in several regions, and any increase in the number of cars in
  China because of the lead content of the petrol would cause
  serious environmental problems.

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