The Chinese authority has ordered the shut-down of over 2,000 energy inefficient production facilities, in 18 different industries, by the end of September. This announcement is largely unexpected, however warmly welcomed by environmentalists. They point to the fact that it is more comprehensive than previous orders, particularly because specific polluting plants are listed, and because the move includes real consequences and penalties in the case of non-compliance.

The International Energy Agency announced last month China overtook the US as the world's largest energy consumer. In comparison to, for example, US and Japanese counterparts Chinese industries use 20-100% more energy per unit of output.

The Chinese government seeks to improve energy efficiency in order to reduce CO_2, as well as for increased energy security. Their target is to reduce energy efficiency by 20% from the 2005 levels, and following the first 4 years have achieved a 14.4% reduction. However, in the first quarter of this year, energy efficiency deteriorated by 3.6% reflecting large spending on energy-intensive infrastructure as part of the recovery plan. The Chinese government now only has half a year left to reach their 20% target, and the new orders are a bold move to help them do so.

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