China sets up energy agency headed by PM

By Gillian Wong in the Wall Street Journal, January 28 2010

BEIJING -- China has set up a government agency headed by Premier Wen Jiabao to better coordinate energy policy, as world's second-largest power consumer faces growing domestic demand and struggles with shortages.

The establishment of the National Energy Commission reflects Chinese leaders' concern over growing reliance on imported energy as a potential strategic weakness. They are also trying to curb environmental damage from the country's heavy use of fossil fuels.

The high-level commission will draft energy development strategy, review energy security and coordinate international cooperation, according to a notice late Wednesday by the general office of the State Council, China's Cabinet.

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