China's Energy Security: Challenges and Priorities

Abstract

In a companion paper to the essays comparing China's and India's economic rise (Prime, 2009) as well as India's energy security (Dadwal, 2009), two specialists on China's energy industries review the country's challenges posed by the need to dramatically increase energy use in order to support economic growth while coping with pressures to reduce environmental impacts from emissions of greenhouse gases. After reviewing the current mix of fuels in the economy and discussing each major energy resource (in terms of proven reserves, production, consumption, and foreign import requirements), the authors focus on measures undertaken by the Chinese government and corporations to improve access to vital supplies. The paper covers efforts to enhance the country's energy security, which include diversifying sources of oil supply, purchasing oil and gas concessions and financing of energy infrastructure development in African and Central Asian countries, instituting reforms to encourage more efficient energy use, and developing alternative energy sources. Journal of Economic Literature, Classification Numbers: O130, P280, Q400. 7 figures, 2 tables, 82 references.