China is joining hands with the World Bank to develop a project of the energy-saving industry.
The project, which will use funds and technology from the World Bank and Global Environment Fund, is aimed at introducing a new way of financing energy-saving projects in China, and demonstrating and popularizing their effects.
The program is expected to help establish a new energy-saving market-oriented mechanism, improving the efficiency of greenhouse gases and protecting the global environment, according to sources with the State Economic and Trade Commission which reached a consensus with the World Bank.
Under such a program, a variety of Energy Management Companies (EMC) that use expenses they save from energy-efficient projects to pay for the cost of new projects, are expected to boom throughout China.
The EMC model is designed to provide various services to enable enterprises to adopt energy-saving technologies and corresponding management.
China has, since 1996, set up three joint-stock EMCs for energy-saving projects in Beijing, Liaoning and Shandong provinces.
To date, EMCs have succeeded in bringing 107 energy-saving projects into effect in the fields of boilers, electrical engineering and heating power-supplies for real-estate, with some 160 million yuan (about US$19.3 million) of investment.