China chooses between consumption, conservation

The failed bid of the Chinese Nation Offshore Oil Corporation (CNOOC) for American oil company Unocal may be an indication of China's objective to secure energy resources for the country's massive industrialization.

This, however, had done great damage to the environment in China. Asia News Network (ANN), in collaboration with the Holcim foundation, recently held a seminar on China's energy consumption and its toll on the environment.

The Jakarta Post's M. Taufiqurrahman was invited to take part in the seminar, which was held in tandem with the ceremony for the first Holcim award for sustainable construction.

Apart from the colorful clothes worn by its residents, another striking characteristic of Beijing, the capital city of the People's Republic of China, is its ever-dusky atmosphere -- a situation caused by heavy air pollution.

Arriving at the Beijing Capital International Airport, situated 26 kilometers from downtown Beijing, one will soon inhale heavily polluted air impregnated with industrial dust, carbon monoxide and other airborne toxic materials.

Beijing is just one of many large cities in China that are now in suffering massive pollution as a result of the country's extensive industrialization.

Most cities in the communist country have poor air quality; 75 percent of its population now lives in cities whose air quality is below the national standard, a report said.

Indeed, industrialization, which started with the introduction of the market-based economy two decades ago, has been blamed for unchecked pollution.

However, industrialization was the only way for the Chinese people to grow and sustain themselves in the world economy.

Only with 9 percent growth in gross domestic product (GDP) could the country generate employment for its 1.2 billion people and produce enough goods to fill the global market.

The growth has resulted mostly from the energy-intensive sector.

China's growing energy consumption is discernible from the fact that with GDP of 10.7 percent in the period 1980 to 1985, the growth in energy consumption was 4.9 percent.

However, energy consumption dramatically increased in recent years. With economic growth of 9.5 percent in 2004, its consumption of energy has grown to 15.2 percent.

Such a dire need for energy has had to be met mostly from imports.

Huge oil consumption

China, whose energy consumption accounts for 8 percent of the world's oil consumption, meets 45 percent of its demand from imports, which makes her all the more vulnerable to fluctuations in the world price.

The nation's energy consumption is now ranked second in the world, with oil consumption taking third place.

In 2005, China is expected to pay an additional US$10 billion for oil because of the recent surge in the price of the commodity.

In spite of its plentiful supply, China is still experiencing crises in energy supply these days.

A total of 10 provinces experienced electrical blackouts in 2005, down from 24 the previous year.

In an effort to meet the domestic demand for energy, the Chinese government has found a way to diversify its energy resources, coal in particular.

Last year, when China's energy consumption and output hit historic highs, consumption reached 1.97 billion metric tons of standard coal equivalent -- up 17.4 percent -- with coal use accounting for 68.7 percent of overall consumption.

However, a steady reliance on coal would put the country's environment in jeopardy.

As most coal mines are deep underground, groundwater reserves could be depleted and agricultural land destroyed in the vicinity, director general of China's Energy Research Institute of the National Development and Reform Commission Zhou Dadi told a seminar organized by Asia News Network (ANN) together with the Holcim foundation.

Urbanization, as another direct effect of rapid industrialization, has also put the environment at risk.

Each year, approximately 10 million people find their way into China's cities seeking a better life.

Once they find a livelihood there, the new population soon acquires domestic appliances, cars and air conditioners, giving rise to increased consumption of fuel.

Growth in number of cars, too

In Beijing for example, the number of cars has grown over the years.

A city of 14.9 million, the capital city is now a home to over 2.2 million cars with 1,000 new cars registered by the city administration every day.

Monstrous sports utility vehicles are to be seen all over Beijing's busy streets apart from residents' favorite cars, the Audi A6 and VW Passat.

Traffic jams are now a regular feature of Beijing.

To make things worse, the Chinese government decided in 1994 that the car industry was one of four key industries needed to stimulate the country's economy.

"The government aims to redouble the present volume in 2010 and achieve new status for China as the third-largest carmaker in the world," environmental analyst and deputy chief editor of World Environment magazine Zou Jing said.

In the face of the poor state of its environment, the Chinese government has little option but to initiate campaigns to achieve more sustainable development.

Among the efforts is a drive to diversify energy resources that range from wind, solar, bio-methane and even nuclear.

China is expected to complete its development of fusion technology by 2050, Zhou said.

Zhou declined to comment on the possible backlash from Western countries that are wary of China's uranium enrichment projects.

In Beijing alone, a campaign to reduce pollution was discernible in the use of electricity to power legions of city buses.

The capital city is now being forced to reduce its pollution level to that of European cities, an obligation imposed by the International Olympic Committee as part of conditions for hosting the 2008 Olympic games.

The Chinese government, for its part, has also renewed its pledge to improve environmental conditions.

"In a rapidly developing economy such as China's, reaching a balance between the needs of its populace and the environment is a critical need now -- and also in the future," says Feng Zhijun, China's vice chairman of the Environment and Resources Protection Committee.