The Driving Factors of Energy Demand and Analysis on the Policy Effect of Energy Conservation and Emission Reduction in China

Judging from current situation, China's energy conservation and emission reduction during 12 th Five-Year Plan period is still faced with severe challenges. Because China's income level is still rather low, with increase of income level, China's total energy consumption, energy consumption per unit of GDP and carbon dioxide emissions will continue to maintain growth momentum. Therefore, China has a long way to go. Currently, further development of China's energy conservation and emission reduction is under restriction of such factors as less competitiveness in service sector, lacking of core technologies, limited financing channels, excessive enforcement measures, and insufficient incentives. Hence, we should take following measures: to reduce total energy consumption through internal restructuring of manufacturing sector; to improve energy use efficiency through further strengthening of technological innovations and promotion; to improve capital use effects through market mechanisms by expanding financing channels; to turn the brake of objective assessment into improving mechanism for energy conservation and emission reduction through reform of assessment mechanism; and to encourage enterprises and individuals to make choices in favor of energy conservation and emission reduction through improvement of systems of taxes and subsidies.