China is planning “rare” and “heavy-handed” steps to phase out outdated industry, state media said yesterday, days after Beijing pledged to slow the growth in its fast-rising carbon emissions.
The government is to launch a “rare nationwide campaign” to eliminate inefficient and excess industrial capacity, the Shanghai Securities News reported.
It will include austerity measures that will be imposed on heavily polluting sectors including coal, steel, cement, printing and dyeing, it added.
The move came after China — the world’s top source of greenhouse gases — last week unveiled the emissions-curbing proposal it will take to next week’s UN climate change summit in Copenhagen.
However, it also appears to be part of a drive launched this year by authorities to rein in excess capacity amid fears that a government economic stimulus package has fueled over-investment in some industrial sectors.
Key measures listed by the Shanghai Securities News include halting the supply of land needed for the expansion of outdated capacity and equipment, curbing demand for high-emission products and strictly limiting exports.
Faithfulness in carrying out the campaign will be a key factor in assessing the overall work performance of local-level officials, it added.
Individual companies that fail to comply will face penalties such as denial or revocation of required licenses and a cut-off of electricity supplies, it said.
Authorities including the National Development and Reform Commission — the top economic planning agency — the Ministry of Environment Protection and the central bank will jointly implement the policy, the report said.
China said last week that by 2020 it planned to cut the amount of carbon dioxide it emits per unit of GDP by 40 to 45 percent compared to 2005 levels — essentially a pledge of greater energy efficiency.
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