能动专业英语Part 1 Energy.docx

1、能动专业英语Part 1 EnergyPart One Energy IntroductionUnit One Energy in China1. Present situationChina is the worlds most populous country and has a rapidly growing economy. The country has registered average growth of 10 percent since 2000. Alongside strong economic growth, China has experienced enormous

2、 growth in its energy markets over the last two decades. According to official statistic, in 2008, the total primary energy production got to 2.6 billion tons of standard coal, covering about 14% of the global volume and ranking the 2nd in the world, which includes 2.793 billion tons of raw coal, 19

3、0 million tons of crude oil, 76.8 billion cubic meters of natural gas. Coalisthemostimportantfuelfor Chinas energy security, economic prosperity, and future development. It occupiesabout 69 % of total primary energy consumption in China. China is both the largest consumer and producer of coal in the

4、 world. China holds an estimated 126.2 billion short tons of recoverable coal reserves, the third-largest in the world behind the United States and Russia. Coal consumption has been on the rise in China over the last few years. Since 2001, Chinas coal consumption has increased at an annualized rate

5、of about 11.8 % per year, reaching a high point of 19 % growth in 2003. China used 2.793 billion tons of raw coal in 2008, representing a increase of 3.0% over the last year. And strong growth in coal demand is expected to continue. Some officials in the industry project coal demand to surpass 3 bil

6、lion tones by 2010. The biggest drivers of such demand are Chinas double-digit growth in electricity production and industrial output (both heavily reliant on coal). Electricity and industry are the major coal consuming sectors, making up 50 % and 43 % respectively of coal demand in 2006. Figure 1.1

7、 shows the annual energy demand growth by fuel in China.Figure 1.1 China annual energy demand growth by fuel Oil is the second-largest source, accounting for 21 % of the countrys total energy consumption. China consumed an estimated 7.5 million barrels per day (bbl/d) of oil in 2007, making it the s

8、econd-largest oil consumer in the world behind the United States. During that same year, China produced an estimated 3.9 million bbl/d of total oil liquids, of which 96 % was crude oil. China has emerged from being a net oil exporter in the early 1990s to become the worlds third-largest net importer

9、 of oil in 2006. China had net oil imports of 3.7million bbl/d in 2007, making it the third-largest net oil importer in the world behind the United States and Japan. EIA （Energy Information Administration）forecasts that Chinas oil consumption will continue to grow during 2008 and 2009, with oil dema

10、nd reaching 8.4million bbl/d in 2009. This anticipated growth of over 800,000bbl/d represents 32 percent of projected world oil demand growth for the period. By contrast, Chinas oil production is forecast to remain relatively flat at 4million bbl/d in 2009. According to OGJ (Oil & Gas Journal), Chin

11、a had 16 billion barrels of proven oil reserves as of January 2008, down from 18.3 billion barrels in 2006. Natural gas usage in China has also increased rapidly in recent years, and China has looked to increase natural gas imports via pipeline and as liquefied natural gas (LNG). According to OGJ, C

12、hina had 80 trillion cubic feet (Tcf) of proven natural gas reserves as of January 2008, up from 53.3 Tcf in 2006. While proven reserves have increased, Chinas production and consumption of natural gas has also increased. In 2007, China produced 2,446 billion cubic feet (Bcf) of natural gas while th

13、e country consumed 2,490 Bcf, and for the first time in almost 2 decades, the country became a net natural gas importer. LNG imports for 2007 were nearly 140 Bcf. While natural gas production is increasing, some independent analysts expect that demand growth will outpace increases in domestic produc

14、tion. The Chinese government is targeting natural gas consumption of 3,500 Bcf by 2010, more than double 2005 levels. To meet this anticipated shortfall, China is expected to continue importing natural gas in the future. China imported its first shipment of LNG in summer 2006, and the country is als

15、o considering a number of potential import pipelines from neighboring countries2. Energy policy and new energy According to the situation of energy resources and its development trend, the tenth and eleventh five-year Plans have made or operated a series of energy policies, the target is reducing an

16、nual energy intensity and ensuring the states energy security. The detail policies can be outlined as follows:1） Enhancing the work intensity of energy saving and improving efficiency of energy using Through the 2006 eleventh five-year guidelines, the central government targeted a decrease in energy

17、 intensity by 20 % by 2010 from the 2005 level, reflecting an annual energy intensity reduction of about 4% In 2004, the central government published the China medium-term and long-term energy conservation plan to emphasize the principles and objectives of energy conservation, to provide targets for

18、 energy consumption reduction and efficiency improvement of major products and energy consuming equipment, and to underline key energy conservation and projects with implementation measures. In addition, a number of significant supporting or implementing policies have followed the guidelines issuanc

19、e, such as the 2006 Top-1000 enterprise program or the 2008 revisions of energy conservation law. Generally, such energy intensity reductions can be achieved in two ways: (1) By adjusting the economic structure so as to encourage high value-added industrial as well as services and commercial sector

20、development; (2) By improving efficiency through technology in energy transformation and end-user sectors or by implementing other energy-efficiency improving management and design. This section focuses on the policies, targets, and programs implemented to achieve efficiency improvement in those sec

21、tors with high potential, including energy-intensive industries, residential and commercial sectors, and power generation. 2）Regulating the energy production market, to improve the efficiency of energy productionChinas coal industry has traditionally been spread out among large state-owned coal mine

22、s, local state-owned coal mines, and thousands of town and village coal mines. In February 2006, the NDRC revealed a plan to restructure Chinas coal sector and reduce the fragmentation in the industry, with the goal of establishing five to six giant conglomerates in Chinas main coal-producing provin

23、ces and closing down all small coal mines by 2015. Under the NDRCs directives, the Chinese government would look to aggregate the coal industry into large state-owned holding companies and seek to raise capital through international stock offerings, much like the creation of CNPC (China National Pet

24、roleum Corporation) and Sinopec. The model for this vision is the state-owned Shenhua Group, which is Chinas largest coal company by production and the parent company of Hong Kong-listed Shenhua Energy Corporation. A number of factors are driving this trend. China has tens of thousands of small loca

25、l coal mines where inefficient management, insufficient investment, outdated equipment, and poor safety records prevent the full utilization of coal resources. The goal of consolidating the industry is to raise total coal output, attract greater investment and new coal technologies, and improve the

26、safety and environmental record of coal mines. According to one industry report, at the end of 2005 China had 28,000 coal mines, of which 2,000 were state-owned. Independent analysts estimate that over the past several years China has closed down between 20,000 and 50,000 small coal mines. 3）Establi

27、shing great strategic oil and natural gas reserves to insure the countrys energy security.In Chinas 10th five-year Plan (2000-2005), launched in 2001, Chinese officials decided to establish a government-administered strategic oil reserve program to help shield China from potential oil supply disrupt

28、ions. This system will be built in three stages. In 2004, China started construction at four sites that would comprise the first phase of the countrys nascent strategic oil reserve program. Phase 1 will have total storage capacity of 102 million barrels at four sites, and is expected to be completed

29、 by year-end 2008. Phase 1 storage capacity will amount to approximately 30 days of net oil imports based on current estimates of Chinese oil demand. Phase 1 sites include: Zhenhai in Zhejiang Province (planned capacity 32 million barrels); Aoshan, also in Zhejiang Province (25 million barrels); Hua

30、ngdao in Shandong Province (25 million barrels); and Dalian in Liaoning Province (20 million barrels). Thereafter, Phase 2 is expected to increase capacity to about 300 million barrels by 2010. Ultimately, Phase 3 is expected to bring total strategic oil reserve capacity in China to about 500 millio

31、n barrels, although there is no timetable set for this plan. The government officials have kept anticipated fill rates for the countrys strategic oil reserve system under wraps. Many industry analysts estimate that China will build strategic oil stockpiles at a rate of 100,000bbl/d or more for years

32、 to come. 4）Strengthening international connections to enhance the countrys energy securityInternational connections with such exporters as Russia, Europe, the Middle East countries, Africa countries and other APEC economies are encouraged.Table 1.1 shows the regional concentration of Chinas crude o

33、il imports from 1998 to 2002. It can be seen that the Herfindahl score is decreasing gradually. This means that the regional concentration of Chinas crude oil imports has undergoing a downward trend over the last several years. And this implies that Chinas oil security has been improved to some degree. The main reason fo