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Test Code : ST0-085
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: 200 actual Questions
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Editor's note: The Information Office of the situation Council on Wednesday published the 2012 edition of white paper on the country's energy policy. Following is the replete text filed by the Xinhua intelligence Agency:
China's Energy Policy 2012
Information Office of the situation Council
The People's Republic of China
October 2012, Beijing
First Edition 2012
China Internet Information Center
Home Page: http://www.china.org.cn
I. Current Energy Development
II. Policies and Goals of Energy Development
III. All-round Promotion of Energy Conservation
IV. Vigorously Developing novel and Renewable Energy
V. Promoting antiseptic progress of Fossil Energy
VI. Improving Universal Energy Service
VII. Accelerating Progress of Energy Technology
VIII. Deepening Institutional Reform in the Energy Sector
IX. Strengthening International Cooperation in Energy
Energy is the material basis for the progress of human civilization and an requisite basic condition for the progress of modern society. It remains a major strategic issue for China as the country moves towards its goals of modernization and common prosperity for its people.
Since China adopted the policy of reform and opening up in the late 1970s, its energy industry has made Great advances. China is now the world's largest energy producer. It has built up a comprehensive energy supply system comprising coal, electricity, petroleum, natural gas, and novel and renewable energy resources. Its universal energy service and civil energy expend conditions believe markedly improved. Its thriving energy industry provides a guarantee for the country to reduce poverty, ameliorate the people's livelihoods and maintain long-term, equable and rapid economic development.
However, China's energy progress silent faces many challenges. The country's energy resource endowment is not high and its per-capita share of coal, petroleum and natural gas is low. Its energy consumption has grown too quickly in recent years, increasing the strain on energy supply. Fossil energy resources believe been exploited on a big scale, causing a inevitable amount of damage to the eco-environment.
To curb extreme consumption of energy resources and achieve the comprehensive, balanced and sustainable progress of the economy, society and ecology, China keeps strengthening its efforts in energy conservation and emissions reduction, and strives to raise the efficiency of energy utilization. As a result, energy consumption per unit of GDP has been decreasing year by year. China will continue to elect the Scientific Outlook on progress as its guiding principle, and drudgery difficult to transform its progress pattern, giving prominence to edifice a resource-conserving and environment-friendly society. It relies on scientific, technological and system innovation to raise efficiency in any aspects of energy utilization, further develops novel and renewable energy resources, and promotes the antiseptic and efficient progress and utilization of fossil energy resources. The country endeavors to build a modern energy industry which is secure, stable, economical and clean, in order to provide a solid guarantee for edifice a moderately prosperous society in any respects and compose greater contributions to the world's economic development.
Current Energy Development
Since the reform and opening-up policy was introduced, China's energy industry has witnessed rapid growth, achieving comprehensive progress of coal, electricity, petroleum, natural gas, and novel and renewable energy resources, making significant contributions to the long-term, equable and rapid growth of the national economy and the sustained improvement of live standards.
Remarkable enhancement of energy supply capability and security. In 2011, the output of primary energy equaled 3.18 billion tons of standard coal, ranking first in the world. Of this, raw coal reached 3.52 billion tons; raw oil, 200 million tons; and refined oil products, 270 million tons. The output of natural gas ballooned to 103.1 billion cu m. The installed electricity generating capacity reached 1.06 billion kw, and the annual output of electricity was 4.7 trillion kwh. A comprehensive energy transportation system has developed rapidly. The length of oil pipelines totaled more than 70,000 km, and the natural gas trunk lines exceeded 40,000 km. Electric power grids were linked up throughout the country, and electricity transmission lines of 330 kv or more totaled 179,000 km. The first facet of the national petroleum reserve project was completed, and the country's emergency energy-supply capability keeps improving.
Conspicuous achievements in energy conservation. China vigorously promotes energy conservation. During the 1981-2011 period, China's energy consumption increased by 5.82 percent annually, underpinning the 10 percent annual growth of the national economy. From 2006 to 2011, the energy consumption for every 10,000 yuan of GDP dropped by 20.7 percent, saving energy equivalent to 710 million tons of standard coal. The situation implemented a string of energy-saving renovations, such as of boilers, electrical machinery, buildings and installation of green lighting products. The gap between the overall energy consumption of China's high energy-consuming products and the advanced international level is narrowing. The energy utilization efficiency of novel projects in the cumbersome and chemical industries, such as non-ferrous metals, edifice materials and petrochemicals, is up to the world's advanced level. The country has eliminated petite thermal power units with a total generating capacity of 80 million kw, saving more than 60 million tons of raw coal annually. In 2011, coal consumption of thermal power supply per kwh was 37 grams of standard coal lower than in 2006, a decrease of 10 percent.
Rapid progress in non-fossil energy. China has made energetic efforts in developing novel and renewable energy resources. In 2011, the installed generating capacity of hydropower reached 230 million kw, ranking first in the world. Fifteen nuclear power generating units were set into operation, with a total installed capacity of 12.54 million kw. Another 26 units, silent under construction, were designed with a total installed capacity of 29.24 million kw, leading the world. The installed generating capacity of wind power connected with the country's power grids reached 47 million kw, ranking top in the world. Photovoltaic power generation too reported speedy growth, with a total installed capacity of 3 million kw. Solar water heating covered a total area of 200 million sq m. The situation too expedites the expend of biogas, geothermal energy , tidal energy and other renewable energy resources. Non-fossil energy accounted for 8 percent of the total primary energy consumption, which means an annual reduction of more than 600 million tons of carbon dioxide (CO2) emission.
Quick foster in science and technology. A fairly complete system of exploration and progress technologies has taken shape in the petroleum and natural gas industry, with prospecting and progress techniques in geologically complicated regions and the recovery ratio of oilfields leading the world. Oil drilling rigs that are capable of operating at a maximum water depth of 3,000 m believe been built. China is now able to independently design and build oil refinery equipment, each set of which boasts an annual output of 10 million tons, and ethylene production plants, each of which has an annual output of one million tons. The country's direct coal liquefaction and coal-to-olefins technologies, for which it owns independent intellectual property rights, believe reached the world's advanced level and achieved novel breakthroughs in technology. In addition, 60 percent of the country's coal mines believe been mechanized, and mechanized underground mining equipment with an annual output of six million tons is installed nationwide. Electric power generating units featuring a big capacity and high parameters, including ultra-supercritical and air-cooled generators each with an installed capacity of one million kw, believe been installed widely. The designing and manufacturing of 700,000-kw hydraulic turbine generators believe reached the world's advanced level. China is now able to independently design and build one-million-kw pressurized water reactor nuclear power plants, and has made outstanding breakthroughs in the R&D of high-temperature gas-cooled reactors and snappily reactors. Also, 3,000-kw wind power generators believe been mass-produced and 6,000 kw wind power generators believe foster off the production line. The solar photovoltaic industry has formed a sound manufacturing chain, with an annual output of solar panels accounting for more than 40 percent of the world's total. China leads the world in extra-high-voltage DC/AC power transmission technology and manufacturing.
Marked improvement in civil energy expend conditions. The situation actively promotes civil energy projects and works to enhance the overall level of energy service. Compared with 2006, the per-capita primary energy consumption in 2011 equaled 2.6 tons of standard coal, a 31 percent increase; the per-capita natural gas consumption reached 89.6 cu m, an increase of 110 percent; and the per-capita electricity consumption was 3,493 kw, a 60 percent increase. The first and second west-east gas pipelines believe been completed, and more than 180 million people across the country believe access to natural gas. The government has invested more than 550 billion yuan in power grid upgrading projects for rural areas, fundamentally improving access to electricity for rural residents. The Qinghai-Tibet electricity network project has been completed, connecting the power grid of the Tibetan plateau with those of the other parts of China. The situation is accelerating the construction of electric power facilities in areas that as yet attain not believe electricity, and has so far ensured that more than 30 million people believe access to electricity. Combined heat and power projects with a total installed capacity of 70 million kw believe been built in high-altitude and frigid areas in northern China that provide more than 40 million urban residents access to heating.
Remarkable progress in environmental protection. The country is quickening the pace of control of coal mining subsidence areas, and establishes and improves the compensation mechanism for the exploitation of coal resources and restoration of the eco-environment. In 2011, the coal washing rate reached 52 percent and the land reclamation rate, 40 percent. Existing power plants believe speeded up their desulfurization and denitration upgrading, and coal-fueled generating units with flue gas desulphurization facilities accounted for 90 percent of the national total. Coal-fueled generating units reported a 100-percent installation of dust-cleaning facilities and a 100-percent discharge of squander water up to the material standards. The situation is intensifying efforts for the progress and utilization of coal bed methane (CBM), extracting 11.4 billion sq m of CBM in 2011. China became the first country to adopt a national standard for CBM emissions. Its energy consumption per unit of GDP has dropped over the past five years, eliminating 1.46 billion tons of CO2 discharge.
Energy systems and mechanisms gradually improving. The market mechanism is playing an increasingly significant role in resource allocation. Investors in the energy domain are diversified, and private investment in it keeps growing. Market competition has been introduced into the production and distribution of coal. In the electric power industry, government administrative functions and enterprise management believe been separated, as has power production from power transmission, and a supervisory system has taken shape. Energy pricing reform has been deepening, and the pricing mechanism is gradually improving. material policies and measures for the sustainable progress of the coal industry believe been tried out. The situation has too established a feed-in tariff (FIT) system for wind and photovoltaic power generation, and a renewable energy progress fund. The legal system of energy-related laws has been strengthened, and a number of laws and regulations believe been amended and published in the past few years, including the Energy Conservation Law, Renewable Energy Law, Circular Economy Promotion Law, Law on the Protection of Oil and Natural Gas Pipelines, Regulations on Energy Conservation in Civil Buildings, and Regulations on Energy Conservation by Public Institutions.
As the world's largest energy producer, China mainly relies on its own might to develop energy, and its rate of self-sufficiency has reached around 90 percent. China's energy progress not only guarantees domestic economic and companionable development, but too makes significant contributions to global energy security. For some time to come, China's industrialization and urbanization will continue to accelerate, and the exact for energy will ebb on increasing, and so its energy supply will confront increasingly tougher challenges.
Prominent resources restraint. China's per-capita average of energy resources is low by world standards. China's per-capita shares of coal, petroleum and natural gas account for 67 percent, 5.4 percent, and 7.5 percent of the world's averages, respectively. Although China has experienced rapid growth in energy consumption over the past few years, its per-capita energy consumption is silent low - only one third of the average of developed countries. But as the economy and society progress and live standards improve, China's energy consumption will continue to rise sharply, and there will exist a growing restraint on resources.
Low energy efficiency. China's industrial structure is yet to exist rationalized and the economic growth pattern to exist improved. Energy consumption per unit of GDP is much higher than those of developed countries and some newly industrialized countries. Energy-intensive industries are backward in technology. The percentage of energy consumption by the secondary industries, especially the energy-intensive industrial sectors, is too high in the country's total. The energy consumption of four major energy-intensive industries - steel, non-ferrous metals, chemicals, and edifice materials - accounts for 40 percent of the national total. Low energy efficiency results in high energy consumption for every unit of GDP.
Increasing environmental pressure. Extensive progress of fossil energy, particularly coal, has had a solemn impact on the eco-environment. big areas of arable land are taken up for other uses or even spoiled, water resources are seriously polluted, the discharge of carbon dioxide (CO2), sulfur dioxide (SO2), nitrogen oxides (NOx) and toxic cumbersome metals remains high, and emissions of ozone and particles smaller than 2.5 micrometers (PM2.5) are increasing. For a long time to come, fossil energy will continue to dominate the energy consumption mix, posing a growing challenge for protecting the environment and countering climate change. A more environment-friendly energy mix is urgently needed.
Grave challenges to energy security. The country's dependence on foreign energy sources has been increasing in recent years. In particular, the percentage of imported petroleum in the total petroleum consumption has risen from 32 percent at the nascence of the 21st century to the present 57 percent. Marine transportation of petroleum and cross-border pipeline transmission of oil and gas countenance ever-greater security risks. charge fluctuations in the international energy market compose it more difficult to guarantee domestic energy supply. It will not exist smooth for China to maintain its energy security since its energy reserves are petite and its emergency response capability is weak.
Reforms called for current systems and mechanisms. Energy-related systems and mechanisms silent suffer from some long-term, deep-rooted problems. The energy pricing mechanism is yet to exist perfected, and industrial management is silent weak. The overall service level needs to exist enhanced. Overall, restraints of the current systems and mechanisms believe seriously hindered the rational progress of the country's energy industry.
The above problems challenging China's energy progress are a result of the international energy competition, and China's levels of productivity and development, as well as the country's irrational industrial structure and energy mix, extensive progress and utilization of energy resources, and sluggish reform of material systems and mechanisms. Therefore, China will vigorously promote the transformation of its energy production and utilization modes, continuously ameliorate its energy policy, and strive to achieve a comprehensive, balanced and sustainable progress of its energy, economy, society and eco-environment.
Policies and Goals of Energy Development
As the largest developing country in the world, China is faced with the daunting tasks of developing its economy, improving its people's livelihood, and edifice a moderately prosperous society. It is an significant strategic task of the Chinese government to maintain long-term, stable and sustainable expend of energy resources. China's energy progress must ensue a path featuring high-tech content, low consumption of resources, less environmental pollution, satisfactory economic returns, as well as security. It is moving towards the objective of economical, antiseptic and secure development.
The basic contents of China's energy policies are: "giving priority to conservation, relying on domestic resources, encouraging diverse development, protecting the environment, promoting scientific and technological innovation, deepening reform, expanding international cooperation, and improving the people's livelihood." The situation strives to foster the transformation of its energy production and utilization modes, and build a modern energy industrial system which features secure, stable, economical and antiseptic development, so as to champion sustainable economic and companionable progress with sustainable energy development.
Giving priority to conservation. The situation exercises control over both total energy consumption and intensity. It is working to build an energy-saving production and consumption system, promote the transformation of the patterns of economic progress and household consumption, and accelerate the pace of edifice an energy-efficient country and an energy-saving society.
Relying on domestic resources. The country relies on domestic resource advantages and its own progress basis, makes special efforts to enhance its energy supply capability and security, improves its emergency energy reserve and emergency response systems, and controls its dependence on foreign energy sources.
Encouraging diverse development. China endeavors to raise the balance of clean, low-carbon fossil energy and non-fossil energy in the energy mix, promotes the efficient and antiseptic utilization of coal, develops substitute energy resources in a scientific way, and speeds up the optimization of energy production and the consumption mix.
Protecting the environment. The situation encourages fostering the concept of environment-friendly and low-carbon development, coordinates the progress and expend of energy resources with the protection of the eco-environment while paying equal attention to both, and actively fosters an energy progress pattern that meets the requirements of ecological civilization.
Promoting scientific and technological innovation. The situation strengthens basic scientific research and frontier technological research in the energy domain to enhance its scientific and technological innovation capabilities. Through the implementation of key energy projects, the situation advances independent innovation in key technologies and equipment, and speeds up the fostering of innovative personnel.
Deepening reform. The situation gives replete play to the role of the market mechanism, makes unified planning with due consideration for any concerned, addresses both root causes and symptoms of various problems, and expedites the reform in key fields and links to establish a framework of systems and mechanisms conducive to sustainable energy development.
Expanding international cooperation. China gives simultaneous consideration to both domestic and international energy development, works to increase the scope, channels and forms of international cooperation, enhances its capability to "introduce" and "go global," propels the establishment of a novel international energy order and promotes mutually profitable cooperation.
Improving the people's livelihood. The situation coordinates energy progress in both urban and rural areas, enhances energy infrastructure and basic public services, and strives to purge energy poverty and ameliorate civil energy-use conditions.
It is stipulated in the profile of the 12th Five-Year design (2011-2015) for National Economic and companionable progress that by 2015 non-fossil energy will rise to 11.4 percent in the national total primary energy consumption, energy consumption per unit of GDP will drop by 16 percent from 2010, and CO2 emission per unit of GDP will decrease by 17 percent from 2010.
The Chinese government has made the commitment that by 2020 non-fossil energy will account for 15 percent of its total primary energy consumption, and CO2 emission per unit of GDP will exist 40-45 percent lower than in 2005. As a amenable nation, China will compose every application to fulfill its commitment.
All-round Promotion of Energy Conservation
China is a country with a big population but material deficiency in resources. To attain sustainable expend of energy resources and sustainable economic and companionable development, it must elect the path of conserving energy.
China always puts energy conservation in the first place. In the early 1980s, it set forward the progress policy of "stressing both progress and saving, with priority given to saving." The Chinese government issued the conclusion of the situation Council on Strengthening Energy Conservation in 2006. It issued the Comprehensive drudgery design on Energy Conservation and Emission Reduction in 2007, making an all-round design for the major sectors of energy consumption, such as industry, construction and transportation. China carried out ten key energy-conservation projects, including the innovation of coal-fueled industrial boilers (kilns), surplus heat and pressure utilization, energy saving in electrical motors, construction of energy-saving buildings, the green lighting project, and energy saving in government bodies, thus increasing its energy-conservation capacity to 340 million tons of standard coal. The Chinese government launched an energy conservation drive among 1,000 enterprises, resulting in a sharp decline in the comprehensive energy consumption index of key industries, and saving energy equivalent to 150 million tons of standard coal. China's energy consumption per unit of GDP dropped 19.1 percent during its 11th Five-Year design epoch (2006-2010).
In 2011, the situation Council released the Comprehensive drudgery design on Energy Conservation and Emission Reduction During the 12th Five-Year design Period. This design proposed the major objectives and key actions in the fields of energy conservation and emission reduction during this period. China aims to establish a "reverse coercion mechanism" through the dynamic integration of its efforts in lowering the intensity of energy consumption, reducing the total emissions of major pollutants, and rationally controlling total energy consumption. The "reverse coercion mechanism" helps promote the strategic restructuring of the economy, thrust forward the optimization of the industrial structure, and strengthen any aspects of energy utilization management in industry, construction, transportation, and public organizations, as well as in the fields of urban and rural construction and consumption, thus contributing to the edifice of a resource-conserving and environment-friendly society.
Optimization of the industrial structure. The country puts the adjustment of the industrial structure in the key status of its energy conservation strategy. It exercises strict control over low-level duplicated construction, and eliminates industries with high consumption and high pollutant emission, and backward productivity. China expedites the transformation of its traditional industries with advanced and applicable technology. It raises the entry threshold for processing trade, and promotes its transformation and upgrading. It improves the structure of foreign trade, and transforms its energy- and labor-intensive progress mode into a capital- and technology-intensive one. It pushes forward the progress of the service trades, fosters and develops emerging industries of strategic importance, and speeds up the formation of pioneer and pillar industries.
Strengthening energy conservation in industry. With its energy consumption taking up about 70 percent of China's total, industry is the major energy consumer in China. The situation has drawn up catalog of advanced and applicable technologies in the fields of energy conservation and emission reduction for key industries such as iron and steel, petrochemicals, non-ferrous metals and edifice materials, for the purpose of eliminating backward technology, equipment and products, and developing energy-saving and high-value-added products and equipment. It has established and improved a mandatory standards system of quotas for energy consumption per-unit product in key industries, and strengthened the energy-saving evaluation and supervision system. It has undertaken key energy-saving projects, including simultaneous generation of heat and power, recycling of industrial by-product gas, construction of enterprise energy-control centers, and fostering of energy-saving industries, so as to increase its enterprises' energy utilization efficiency.
Promoting edifice energy conservation. China makes vigorous efforts to construct green buildings and comprehensively foster energy conservation in buildings. It sets and improves the standards for green buildings, and implements rating and identification of green buildings. It actively promotes energy-saving renovation of existing buildings, and sets quotas for energy consumption by public buildings and publicizes their energy efficiency rates. It has set up a management system for the life cycles of buildings, and exercises strict control over demolition of buildings. China has too made and implemented an energy-saving design for public institutions, and strengthened the establishment of a supervisory system for energy conservation in public buildings. It carries forward heat metering and energy efficiency renovations on existing residential heating systems in the northern regions of China, builds energy-saving greenhouses, improves the old-fashioned heat-supply network, and practices metered heat-supply charging and energy consumption quota management.
Pushing forward energy conservation in transportation. China continues to give priority to public transport, actively develops intercity rail transportation, and rationally encourages green commuting. China implements the fuel economy standard of the world's advanced level for automobiles, and popularizes energy-saving and environment-friendly vehicles. It speeds up the elimination of old-fashioned automobiles, locomotives and ships. Vigorous efforts are made to optimize the transportation structure and develop green logistics. China increases the electrification rate in rail transportation, and launches energy-saving renovations at airports, piers and railway stations. It actively develops and popularizes novel energy vehicles, and makes scientific plans for the construction of supporting facilities, including compressed natural gas filling and electricity charging facilities.
Promoting energy conservation among any citizens. The Chinese government will intensify efforts in energy-saving education and publicity. It works difficult to bring into being a green mode of consumption and green lifestyle among urban and rural residents, and strengthens the public awareness of the significance of resource conservation. It strictly enforces the energy-saving standards of public institutions, and gives replete play to the demonstration and leading role of government organs in energy conservation. It mobilizes any sectors of society to participate in energy conservation by conducting material activities in residential areas, schools, government organs, the armed forces and enterprises. any these measures allay build a long-term mechanism of energy conservation with the participation of any sectors of society. Attention is too paid to energy conservation and emission reduction in rural areas, such as the construction of energy-saving houses.
Vigorously Developing novel and Renewable Energy
Vigorously developing novel and renewable energy is a key strategic measure for promoting the multiple and antiseptic progress of energy, and fostering emerging industries of strategic importance. It is too an exigent requisite in the protection of the environment, response to climate change and achievement of sustainable development. Through unswerving efforts in developing novel and renewable energy sources, China endeavors to increase the shares of non-fossil fuels in primary energy consumption and installed generating capacity to 11.4 percent and 30 percent, respectively, by the discontinuance of the 12th Five-Year Plan.
Actively developing hydropower. China boasts abundant hydropower resources. Its technically exploitable hydropower resources are equal to 542 million kw, putting the country first in the world. Calculated according to power generation, less than 30 percent of China's hydropower resources are currently utilized, leaving plenty of latitude for progress in this regard. In order to attain the goal of increasing non-fossil energy consumption to 15 percent of the total energy consumption by 2020, more than half will foster from hydropower development. On the condition that the ecological environment is protected and resettlements of local people affected are properly handled, China will energetically develop hydropower. By integrating hydropower progress with promotion of local employment and economic development, the Chinese government aims to "develop local resources, stimulate local economic development, ameliorate the local environment and capitalize local people." The country strives to ameliorate its resettlement policies regarding local people affected by hydropower projects, and faultless the benefit-sharing mechanism. China will strengthen ecological-protection and environmental-impact assessment, strictly implement measures to protect the environment of existing hydropower stations, and ameliorate the comprehensive utilization level and eco-environmental benefits of water resources. In accordance with rational river basin planning for hydropower development, China will precipitate up the construction of big hydropower stations on key rivers, develop medium- and small-sized hydropower stations based on local conditions, and construct pumped-storage power stations in commandeer circumstances. The country's installed hydropower generating capacity is expected to achieve 290 million kw by 2015.
Developing nuclear power in a safe and highly efficient way. As nuclear power is a high-quality, antiseptic and efficient modern energy source, its progress is of Great significance for optimizing the nation's energy structure and ensuring national energy security. At present, nuclear power only accounts for 1.8 percent of China's total power output, far below the world average, which is 14 percent. Nuclear safety is essential for nuclear power development. Since the Fukushima Daiichi nuclear cataclysm in 2011, China has launched comprehensive safety inspections at any nuclear power plants. The inspection results intricate that nuclear security is guaranteed in China. Over the past 20 years, Chinese nuclear power units in operation believe never had accidents at and above level 2, with major operating parameters being better than the world's average and some indices even reaching the leading or advanced world level. Upholding a scientific and rational concept of nuclear security, China implements the principle of "safety first" in the gross process of nuclear power station planning, site selection, R&D, design, construction, operation and decommissioning. It has established and improved a legal system on nuclear power, improved and optimized the safety management mechanism of nuclear power, set a high entry threshold in this regard, and clarified safety responsibility. It has improved the supervision system of nuclear power by strengthening safety supervision and inspection, and radiation environment supervision and management at nuclear power plants in operation and under construction. An emergency mechanism for nuclear accidents has been established and improved to enhance the country's emergency response capability. China will invest more in nuclear power technological innovations, promote application of advanced technology, ameliorate the equipment level, and attach Great significance to personnel training. China's installed capacity of nuclear power is expected to achieve 40 million kw by 2015.
Effectively developing wind power. As a non-water renewable energy, wind power is currently the most commandeer energy source for large-scale progress and market-driven utilization. China's wind power industry is the fastest-growing in the world. During the 12th Five-Year design period, China will stress both intensive and distributed exploitation, and optimize the progress layout of wind power. It will thrust forward wind power construction in an orderly route in the northwestern, northern and northeastern regions, which boast abundant wind energy, and precipitate up the progress and utilization of distributed resources. It will steadily develop offshore wind farms, and ameliorate the standards for wind-power equipment and the supervision system of this industry. China will cheer wind-power equipment manufacturers to expedite R&D of key technologies, so as to accelerate the technological upgrading of this industry. By means of speeding up grid construction, increasing the grid's dispatch level, improving the performance of wind-power equipment, and strengthening wind-power prediction and forecast, China aims to ameliorate its power grids' wind-power integration ability. The installed generating capacity of wind power is expected to achieve 100 million kw by the discontinuance of 2015, with 500 kw of generating capacity coming from offshore wind farms.
Actively making expend of solar energy. China is flush in solar energy, which boasts immense latitude for progress and has a promising future. During the 12th Five-Year design period, China will promote diverse patterns of solar-power progress by integrating intensive exploitation with distributed utilization. It will construct big on-grid photovoltaic power stations and solar power generation projects in Qinghai and Gansu provinces, and the Xinjiang Uygur and Inner Mongolia autonomous regions, which boast abundant solar energy and scattered plots of unutilized land, for the purpose of increasing local supplies of electricity. It will cheer the central and eastern regions to construct distributed photovoltaic power generation systems linked to local buildings. Intensified efforts will exist made to popularize solar water heaters, and promote the progress of solar central hot-water supply, solar heating and cooling, and medium- and high-temperature industrial applications of solar energy. It will spread solar water heaters, solar cookers and solar houses in the countryside, rim areas, and petite cities and towns. China's installed generating capacity of solar energy is expected to exceed 21 million kw by 2015, with a total solar heat collection area of 400 million sq m.
Developing and utilizing biomass energy and other types of renewable energy. China will develop biomass energy and other renewable energy resources under the principle of "orderly progress based on local conditions and comprehensive utilization with any factors taken into consideration." It will promote power generation using crop stalks, grain-processing residues and bagasse as fuels in major producing areas of grain and cotton; and carefully develop woody biomass power generation in forest-covered areas. Attention will exist given to the promotion of electricity generation by means of squander incineration and landfill gas in urban areas. The country will too precipitate up the construction of biomass gas, including methane, supply systems in eligible regions, and build production bases of biomass molding fuel in accordance with local conditions. Efforts will too exist made to develop biodiesel and industrial cellulosic ethanol. China will spread the technology of efficiently using geothermal energy on the condition that underground water is protected. It will reinforce the tracking and R&D of electricity generation technologies by using tidal energy, wave energy and erotic parch rocks.
Promoting distributed utilization of antiseptic energy. China will energetically develop distributed energy resources on the principle of "giving priority to local supply, feeding the surplus into the grid, progress based on local conditions, and advancing in an orderly way." It will accelerate the construction of distributed energy systems (DES) for natural gas at energy load centers. It will energetically spread the technology of distributed renewable energy, especially in high energy-consumption centers, including cities and industrial parks. It will carry out distributed renewable energy construction in rural areas, forest regions and islands in accordance with local conditions. Efforts will exist made to set standards for distributed energy, and ameliorate the formation mechanism and polices for on-grid price. difficult drudgery will exist done to realize direct supply, and non-discriminatory and barrier-free connection to the grid of power generated in the distributed manner. During the 12th Five-Year design period, China will construct about 1,000 projects of natural gas DES, and ten distributed energy demonstration areas with various typical characteristics.
Promoting antiseptic progress of Fossil Energy
Worldwide, fossil energy, including coal and oil, will continue to play a preeminent role in energy supply for a long time to come. China is no exception. Therefore, China will continue to design fossil exploitation and utilization, with environmental protection taken into account. It will precipitate up the construction of advanced production capacity, purge outdated capacity, thrust forward the antiseptic progress of fossil energy, protect the ecological environment and cope with climate change, so as to attain the goal of energy conservation and emission reduction.
Developing the coal industry in a safe and highly efficient way. China sticks to the guideline of "scientific overall arrangement, intensive development, safe production, efficient utilization and environmental protection" in the progress of the coal industry. Following the principle of "enforcing control in the eastern regions, maintaining stability in the central regions, and promoting progress in the western regions," it will thrust ahead with the edifice of 14 big coal-mining bases, including the Shaanbei, Huanglong and Shendong coalfields. By means of integration of coal resources, and merger and reorganization of coal mining enterprises, the country will bring into being big coal mining conglomerates. Priority will exist given to the progress of big open-pit and super-large coal mines. It aims to enhance overall mechanization and safe production in coal mining through upgrading and reconstruction, and elimination of outdated production capacity. Vigorous efforts will exist made to develop a circular economy in the mining areas, increase the washing and dressing rate of raw coal, and rationally develop associated resources. Following the approach of energy, technology and capital-intensive progress with extensive industrial chain and high added value, the country will develop demonstration projects of upgraded downstream products in an orderly way. It will cheer the construction of projects for antiseptic production, utilization, processing and conversion of low-calorific-value coal. It will strengthen environmental protection and ecological construction in the mining areas by route of comprehensive ecological management and land reclamation in mining-subsidence and other areas affected by coal-mining operations.
Spurring antiseptic and highly efficient progress of thermal power. Upholding the principle of low-carbon, antiseptic and efficient development, China actively promotes green thermal power generation. It encourages coal-electricity integration, and steadily pushes forward the construction of big coal-fired power bases. It vigorously applies advanced technologies, including supercritical and ultra-supercritical power generation, in the construction of clean, highly efficient and environment-friendly coal-fired power generating sets and energy-saving power plants. It speeds up the elimination of petite thermal power units marked by high energy consumption and cumbersome pollution. In order to strictly control pollutant emissions from coal-fired power plants, newly built coal-fired power generating sets must install dust-removing, desulfurization and denitration facilities, and the existing plants are asked to precipitate up their dust removal, desulfurization and denitration upgrading. It encourages the construction of thermoelectricity co-generation units in large- and medium-sized cities and industrial parks where thermal loads are relatively concentrated. It constructs combined-cycle gas-steam peak-load units and promotes heat-electricity-cooling co-generation with natural gas as fuel in accordance with local conditions. It has imposed strict restrictions on the construction of novel coal-fired power generating sets in the Bohai Rim, Yangtze River Delta and Pearl River Delta areas, except those built for the purpose of "constructing big units and restricting petite ones" and co-generation. Intensified efforts believe been made to spread water-saving technology in thermal power plants. It develops the integrated gasification combined cycle power generation, and demonstration projects of carbon capture, utilization and storage.
Intensified efforts in prospecting and exploitation of conventional oil and gas resources. China will continue to implement the policy of "simultaneous progress of oil and gas, " with the target of stabilization in the east, acceleration in the west, progress in the south and exploitation in the offshore areas. The country will steadily increase raw oil output and reserves by means of stepping up efforts in prospecting for and exploiting oil in major oil-production areas, including those in the Tarim and Ordos basins, and improving renovation for stable yields and increasing the recovery ratio in old-fashioned oilfields. In its efforts to precipitate up the progress of natural gas, the country will enhance the productivity and increase the output of natural gas in major gas fields in the central and western regions, thrust forward the progress of offshore oil-gas fields, and gradually increase the balance of natural gas in the primary energy structure. It will optimize the distribution of the refining industry, construct some big refining and chemical bases, and establish three major refining cluster areas in the Bohai Rim, Yangtze River Delta and Pearl River Delta, so as to realize upstream and downstream integration, refining and chemicals integration, and refining-reserve integrated management.
Actively promoting the progress and utilization of non-conventional oil and gas resources. China's efforts to expedite the progress of non-conventional oil and gas resources are an significant route to enhance its security of energy supply. It will precipitate up the exploration and exploitation of coal-bed gas, increase the proven geological reserves, and thrust forward the construction of industrial bases in the Qinshui Basin and eastern edge of the Ordos Basin. In order to accelerate the progress of shale gas, the country will select a group of prospective areas and conducive exploration target areas, intensify efforts to solve difficulties in core technology, set up a novel progress mechanism, implement incentive polices for the shale gas industry, and ameliorate supporting facilities. China aims to increase its annual output of shale gas to 6.5 billion cu m by 2015, and lay a solid foundation for the future rapid progress of shale gas. In addition, it will strengthen the progress of shale oil, oil sand and other non-conventional oil and gas resources.
Enhancing the construction of energy storage and transportation facilities. When making a design for the construction of energy output channels, China takes many factors into consideration, including target market, industrial restructuring, construction of plants that rely on coal, wind, nuclear energy, natural gas and pumped storage for electricity generation, imported energy resources, and presence capacity of local water resources and the ecological environment. It will increase the cross-regional coal transport capacity through technological renovation of existing railway lines, construction of novel coal-transport channels, and edifice of supporting piers. It will expand the scope of power transmission from western to eastern China and from northern to southern China, strengthen the edifice of regional power grids, ameliorate the technology of ultra-high voltage transmission, and enhance the grids' faculty to optimize resource allocation. The country will expedite the construction of networks of raw oil, product oil and natural gas pipelines, increase the balance of oil and gas transported by pipelines, ameliorate regional networks of oil and gas pipelines, and build big coastal loading and unloading stations. It will strictly enforce laws and regulations concerning the protection of oil and gas pipelines to ensure their safe operation. China will balance its resource reserves, both situation reserves and commercial reserves, enhance its faculty to extend emergency support, and ameliorate the reserve system of raw oil, product oil, natural gas and coal. Efforts will too exist made to enhance the peak-shaving faculty of natural gas, and build and ameliorate coal peak-shaving reserves.
Improving Universal Energy Service
The fundamental objective of China's energy progress is to guarantee and ameliorate the champion of its people. China makes Great efforts to equalize access to basic energy service for its entire population. It balances the energy progress in both urban and rural areas, enhances energy infrastructure and improves the energy conditions in the vast rural and rim areas and areas inhabited by ethnic minorities in compact communities, so that energy progress can capitalize any Chinese people.
Providing universal access to electric power. In order to provide the people who believe no access to electricity yet in the Tibet, Xinjiang Uygur and Inner Mongolia autonomous regions, as well as Qinghai, Yunnan and Sichuan provinces with electric power, the Chinese government increases investment to expand the coverage of the power grids and develop distributed renewable energy sources. In areas without grid connection, China establishes and completes the universal electric service system. By 2015, most of the people who at present don't believe electricity in China will gain access to it.
Boosting energy progress in rural areas. Energy progress in rural areas is of Great significance for the betterment of farmers' live standards and modern agricultural progress. Adhering to the principle of comprehensive and efficacious utilization of diverse energy sources according to local conditions, China increases financial input in energy infrastructure in rural areas and ameliorates rural energy management and services. It upgrades rural power grids to ameliorate electric power conditions for rural life and production, and hence establish new-type rural power grids, which, backed by advanced technology and management, are safe, reliable, efficient and eco-friendly. The Chinese government will set Great efforts into developing renewable energy sources in rural areas, and launch various green energy demonstration projects in accordance with local conditions. By 2015, a total of 200 green-energy counties and 1,000 villages using solar energy will exist set up as examples. China rebuilds old-fashioned hydropower stations in rural areas to increase their capacity and efficiency. It accelerates the electrification of hydropower-based rural areas, and builds more small-sized hydropower stations, so as to pick up rid of the expend of wood as fuel in some rural areas. In addition, the Chinese government promotes the expend of solar water heaters around the country.
Enhancing energy progress in rim regions. Since 1978, when China launched its reform and opening-up drive, Great progress has been witnessed in both the society and economy of the country's rim regions. However, the energy conditions in these areas, despite Great improvement that has been made, silent lag far behind the eastern and central regions. The Chinese government will commandeer financial funds to ameliorate energy infrastructure and build energy projects that believe a direct presence on the people's champion in the rim regions, especially in Tibet and Xinjiang, to champion leapfrogging progress there. It will accelerate the electrical grid construction in Tibet and Xinjiang as well as the Tibetan-inhabited areas in Qinghai, Sichuan, Yunnan and Gansu provinces, enlarge the coverage of the distribution grid, and strengthen the reliability of power supply. The government will draw up and implement the "Tibet Energy progress Program", and provide extra funding to Tibet for its electric power development, the direct investment during the 12th Five-Year design epoch to exceed 900 million yuan. The energy projects to ameliorate the people' s livelihood, such as the "Electrification of Southern Xinjiang" and "Electrification of Northern Xinjiang", will exist sped up. The situation will press on with the project to connect Xinjiang power grid to the northwest China grid so as to contour an energy channel as soon as practicable to pick up Xinjiang' s redundant electric power transmitted to other parts of China to generate more funds for the progress of Xinjiang. The government will build a group of solar power and solar-wind hybrid power plants in the farming and herding areas far from towns to ameliorate the attribute of life of the farmers and herdsmen there.
Improving energy conditions in urban areas. The Chinese government will upgrade the urban grids to raise the attribute and reliability of power supply in urban areas. It guarantees urban power supply, especially household electricity consumption. The situation accelerates natural gas development. Natural gas supply networks will exist built or improved in cities so that more urban residents will gain access to natural gas. In northern cities, where the district heating system is applied, the government will develop co-generation units based on local conditions to ameliorate the heating quality. VII.
Accelerating Progress of Energy Technology
China's energy technology has developed rapidly since the country launched the reform and opening-up program in late 1978, and has played an increasingly significant role in energy conservation, emission reduction, energy structure optimization and energy security. However, China silent lags behind the developed countries in this field, particularly marked by its flimsy basis for independent innovation, backwardness in core technology, and dependence on imports for some key technologies and equipment. Therefore, the Chinese government will attach more significance to technological innovation. It will establish and complete at replete precipitate an energy technology innovation system that suits China's reality, and combines efforts of enterprises, colleges and research institutes. The National Energy Technology Program During the 12th Five-Year design Period, issued in 2011 as China's first scheme to ameliorate its energy technology, has outlined the four key aspects of China's energy technology, namely, exploration and exploitation; processing and conversion; power generation, transmission and distribution; and novel energy. The program too contains an overall design to build a national energy technology innovation system that integrates research into key technology, manufacturing of key equipment, key demonstration projects and a technological innovation platform.
Reinforcing energy technology R&D. China will launch a string of strategic and advanced research projects on frontier technologies in basic sciences fancy geology, materials, environmental studies, power and energy, and information and control, with the direct of making breakthroughs in basic energy sciences. The Chinese government encourages major enterprises and research institutes in the industry to carry out studies in advanced and adaptive technologies, and set them into practical use, fancy high-efficiency and intensive coal mining technology, exploration and progress technology of unconventional oil and gas resources, high-efficiency antiseptic technology, offshore wind power technology, solar thermal power technology, advanced oil and gas storage and transportation technology, and high-capacity, high-efficiency and long-distance power transmission technology. China will press on with the two national high-tech programs - "large oil-gas fields and coal-bed gas development," and "large and advanced pressurized-water reactor and high temperature gas-cooled reactor nuclear power stations" - to facilitate key technological innovations, and enhance the innovation abilities, including "original innovation," "integrated innovation" and "secondary innovation" in the energy sector.
Promoting progress of energy equipment technology. Based on major technological equipment projects, China strives to compose technological breakthroughs, ameliorate supporting facilities, set up and enforce technical standards for energy equipment, establish a complete testing and certification system, and raise its faculty for energy equipment design, manufacturing and system integration. China will further enhance the supporting policy system, boost the technological foster of key equipment, such as high-capacity, high-parameter and ultra-supercritical generating units, gas turbines, third-generation nuclear power, renewable energy generating units, exploration and progress of unconventional oil and gas resources, and spreading the application of state-of-the-art equipment. The government will too strengthen planning and guidance for the energy equipment manufacturing industry to prevent redundant construction.
Launching major technological demonstration projects. Centering on the transformation of energy progress mode and upgrading of the energy industry, the Chinese government will give more champion in funding, technology and policy to launch major demonstration projects in such fields as big pressurized-water reactors, high-temperature gas-cooled reactors, progress and utilization of coal-bed gas, exploration and progress of shale gas, and profound processing of coal, energy storage and smart power grids, thus promoting the application of technological and scientific research achievements in production.
Improving the innovation system of energy technology. The Chinese government will continue to champion big enterprises, R&D institutes, colleges and universities to set up national innovation platforms that can conduct independent R&D and compose breakthroughs in core technologies, especially technologies for coal exploration, progress and utilization of coal-bed gas, exploration and progress of shale gas, marine engineering equipment, high-capacity high-efficiency and low-pollution power generating equipment, smart grids and advanced nuclear reactors. It will ameliorate the policy system supporting technological innovation platforms. The government will give replete play to the role of enterprises in innovation, and cheer them to spread and apply innovative technologies. It will steer R&D institutes and institutions of higher learning to serve enterprises in the domain of innovation, and better integrate the efforts of enterprises with that of the research institutes and institutions of higher learning. The situation will set up an evaluation and reward mechanism for technological development, and establish and ameliorate a training system and an incentive mechanism for innovations.
Deepening Institutional Reform in the Energy Sector
Reform constitutes a strong dynamic favor in accelerating the transformation of the progress mode. China will resolutely implement reform in the energy sector, strengthen top design and overall planning, accelerate the pace of edifice a system and mechanism for the scientific progress of the energy industry, ameliorate the environment for energy development, bring about a revolution in energy production and utilization, and safeguard China's energy security.
Accelerating edifice of legal regime for the energy sector. China will ameliorate its energy-related legal regime to regulate the energy market, protect the ecological environment and guarantee energy security. China attaches Great significance to energy legislation and will press on with the improvement of the legal system related to the energy sector. Now, drudgery has been going on an energy law, as well as a string of administrative regulations on oil reserves, protection of submarine oil and natural gas pipelines, and nuclear power station management. It has amended the Coal Industry Law, the Electric Power Law and other laws, and has been making efforts to promote the enactment of laws concerning oil, natural gas and nuclear energy.
Improving the market mechanism. China is actively promoting market-oriented reform in the energy sector by giving replete play to the fundamental role of the market in the allocation of resources. any projects listed in the national energy program, unless forbidden by laws or regulations, are open to private capital. The Chinese government encourages private capital to participate in the exploration and progress of energy resources, oil and natural gas pipeline network construction and the electric power industry, encourages the involvement of private capital in coal processing and oil refining, and supports the entry of private capital into the novel energy and renewable energy fields. The Chinese government will intensify and regulate the administration of coal exploration and progress rights, gradually purge the double-track charge system for contracted coal supply and market coal supply, and create a mechanism to balance the progress of coal and coal-bed gas. The government will press on with institutional reform in the power sector and steadily carry out trials to part power transmission from power distribution. Proactive efforts will exist made in the pricing mechanism of electricity to gradually let the market elect the prices of electricity generated and marketed, while the prices of transmission and distribution are to exist decided by the government. The situation will regulate the prices of coal for electricity generation and prices of electricity marketed, and explore ways to set up a renewable energy trading mechanism. It has successfully implemented the price, tax and fee reform of refined oil products and guides the public's rational energy consumption through tax means. It will continuously rationalize the refined oil charge and contour a pricing mechanism, and start the experimental reform of natural gas pricing mechanism. It will ameliorate the market system for energy and develop more forms of trade, including spot trade, long-term contracts and futures trade.
Tightening administration of the energy sector. In order to increase the efficiency of energy progress and utilization, promote the scientific progress of the energy sector and safeguard the country's energy security, China is determined to strengthen administration in the energy sector. It takes strategic planning and macro-control for energy development, and carries out industry regulation by making expend of plans, policies and standards. The Chinese government will reduce its intervention in specific matters and simplify administrative examination and approval, while intensify supervision over monopoly and unfair competition by establishing an open, fair, scientific and efficacious supervision mechanism. It will strengthen statistics collection and forecasts related to the energy sector, and establish a comprehensive system covering statistics, monitoring, forecasting and early warning in this regard.
Strengthening International Cooperation in Energy
China's progress cannot exist achieved without cooperation with the relaxation of the world, and the prosperity of the world has requisite of China as well. With accelerating economic globalization, China has forged increasingly closer ties with the relaxation of the world in the domain of energy. China's progress of energy has not only satisfied its own needs for economic and companionable progress, but too made Great contributions to world energy security and global market stability.
China is an vigorous and amenable participant in international energy cooperation, and it has established bilateral dialogue and cooperative mechanisms in the domain of energy with the US, the EU, Japan, Russia, Kazakhstan, Turkmenistan, Uzbekistan, Brazil, Argentina, Venezuela and many other countries and regions, and has strengthened dialogues, exchanges and cooperation with these countries regarding oil, natural gas, coal, electric power, renewable energy, technology, equipment and energy policy. China is too a member of or significant participant in many multilateral organizations and mechanisms, including the energy working group of the Asia-Pacific Economic Cooperation Organization, Group of 20, Shanghai Cooperation Organization, World Energy Council and International Energy Forum. It is an observer of the Energy Charter, and maintains nigh relations with such international organizations as the World Energy Agency and the Organization of Petroleum-Exporting Countries. In international energy cooperation, China assumes a wide compass of obligations and plays an vigorous and constructive role.
China upholds a policy of opening to the relaxation of the world in the domain of energy. To provide a conducive environment for foreign investment and protect the legitimate rights and interests of investors, it has promulgated a string of laws and regulations in succession, fancy the Law on Sino-foreign Equity Joint Ventures, Law on Sino-foreign Cooperative Joint Ventures and Law on foreign Investment Enterprises, and framed such policy documents as the Catalogue of Industries for Guiding foreign Investment and the Catalogue of Advantageous Industries for foreign Investment in the Central and Western Regions. The Chinese government encourages foreign investment to engage in the exploration and progress of oil, natural gas and unconventional oil and gas resources, such as shale gas and coal-bed gas, by route of cooperation; invites foreign investment in the edifice of new-energy power stations, hydroelectric power stations, clean-combustion power stations, and nuclear power stations as long as the Chinese partners believe control; and supports multinational energy corporations to set up R&D centers in China.
Following the principle of equality, mutual benefits and reciprocity, Chinese energy enterprises are actively involved in international energy cooperation, participating in overseas energy infrastructure projects and expanding cooperation in energy engineering and services. Ninety percent of Chinese enterprise-invested energy resources abroad are sold locally, thus increasing and diversifying supplies in the global energy market. When investing in foreign countries, Chinese energy enterprises abide by local laws and regulations, and respect the pious beliefs and customs of the local people. They actively compose contributions to local economic and companionable progress while achieving self-growth.
For a fairly long time to come, international energy trade will remain the major route by which China utilizes foreign energy sources. China will ameliorate policies for unbiased trade and optimize the trade structure, and conduct energy imports and exports in accordance with the WTO rules. It will diversify the modes of trade and comprehensively expend such methods as futures trade, long-term agreements, entrepot and barter trade. China will actively participate in global energy management. It will intensify exchanges and cooperation with other countries, addressing together the impact of the international monetary system, extreme speculation and energy market monopoly, thereby maintaining the stability of international energy market and energy price.
Energy is of vital significance to economic progress and people's well-being. In order to reduce conflicts and inequality brought about over access to energy resources, achieve a stable growth of the world economy and compose the economic globalization lead to a balanced, universally profitable and win-win development, the international community should foster a novel energy security concept featuring mutually profitable cooperation, diversified progress and common energy security through coordination. To jointly ensure global energy security, the Chinese government calls for international efforts in the following three aspects:
Strengthening dialogues and exchanges. Strengthening dialogue and communication among energy exporting, consuming and transiting countries is the foundation of international energy cooperation. The international community should further cement its bilateral and multilateral ties; increase dialogues and exchanges in the fields of efficient expend of energy, energy conservation, environmental protection, energy management and energy policy; promote monitoring and emergency response mechanisms for the global energy market; and deepen the cooperation in the fields of information exchanges, personnel training and coordination.
Carrying out efficacious energy cooperation. Upholding the principles of reciprocity, mutual capitalize and common development, the various countries should ensure mutually profitable cooperation in international energy resources exploration, enrich and ameliorate cooperative mechanisms and methods, increase the international energy supply, and diversify supply channels. They should drudgery together to stabilize the prices of bulk energy commodities, secure the energy needs of various countries, and maintain the balanced order of the energy market. For the sake of sustainable development, the developed countries should actively provide and transfer antiseptic and highly efficient energy technology to developing and underdeveloped countries and together promote green progress globally on the condition that intellectual property rights are protected. The international community should strive hand in hand to allay the least-developed countries to purge energy poverty, increase energy services and promote sustainable development.
Working together to maintain energy security. A unbiased and rational international energy management mechanism is a prerequisite for a stable global energy market. The international community should drudgery collaboratively to maintain stability in oil producing and exporting countries, especially those in the Middle East, to ensure the security of international energy transport routes and avoid geopolitical conflicts that feel the world's energy supply. The various countries involved should settle major international energy disputes through dialogue and consultation. Energy issues should not exist politicized, and the expend of favor and armed confrontation should exist avoided.
Energy is the vital material ground for China to modernize and build a moderately prosperous society. The Chinese government will strive to address the energy problem properly by following the sustainable road of energy development.
China will silent exist in a stage featuring accelerated industrialization and urbanization for a long time to come, facing the challenging tasks of developing its economy and improving its people's livelihood. Its energy needs will ebb on to increase in the future. As a big developing country with a population of over 1.3 billion, China must rely on itself to increase the energy supply steadily to answer such demands.
Energy security is a global issue. Few countries can secure their energy supply without international cooperation. The achievements China has made in energy progress are inseparable from its friendly cooperation with other countries. Its future progress in the energy sector will requisite more understanding and champion from the international community. China, with a population of more than one billion, is exploring and practicing a novel route in the history of energy progress to ensure its sustainable energy development. China did not, does not and will not pose any threat to the world's energy security. Abiding by the principle of equality, reciprocity and mutual benefit, it will further strengthen its cooperation with other energy producing and consuming countries as well as international energy organizations, and drudgery together with them to promote a sustainable energy progress around the world. It will strive to maintain stability of the international energy market and energy prices, secure the international energy transportation routes, and compose due contributions to safeguarding international energy security and addressing global climate change.
(China Daily 10/25/2012 page8)
The growing threat of data breaches, highlighted by credit card data thefts at Target and Neiman Marcus Inc. this holiday season, is creating exact for a novel brand of cyber security officer. Even though the title of chief information security officer is itself relatively new, the skills and experiences required of CISOs are evolving along with the nature of the threats companies are facing.
CISOs are too increasingly in exact during board discussions and in some cases are reporting to corporate finance or risk officers rather than to IT, disclose executive recruiters whose job it is to find and status such people. With this growing demand, salaries for CISOs believe ballooned in the past few years.
CISOs were once promoted from the ranks of server rooms, and were typically experts in managing computer networks targeted by hackers, who were more often than not joyriders on the Information Superhighway. As attackers believe become more organized, and often funded by political or criminal organizations, the profile of the CISO has changed as well, according to recruiters in the field.
“Five years ago the CISO was almost unheard of,” says Chris Patrick, the global CIO exercise group lead at the executive search and talent management firm Egon Zehnder International. Where the title did exist, it was usually held by someone versed deeply in infrastructure. “Now it’s been elevated as a strategically significant factor within IT.” Egon Zehnder is developing a CISO exercise to meet the growing exact for executive-level talent. “That’s another indicator that there’s an opportunity and there’s a requisite there,” he said.
Gerry McNamara, global managing director of Korn/Ferry International’s information officers practice, says the firm too “just launched a exercise in the firm to recruit cyber capable people.”
Salaries for CISOs compass according to industry, with compensation in financial services typically outstripping pay in retail or manufacturing. Shawn Banerji, managing director of the information officers exercise at Russell Reynolds Associates, says CISO salaries believe grown between 50% and 100% over the past yoke of years. Given the heightened demand, CISOs can command salaries ranging from $350,000 to $1 million per year, he said.
“Salaries believe absolutely gone up and are going to continue to ebb up,” Mr. Patrick concurred.
Mr. Banerji notes that “the job description has changed pretty dramatically. Five years ago most people in the role were essentially difficult core network technologies people. The CISO of today needs to exist much more of a commerce leader who marries significant technology credentials with equally strong strategy and commercial skills,” he said.
Mr. McNamara of Korn/Ferry says while the role “used to report into IT, and in most cases silent does,” more and more CISOs are being asked to report to chief counsels or chief risk officers “for compliance and regulatory reasons.”
Mr. Patrick says companies are nascence to believe twice about having “IT auditing its own security.” So while most CISOs silent report to CIOs or other IT executives, “that’s going to change,” he said.
Corporations are too adjusting the types of defenses they erect to protect their electronic assets. “What you are starting to remark is the introduction of novel concepts that will eventually change security, not unlike the route the cloud and mobility believe changed IT over the last 10 years,” says Justin Somaini, the executive managing security and privacy at Box Inc., the cloud-based data storage company. Mr. Somaini was previously CISO at Yahoo Inc. and Symantec Corp.
Mike Wilson, CISO of McKesson Corp., said the CISO role has evolved from one of gatekeeper to that of portfolio manager, who assesses risk and evaluates technologies. He said employees' growing expend of mobile devices and cloud applications over the last five years increases pressure to protect the company's intellectual capital.
Mr. Wilson said he sees threat assessment technologies evolving toward "anomalous detection," such as pinpointing the root of unusually high network traffic. Those detection technologies will become increasingly powerful as broad Data evolves.
Steve Rosenbush and Clint Boulton contributed to this article.