Red Star News:

Freezing cold is sweeping across the country these days, and we are currently experiencing a peak period for power use in winter. What are the key arrangements made by the NDRC to ensure energy supply? Thank you.

Jin Xiandong:

Thank you for the question. Since the beginning of the heating season, the NDRC has earnestly implemented the decisions and arrangements made by the CPC Central Committee and the State Council and took multiple measures to secure the energy supply and ensure heating services, together with member departments of the inter-departmental coordination mechanism to ensure the supply of coal, electricity, petroleum, natural gas. First, the NDRC has strengthened the supply capacity of coal, electricity, petroleum, and natural gas. The role of coal as a primary part of the energy supply has been leveraged, and the country's coal production has remained stable. Currently, the storage of coal at the country's power plants under unified national dispatch stands above 200 million metric tons, an increase of 30 million metric tons year on year. In the meantime, the capacity of electricity supply has also been enhanced with strengthened inter-provincial and inter-regional power dispatching systems. The NDRC has also seen to it that upstream natural gas suppliers increased production, ensured the application of imported energy resources, and kept the general natural gas and liquefied natural gas (LNG) reserves at a relatively high level before winter. Second, the NDRC has made all-out efforts to deal with natural disasters and other emergencies. In the face of impacts from earthquakes as well as freezing weather, sleet, and snowstorms, the NDRC promptly organized response efforts and ensured that risks and hazards were identified and emergencies were tackled. It also studied and made preparations in advance for the impact of the large-scale cold wave, strengthened resource allocation during the cold wave, and made every effort to improve power and natural gas supply capacity for peak use. In mid- to late-December last year, the country's highest daily power consumption hit a record 1.345 billion kilowatts, and the consumption of natural gas also saw an all-time high for eight consecutive days. Despite all this, the country's overall supply of coal, electricity, petroleum, natural gas, and transport services has remained stable, which effectively ensured a safe and warm winter for the people.

At present, China is in the "third and fourth nine-day period after the winter solstice," the peak time for energy consumption in winter. Thanks to the joint efforts of all parties, China's performance in the energy industry is generally stable. Next, the NDRC will continue to leverage the role of the coordination mechanism, and make every effort to ensure the heating energy supply, and make sure that people have a safe and warm winter and holiday period. First, energy production and supply will be guaranteed. We will adhere to the mechanism of daily dispatching and monitoring of energy in winter, maintain the high-level supply capacity of coal, electricity and natural gas, urge all parties to fulfill medium- and long-term energy contracts, and strengthen mutual complementarity and regional coordination of coal, electricity, oil and gas. Second, we will be well-prepared for low temperatures, rain, snow and disasters. We will closely follow the changing trend of extreme weather, organize major energy enterprises to prepare peak-shaving reserves in advance, strengthen the safe operation of the power grid and disaster maintenance, and make practical and detailed plans for power-load management and natural gas emergency supply. Third, we will ensure the energy supply for people's daily lives. We will urge all localities to fulfill the primary responsibility for ensuring energy use for people's daily lives, focus on weak links in energy supply such as replacing coal with natural gas and electricity in rural areas, and take decisive measures to solve individual and emerging problems. Thank you. 

National Business Daily:

According to the guiding principles of the Central Economic Work Conference, expanding domestic demand will remain a focus in 2024. What measures will the NDRC take to unleash the potential in consumption and investment growth? Thank you.

Yuan Da:

Thank you for your question. Consumption is the final demand; investment is both the current demand and the future supply. The purchase of goods or services can effectively drive increases in incomes and consumption, creating a virtuous economic cycle where demand drives supply, and in turn, supply leads and creates demand. At present and for some time to come, it is necessary to firmly implement the strategy of expanding domestic demand, further unleash consumption potential and expand effective investment so as to consolidate and strengthen the positive momentum of economic recovery. This year, we will focus on the following areas:

On the one hand, we will stimulate potential consumption. We need to make greater efforts to improve people's income expectations, and boost their capacity and willingness to spend. First, we will promote personal income growth through various channels. We will place a higher priority on pro-employment policies, ensure stable employment among key groups, actively expand channels for people to increase their incomes, enlarge the middle-income group, and strengthen measures to increase farmers' incomes. Second, we will make innovations in the supply of goods and services. Digital consumption, green consumption and health consumption will be encouraged. We will also foster new areas of consumption growth including smart home appliances, cultural and entertainment tourism, sports events and "China-chic" products, and promote spending on big-ticket items such as new energy vehicles and electronics. At the same time, we will encourage the replacement of old consumer goods with new ones which feature higher standards for technology, energy consumption and emissions. Third, we will improve the quality of goods and services consumption. We will continue to promote the quality grading of household appliances, children's products, textiles and garments as well as emerging consumer goods, strengthen the formulation of standards in relation to cultural tourism, sports, elderly care, housekeeping and other areas of services consumption, optimize consumption infrastructures in culture, tourism and sports, and improve the soft environment, so that people can consume with great satisfaction and peace of mind.

On the other hand, we will expand effective investment, which involves enlarging the scope for effective investment, continuously optimizing the investment environment, and effectively improving overall investment efficiency. First, we need to maximize government investment's driving and multiplier effects. Government investment should be focused more on infrastructure projects that lay the foundation, benefit the long term, and reinforce the foundation. This year, we will increase support for key core technologies and breakthroughs, new infrastructure, energy conservation, emission reduction, and carbon reduction, and accelerate the cultivation and development of new growth drivers. Second, we need to vigorously stimulate the vitality of private investment. We will enhance investment and financing mechanisms, as well as implement new government and social capital cooperation mechanisms. We will thoroughly review and compile a list of projects suitable for private capital participation and promote these projects through an online review, approval, and supervision platform. We will support social capital participation in areas such as the construction of new infrastructure. We will also address the obstacles, difficulties, and pain points that hinder private investment in terms of market access, factor acquisition, fair law enforcement, and protection of rights and interests. Third, we need to push for reducing investment and financing costs. We will improve the market-based interest rate formation, regulation, and transmission mechanisms to promote a steady and gradual reduction in society's comprehensive financing costs. Additionally, we will guide financial institutions to actively support private investment projects and encourage the development of venture capital and equity investment. We will implement and refine preferential tax and fee policies for small and micro enterprises and effectively reduce logistics costs for society as a whole. Fourth, we must continuously strengthen investment project services and ensure the necessary factors. We will enhance coordination and cooperation among departments and between the central and local governments. We will support key projects by accelerating preliminary work, strengthening guarantees for project funding, land and sea use, and environmental impact assessments, and expediting project approval procedures. We will promote the rapid construction of projects and commence physical work. Thank you.