China is the world's largest producer and consumer of energy, but for a long time, it has lacked a foundational and guiding law in the energy sector. On a certain date, the 12th meeting of the Standing Committee of the 14th National People's Congress voted to pass the Energy Law of the People's Republic of China (hereinafter referred to as the "Energy Law"), filling this gap. The Energy Law is the first foundational and guiding law in China's energy sector and will come into effect on a specified date.

The "Energy Law" was initiated by the energy regulatory authority and submitted to the State Council as early as the year. What is the process of this "Energy Law" from drafting, formulation, revision, submission, to passage? What does it include? What impact will its implementation have on China's energy structure, energy security, and other aspects?

The earliest time when the energy authorities initiated the drafting and submission of the Energy Law to the State Council can be traced back to years ago. The fact that it took over a decade to formulate an Energy Law raises questions about the reasons behind it. Jing Chunmei, Director of the Department of Energy and Green Low-Carbon Development Research at the China Center for International Economic Exchanges, provided her answer. Jing Chunmei: The Energy Law covers a wide range of areas and involves a complex variety of energy types, including both renewable and traditional energy sources. Over the years, the international and domestic situations have undergone significant changes, leading to ongoing debates and difficulties in reaching consensus on the development orientation of fossil and non-fossil energy due to these changing circumstances. Additionally, although there was no overarching law in the energy sector, there were some specific laws such as the Electricity Law of the People's Republic of China and the Coal Law of the People's Republic of China, which had a certain guiding and regulatory role in their respective fields, along with some regulatory documents. Various factors contributed to the Energy Law undergoing such a lengthy process of refinement, often described as "a decade in the making."

Chen Xinghua, Deputy Secretary-General of the Energy Law Research Society of the Chinese Law Society, believes that the establishment of the dual carbon targets is the most important driving force behind the introduction of the Energy Law. Chen Xinghua: Why has it taken so long? That's because energy is too important, its characteristics are too complex; it is the foundation of national economy and people's livelihood, it is related to the environment, and it is related to security. I believe that the proposal of top-level designs and strategic goals such as carbon peak and carbon neutrality is the final push. In fact, over the past decade, each stage has seen the emergence of top-level designs that have influenced our economy and society. Therefore, the establishment of the dual carbon targets is most closely related to the Energy Law and is a very important driving force.

The Energy Law consists of nine chapters and eighty articles. It mainly covers energy planning, energy development and utilization, energy market system, energy reserves and emergency response, energy technology innovation, supervision and management, and other aspects. Jing Chunmei: Firstly, in terms of energy security. We need to pursue both carbon neutrality and transformation, but first and foremost, we must ensure energy security. The law reflects this in several ways, emphasizing the need to balance development and security. The overall direction is towards energy transformation, aiming to replace fossil energy with non-fossil energy, but it specifies "safe, reliable, and orderly substitution." The second notable highlight is in the aspect of energy transformation. How to transform? The law outlines the direction of energy structure adjustment, prioritizing the development and utilization of non-fossil and renewable energy. Specific mechanisms include the implementation of minimum proportions of renewable energy in energy consumption by relevant national departments, and the emphasis on the consumption of renewable energy electricity, with responsibilities and weights subject to monitoring and assessment.

China has enacted specific laws in the energy sector, such as the Electricity Law of the People's Republic of China, the Energy Conservation Law of the People's Republic of China, and the Renewable Energy Law of the People's Republic of China. The framework of the energy legal system has been initially established. However, Chen Xinghua points out that these specific laws were enacted at an earlier time and need to be aligned with the new requirements for energy development in the new era. Therefore, it is necessary to introduce a fundamental and guiding law in the energy sector, such as the Energy Law, which serves as the overall guideline for adjusting the relationships among various energy types. Chen Xinghua: The long-term development goals for the utilization of non-fossil energy, the renewable energy power consumption guarantee mechanism, including the system of renewable energy power certificates, are all things we have been doing in the energy sector. Now, they have been incorporated into the law, providing legal basis and also serving as the foundation for further developing supporting regulations and rules.

It is evident that the formulation of the Energy Law marks a significant milestone in the establishment of a comprehensive energy legal system. Chen Xinghua also specifically mentioned that the Energy Law, distinct from traditional rights and obligations-based laws, pioneers a new model of legislation in our country. Chen Xinghua: Traditional laws, we say, are about rights and obligations; they tell you what to do, and if you don't, you face punishment. However, this new type of field legislation has a characteristic: it involves a lot of policy-related content. Some may question the effectiveness of policy-related provisions, but after so many years, a consensus has been reached that policy declarations play an important role in the law. The law is not limited to being rights and obligations-based; the latest concept of field laws transcends the constraints of traditional departmental laws, which I believe represents progress in our understanding and recognition of legislative principles.

Liang Zhipeng, Deputy Director of the Department of Legal and Institutional Reforms at the National Energy Administration, emphasized that as a key force in promoting global energy transition towards green and low-carbon development and addressing climate change, China's formulation of the Energy Law not only declares its energy strategy and policy direction but also contributes to the establishment of a fair, equitable, balanced, and inclusive global energy governance system. Liang Zhipeng stated that the Energy Law is a foundational and guiding legislation in the energy sector, with significant and far-reaching implications for further solidifying the legal foundation in the energy field, ensuring national energy security, and driving the green and low-carbon transition. The formulation of the Energy Law serves as a legal declaration of China's long-term energy strategy and major policies, clarifying the nation's energy strategy and policy direction, as well as the rights and obligations of various entities. This will play a crucial role in enhancing the level of energy security and accelerating the green and low-carbon transition through legal safeguards.