China to spend $27B to up green tech, consumption

The Chinese government says it will fund 97.9 billion yuan (US$15 billion) on energy conservation, emission reduction and renewable energy development, bringing the total green tech spend in the country to 170 billion yuan (US$27 billion) in 2012.

Local state news agency Xinhua reported Thursday China's Ministry of Finance added that the government budgeted 25.5 billion yuan (US$4 billion) in subsidies to boost the consumption of energy-saving household electrical appliances this year.

This subsidy plan was an important move by the government to stabilize economic growth, expand domestic demand and consumption, and improve energy savings and emission reductions, Minister of Finance Xie Xuren said at a national work meeting in Beijing, according to the report.

Xie also pointed out it was important the government increased its fiscal spending on energy-saving to raise investment interest of companies and individuals in the country, the report said.

Vice Minister of Finance Zhang Shaochun said the increase in government spending would not only boost consumption of energy-saving products, but also promote technological upgrades, eliminate outdated production capacities and construct sewage treatment facilities and preventive measures of air pollution, Xinhua stated.

Zhang added that the fiscal budgets would also be used to develop new energy vehicles as well as introduce hybrid buses in big and medium-sized cities nationwide.