7 May 2010

People's Daily Online

Starting on 1 June, 2010, (Chinese Government) subsidies for promoting energy efficient air-conditionings will be extended for another year, according to an official notice from the Ministry of Finance and the National Development and Reform Commission (NDRC) released on 30 April. This means the central government will continue to provide subsidies for products with a level 2 energy efficiency or above until 1 May 2011 under the new standards.

Rated cooling capacity of 7500-watt models will be subsidized. Moreover, subsidy standards will be adjusted to 150 RMB to 250 RMB between level 1, level 2 and level 3 energy-efficient air conditioning systems due to their production cost variances. Meanwhile, conversion air conditioners will be promoted in due time.

Energy-efficient air-conditioning witnessed a rapid growth in market share since 1 June 2009 when the NDRC first introduced subsidies to promote them. The overall level of energy efficiency has been significantly improved since then, which played an important role in energy savings and lowered emissions. This in turn stimulated domestic consumption and promoted industrial upgrades.

What is more, with the rising market share of energy-efficient air-conditioning, those inefficient products will be substituted within five years. This means 45 billion kilowatts of electric power will be saved each year and 450 million tons of CO2 will be cut.