State Council: Province needs to make major shifts before 2030

The State Council, China's Cabinet, made guidelines public on Monday in support of the economic transformation of coal-rich Shanxi province and mapping the way forward.

By 2020, the share of coal mining and processing as a proportion of the province's industrial output should see a notable decline, and the share of advanced coal production capacity should reach two-thirds of the total, the guideline said.

Shanxi should raise its abilities to exploit coal in clean and efficient ways, and increase its clean energy supply, it said.

The province should also develop new strategic sectors by 2020, raise capital for research and development and become a center for coal-based scientific and technological innovations and commercial applications, as well as a modern manufacturing base and tourism demonstration zone.

Before 2030, the province should create a clean, safe and efficient modern energy system and accumulate experiences in reform that can be replicated elsewhere, the guideline said.

The government will support Shanxi in replacing coal with clean energy, including electricity and natural gas, it said, and the province should seek to create an "ecological civilization" and build a "beautiful Shanxi" by stepping up environmental rehabilitation in mining regions, conducting strict water resource management and pushing for economical energy use.

As of the end of 2015, Shanxi had an estimated 270.9 billion tons of known coal reserves, accounting for 17.3 percent of the country's total, the third-largest reserve after the Inner Mongolia and Xinjiang Uygur autonomous regions.

Coal is the main energy source in China, accounting for 62 percent of total energy consumption in 2016. The country is aiming to reduce the share of coal consumption to less than 58 percent by 2020.