China Drafts New Energy Security Law to Boost Self-Reliance Amid U.S. Tensions

China is drafting a new energy security law aimed at increasing self-reliance, diversifying resource imports, and enhancing renewable energy supplies as it prepares for prolonged friction with the U.S. The proposed legislation was discussed at a meeting of the Standing Committee of the National People’s Congress on Tuesday.

The law will serve as the foundation for China’s energy policy, ensuring steady energy availability during shortages or supply chain disruptions. It emphasizes the development of oil and natural gas resources and enhancing production capacity. Additionally, the bill proposes building energy stockpiles and establishing mechanisms for efficient production and transportation during emergencies.

As of 2022, China achieved over 80% energy self-sufficiency and continues to focus on bolstering energy security. In 2023, China imported $60.7 billion worth of crude oil from Russia, overtaking Saudi Arabia as its top supplier. The country also lifted restrictions on Australian coal imports and increased purchases from Mongolia and Russia.

The draft law further advocates for expanding wind and solar power infrastructure, with public institutions adopting renewable energy. In 2023, renewable sources accounted for over 50% of China’s total energy production capacity, surpassing coal-based power for the first time. The legislation supports China’s goal of achieving net-zero carbon emissions by 2060.