Xu Mingming, deputy director of the Office of the National Energy Leading Group, stated on March 2 that the draft version of the "Energy Law" will be submitted to the State Council and eventually presented to the National People’s Congress. According to this schedule, the "Energy Law" will not be included in the current agenda of the ongoing "Two Sessions." Regarding the question of whether the Ministry of Energy will be established for the benefit of all sectors, the draft does not provide a clear statement. Xu also did not clarify whether the Ministry of Energy would be created or when it might be established.
Previously, there had been expectations that the highly debated "Energy Law" would be discussed during the "Two Sessions," which could have paved the way for the smooth establishment of the Ministry of Energy. However, based on the current situation, the creation of the Ministry is still expected to take some time. According to the draft, energy monopoly departments will be placed under legal oversight. However, some ministries and major state-owned enterprises are concerned about losing their influence and interests, leading to strong opposition against the establishment of the Ministry of Energy.
Currently, control over energy policy is divided between two different agencies: the National Development and Reform Commission and the State Energy Administration under the State Council. The creation of a new energy department would threaten the authority of the National Development and Reform Commission. Similarly, it would challenge companies like PetroChina, other dominant oil firms, and the State Grid Corporation, which manages most of the country's power transmission.
If approved, the new energy department would be part of broader administrative reforms. Under the proposed plan, many government ministries would be merged, and the environmental regulatory body would be elevated to ministerial level, increasing its political weight. However, implementing such changes remains difficult given the strong resistance from key stakeholders. As the policy-making process becomes increasingly influenced by majority opinions, achieving these reforms may face significant challenges.
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