China's circular economy grows

China's rich coal reserves remain the main driving force behind the country's booming energy demand. Its coal production and consumption accounts for nearly half the global share, according to a 2011 World Energy report by British Petroleum. But amid a global race to reduce carbon emissions, more is being done to promote a so-called "circular" economy within Chinese industries, based on sustainable development and recycling.

CCTV reporter Hu Chao has been to visit one coal enterprise in Shanxi Province, to see how production is becoming greener, little by little.

The Tashan circular economy park is the earliest one built with the most complete coal industry chain in China. 3 industry chains were established: coal with electricity, coal with chemical industry and coal with construction materials.

Zhang Youxi, chairman of Datong Coal Mine Group, explained the basic concept of the circular economy in the park.

Zhang Youxi, Chairman of Datong Coal Mine Group, said, "The coal cinder and ash are used as material for cement and brick factories. Domestic sewage will be treated and recycled. Waste materials from upstream industries become raw materials for downstream industries. Since the establishment of the circular economy, the environment has been improved. The sky has turned blue again and the air has become fresh."

The Tashan coal mine is the flagship industry in the park. The coal mining method has been enhanced greatly in recent years. The company has especially adopted an independently-developed comprehensive mining technology. The recovery ratio of coal mine has been largely increased.

Shi Ruiqin, Party Secretary of Tongmei-Datang Tashan Coal Mine Co., said, "Raising the recovery ratio of coal resources is dependent on two aspects. One is technology and the other is equipment. We use the most advanced technology to exploit coal resources. The recovery ratio of a thick coal seam used to be about 50 percent. Now that number is up to about 90 percent."

The raw coal will be washed and classified. Then they will be transported to the power plant, kaolin factory and the gangue brick factory.

Yang Qiping, Chairman of Tongmei-Datang Tashan Power Co., said, "The coal fuel that the power plant needs is transported by a 1.3-kilometer-long belt directly from the coal mine. The transportation costs are quite low and it's also environmentally-friendly. And we use recycled water processed by the sewage treatment plant."

In recent years, China has continued to push energy saving policies. Many other energy enterprises across the country have also began to build such circular economy parks.

China has achieved high-speed economic development in the past two decades, resulting in high energy consumption and environmental damage. China is now focusing efforts on making energy use more effective and green. Experts say the circular economy is an ideal solution that conforms to sustainable development and can profoundly influence China's economic growth in the future.