Sinopec to double energy efficiency by 2025

China's top refiner, Sinopec, announced on Thursday a plan to double its energy efficiency from the current level by 2025 through more investment, better management and technologies.

The "Energy Efficiency Doubling" plan, the first of its kind adopted by any Chinese company, was unveiled by Sinopec Chairman Fu Chengyu at the China Summit on Caring for Climate which was hosted by the United Nations Global Compact Network China.

Energy efficiency, the value of products and services created by every tonne of standard coal, is one of the key indicators assessing a country or region's performance in developing a green economy.

Before achieving the 2025 goal, Sinopec will first increase its energy efficiency by 20 percent by the end of 2015 and by another 65 percent by the end of 2020.

The refiner will first of all increase investment in energy conservation, according to Geng Chengfeng, head of Sinopec's energy management and environmental protection department.

It will invest four billion yuan (about 643 million U.S. dollars) and 10 billion yuan in 2014 and 2015 respectively on the energy efficiency program, said Geng on the sidelines of the conference.

Most of the fund will be spent on developing new technologies and environmentally friendly management methods, under the plan.

At the first Global Compact Network China conference last year, Sinopec announced a three-year plan to invest 22.87 billion yuan in 803 environmental protection projects. By the end of May this year, four billion yuan had been spent on implementing 280 programs.

"The most resources lie in conservation, and raising energy efficiency is the most effective tool to cut emissions," said Fu, who is also rotating chairman of the network.

The company will work to establish long-term energy saving mechanisms, accelerate the elimination of energy-intensive production capacities, boost the renewable energy and recycling sector, and develop advanced energy conservation technologies.

The announcement by China's oil and chemical giant should come as a boon to China's wider campaign to address the effects of climate change.

Due to its huge population and after decades of industrialization and fast economic growth, China is now the world's largest energy producer and consumer.

The central government of the world's second-largest economy has written in its 12th Five-Year Plan (2011-2015) a goal of cutting its energy consumption per unit of gross domestic product by 16 percent.

To achieve the goal, authorities have resorted to shutting down thousands of polluting factories, an improved industrial structure, higher energy efficiency, and less vehicle exhaust emissions.