30
L. Ma et al.
energy governance issues as the “3+1”, the multiple layers of the organizational
pyramid would undercut government enforcement, however strong it might be in the
first place. And information and decisions, when passing through the layers, tend to
be stalled or lost. Consequently, policies made at the central level might be divorced
from the realities on the ground. What’s more, energy consumers, citizens and small
businesses find it hard to engage in energy governance. Some localities and enterprises have been constantly at the receiving end of mandates from above, without
any incentives to carry out policies of their own accord. Worse still, some promising
local innovation, suppressed by the hierarchy, has remained untapped.
1.4.1.3 Sectoral Barriers Impede Collaboration
China’s energy market was once marked by high monopoly and high market regulation. Despite decades of reform, some market players and industries are still preoccupied with local interests and gains, hindering extensive cross-industry collaboration
required by “3+1”. Furthermore, government still maintains the grip on prices of
some energy products, and resources could not be best allocated via price lever.
In addition, private investment has limited access to certain energy projects, which
impedes the development of new energy and distributed energy.
1.4.1.4 Inadequate Information Management System Impairs
Cross-Disciplinary Interaction
The “3+1” model, in governing and managing the emerging sector, could not be
materialized through expertise from a single discipline. Rather, it involves crossdisciplinary, cross-industry and cross-sector issues that require tremendous knowledge sharing, interaction and communication, presenting a huge challenge to the
coverage and efficiency of existing information management system. This, in part,
explains the rapid development of various energy think tanks in China in recent years.
1.4.2 Policy Suggestions on Guaranteeing “3+1” Energy
System Integration
1.4.2.1 Empower Energy Planners and Strengthen Leadership
and Cross-Sector Coordination
Planning and research entities of energy strategy at the central and local governments
should be bestowed a level of leadership and authority that can handle such complex,
key energy system integration models as “3+1”, in order to coordinate and integrate
the current separate functions scattered in various government departments, and
L. Ma et al.
energy governance issues as the “3+1”, the multiple layers of the organizational
pyramid would undercut government enforcement, however strong it might be in the
first place. And information and decisions, when passing through the layers, tend to
be stalled or lost. Consequently, policies made at the central level might be divorced
from the realities on the ground. What’s more, energy consumers, citizens and small
businesses find it hard to engage in energy governance. Some localities and enterprises have been constantly at the receiving end of mandates from above, without
any incentives to carry out policies of their own accord. Worse still, some promising
local innovation, suppressed by the hierarchy, has remained untapped.
1.4.1.3 Sectoral Barriers Impede Collaboration
China’s energy market was once marked by high monopoly and high market regulation. Despite decades of reform, some market players and industries are still preoccupied with local interests and gains, hindering extensive cross-industry collaboration
required by “3+1”. Furthermore, government still maintains the grip on prices of
some energy products, and resources could not be best allocated via price lever.
In addition, private investment has limited access to certain energy projects, which
impedes the development of new energy and distributed energy.
1.4.1.4 Inadequate Information Management System Impairs
Cross-Disciplinary Interaction
The “3+1” model, in governing and managing the emerging sector, could not be
materialized through expertise from a single discipline. Rather, it involves crossdisciplinary, cross-industry and cross-sector issues that require tremendous knowledge sharing, interaction and communication, presenting a huge challenge to the
coverage and efficiency of existing information management system. This, in part,
explains the rapid development of various energy think tanks in China in recent years.
1.4.2 Policy Suggestions on Guaranteeing “3+1” Energy
System Integration
1.4.2.1 Empower Energy Planners and Strengthen Leadership
and Cross-Sector Coordination
Planning and research entities of energy strategy at the central and local governments
should be bestowed a level of leadership and authority that can handle such complex,
key energy system integration models as “3+1”, in order to coordinate and integrate
the current separate functions scattered in various government departments, and