Regulations of Shanghai Municipality on Energy Conservation

(Adopted at the 5th Session of the Standing Committee of the 11th Shanghai Municipal People's Congress on September 22, 1998; revised at the 10th Session of the Standing Committee of the 13th Shanghai Municipal People's Congress on April 23, 2009；amended according to the Decision on Revising Three Local Regulations Including the Provisions of Pudong New Area of Shanghai Municipality on Promoting the Reform of the System of Enterprise Commitment and Instant Business Licensing adopted at the 29th Session of the Standing Committee of the 16th Shanghai Municipal People's Congress on March 31, 2026)

Contents

Chapter I General Provisions

Chapter II Administration of Energy Conservation

Chapter III Rational Utilization and Energy Conservation

Section 1 Energy Conservation in Industry

Section 2 Energy Conservation in Architecture

Section 3 Energy Conservation in Communications and Transportation

Section 4 Energy Conservation in Public Institutions

Section 5 Energy Conservation in Major Energy Users

Chapter IV Technical Advancement and Incentive Measures for Energy Conservation

Chapter V Legal Liability

Chapter VI Supplementary Provisions

Chapter I General Provisions

Article 1

With a view to promoting energy conservation throughout society, raising efficiency of energy utilization, protecting and improving the environment, advancing the green and low-carbon transformation of the whole of society, fostering the balanced and sustainable development of this Municipality's economy and society, these Regulations are formulated on the basis of the provisions of the Law of the People's Republic of China on Energy Conservation, and other relevant laws and administrative regulations, and in the light of this Municipality's actual circumstances.

Article 2

These Regulations apply to the conservation of energy sources (hereinafter referred to as "energy conservation") and administrative activities relating thereto within the administrative area of this Municipality.

Article 3

The work of energy conservation in this Municipality follows the principles of government guidance, market operation, technical push, and public participation.

Article 4

The municipal and district people's governments shall enhance the leadership over the work of energy conservation, arranging, coordinating, supervising, examining and pushing the work of energy conservation.

The municipal and district development and reform administrative departments take charge of the integrated coordination and supervisory management over the work of energy conservation, organizing for drawing out energy conservation programs and policy-related measures, and take charge of the coordination and implementation thereof.

The municipal and district administrative departments of economy and information technology, housing and urban-rural development, transportation, commercial affairs, institutional affairs, culture and tourism, agriculture and rural affairs shall, in accordance with their respective functions and duties, takes charge of the supervisory management work on energy conservation in the related fields.

The municipal and district administrative departments of science and technology, finance, statistics, market regulation, planning and resources, ecology and environment, housing management shall, in accordance with their respective functions and duties, do a good job of the relevant energy conservation management work.

Article 5

This Municipality practices industrial policies in favor of energy conservation, carbon reduction and environmental protection, giving priority to the development of modern service industry and advanced manufacturing, encouraging and supporting the development of industries with low energy consumption, low emission and high added value. In respect of high energy-consuming industries, adjustment shall be made step by step in a planned way, or technological transformation shall be accelerated to reduce energy consumption.

This Municipality encourages and supports the development and utilization of new energy and renewable energy.

Article 6

The people's government at all levels in this Municipality and their departments concerned and energy producing and operating units shall strengthen energy conservation publicity, popularize energy conservation knowledge, and enhance people's consciousness of energy conservation.

The energy-consuming units in this Municipality shall carry out energy conservation education and training for their employees.

Primary and high schools, and higher learning institutes in this Municipality shall organize publicity education on energy conservation knowledge, and carry out practices of energy conservation.

Communities in this Municipality shall popularize energy conservation knowledge in multiple forms, carry out the energy-conservation household building activity and advocate lifestyles featuring energy conservation and environmental protection.

The mass media in this Municipality shall strengthen energy conservation publicity, publish and broadcast public-good advertisements of energy conservation, giving publicity to important moves on energy conservation.

Article 7

This Municipality supports the organs providing energy-conservation services, trade associations, as well as units that design, produce or sell energy-conservation products in popularizing energy-conservation products, providing users with correct usage of energy-conservation products and guiding consumption featuring energy conservation.

This Municipality encourages units and individual persons to adopt energy-conservation technology and use energy-conservation products, so as to raise energy utilization efficiency.

Article 8

The municipal and district people's governments shall reward and commend units and individual persons that have made remarkable achievements on research and popularization of energy conservation science and technology.

Energy producing, operating and consuming units shall reward the collective or individual persons who have made achievements on the work of energy conservation in their own units.

Article 9

All units and individual persons shall perform the duty to conserve energy and have the right to inform against any act of squandering energy.

Chapter II Administration of Energy Conservation

Article 10

The Municipal People's Government shall, in accordance with the national mid- and long-term specific planning of energy conservation and the mid- and long-term planning for this Municipality's national economic and social development, organize the formulation of this Municipality's mid- and long-term specific planning of energy conservation.

District people's governments shall, in accordance with this Municipality's mid- and long-term specific planning for energy conservation, organize the formulation of the mid- and long-term specific energy conservation planning for its own administrative district.

The municipal administrative departments of economy and information technology, housing and urban-rural development, transportation, commercial affairs, institutional affairs, culture and tourism shall, in accordance with this Municipality's mid- and long-term specific planning for energy conservation, work out energy conservation planning in relevant fields.

Article 11

The municipal development and reform administrative department shall, jointly with other relevant departments, in accordance with this Municipality's mid- and long-term specific planning for energy conservation, work out the annual energy conservation program of the whole Municipality, determine the annual goals and measures of energy conservation and carbon reduction, and put them into practice upon approval by the Municipal People's Government.

Article 12

The Municipal People's Government shall, in accordance with the citywide annual energy conservation program, assign energy conservation and carbon reduction goals to the municipal administrative departments of economy and information technology, housing and urban-rural development, transportation, commercial affairs, institutional affairs, culture and tourism, as well as district people's governments.

Article 13

The municipal administrative departments of economy and information technology, housing and urban-rural development, transportation, commercial affairs, institutional affairs, culture and tourism, and district people's governments shall, in accordance with the energy conservation and carbon reduction goals assigned by the Municipal People's Government, and their respective energy conservation program or mid- and long-term specific planning for energy conservation, work out the annual energy conservation plan, determine energy conservation and carbon reduction measures, and file them to the Municipal People's Government for the record.

Article 14

The municipal and district people's governments shall report the work of energy conservation every year to the people's congress or its standing committee at the corresponding level.

Article 15

The Municipal People's Government shall assign the energy conservation and carbon reduction goals to major energy-consuming units; district people's governments shall assign the energy conservation and carbon reduction goals to energy-consuming units brought under the energy conservation control in their own district.

The roll of major energy-consuming units shall be determined by the municipal development and reform administrative department jointly with relevant administrative departments; the roll of energy-consuming units under the district-level energy conservation control shall be determined by the district people's government in accordance with the actual requirements of the energy conservation administration in its own administrative area, and shall file the roll to the municipal development and reform administrative department and relevant administrative departments for the record.

Article 16

This Municipality practices an assessment system for energy conservation and carbon reduction, taking the attainment of energy conservation and carbon reduction goals and implementation of energy conservation and carbon reduction measures as the content of annual check and assessment for the municipal administrative departments of economy and information technology, housing and urban-rural development, transportation, commercial affairs, institutional affairs, culture and tourism, as well as district people's governments and their persons in charge.

The municipal and district people's governments shall make annual evaluation on the attainment of energy conservation and carbon reduction goals and implementation of energy conservation and carbon reduction measures for the units under their control respectively and release the evaluation outcome to the public.

Article 17

Where the national standards and industrial standards governing energy-conservation have not yet established, the municipal market regulation administrative department may, in accordance with the principle of advanced technology and economic feasibility, organize the formulation of local standards, and file them, as provided, to relevant national department for the record.

The municipal market regulation administrative department shall, jointly with the departments concerned, work out local energy conservation standards stricter than the compulsory national standards and industrial standards, and the Municipal People's Government shall submit such standards, upon examination, to the State Council for approval; except as otherwise provided by laws and administrative regulations.

Article 18

This Municipality implements an energy conservation review system for fixed assets investment projects, conducting a comprehensive evaluation of both energy consumption and carbon emissions of the projects. The specific implementation measures shall be formulated separately by the competent energy conservation department of this Municipality.

Article 19

This Municipality prohibits the production, importation, and sale of energy-consuming products and equipment that have fallen into disuse by the State's explicit order or that fail to comply with the compulsory energy efficiency standards; and prohibits the use of energy-consuming equipment and production techniques that have fallen into disuse by the State's explicit order.

In respect of energy-consuming products, equipment, and production techniques with a state-set eliminating term, the municipal economy and information technology administrative department shall, jointly with relevant departments, work out an eliminating plan, and guide energy-consuming units to conduct elimination or technical transformation thereof.

Article 20

Every production unit shall execute the standard for energy consumption quota per unit product set by the State and this Municipality.

The municipal and district economy and information technology administrative department shall, in accordance with its respective purview of powers, order any production unit that exceeds the standard for energy consumption quota per unit product to make correction within a prescribed time limit.

Article 21

A design paper of special equipment with high energy consumption shall include the content related to energy conservation. A unit with corresponding qualification shall conduct energy conservation examination and verification in accordance with provisions of the State; no design paper that fails to comply with energy efficiency index shall pass the appraisal, and no production unit shall manufacture such equipment.

Any special equipment with energy efficiency affected after installation, transformation, and major maintenance shall have energy efficiency detected. A unit with corresponding qualification shall detect energy efficiency in accordance with provisions of the State; in the case of non-compliance with the energy efficiency index, no delivery into use shall be made.

Article 22

Every energy-consuming unit shall establish the energy measuring control system, install and use as required the energy metering device qualified by lawful calibration, strengthen management of energy meters and make regular calibrations as provided.

Article 23

The municipal statistics administrative department shall, jointly with relevant departments, establish and perfect the energy and carbon emission statistical accounting indicator system reflecting this Municipality's energy import, export production, processing, transformation and consumption, as well as market supply and demand, improving and normalizing statistical methods, so as to ensure the reality and integrity of statistical data.

The municipal statistics administrative department shall examine, verify and analyze the statistical data submitted thereto, and shall, jointly with the municipal development and reform administrative department, release the situation of energy consumption and conservation of each district and major energy-consuming industries to the public on a regular basis.

Article 24

No energy production unit shall provide energy to its employees without payment or at a low price.

No unit shall practice a package charge system for energy consumption in a period.

Article 25

The municipal development and reform administrative department shall, in conjunction with relevant departments, establish platforms related to energy conservation and carbon reduction, and strengthen information sharing among such platforms, improve the professional basic databases for energy conservation and carbon reduction statistics, policies, standards, etc., and regularly release information on new products and new technologies, so as to provide guidance and services for energy conservation and carbon reduction to the public.

Electric power enterprises, gas supply enterprises, and heat supply enterprises shall regularly submit to the municipal competent department of energy conservation information on the access of electric power, gas, and heat supply facilities, as well as the consumption data thereof.

Article 26

This Municipality encourages producers and sellers of energy-consuming products to apply for energy-conservation product authentication from the agencies undertaking energy-conservation product authentication authorized by the supervisory management department attested and recognized by the State Council.

Article 27

This Municipality encourages every energy-consuming unit to adjust the energy-consuming structure, accelerate energy-conservation technology transformation, strengthen energy conservation administration and raise energy utilization efficiency with the quantification index of the advanced-level energy consumption in the industry as the benchmark.

Article 28

This Municipality supports the development of the energy conservation service industry. An energy conservation service agency shall provide energy-consuming units in a just and objective way with such services as consultation, design, evaluation, detection, audit, and authentication relating to energy conservation.

Article 29

Every trade association shall, in accordance with provisions of laws and regulations, play a role in such aspects as the preparation and enforcement of trade energy conservation planning, popularization of energy-conservation technologies, training on energy consumption statistics, energy conservation, as well as information consultation.

Chapter III  Rational Utilization and Energy Conservation

Section 1 Energy Conservation in Industry

Article 30

The municipal economy and information technology administrative department shall, in accordance with the energy consumption status in this Municipality's industrial sector, give an impulse to energy-conservation technology transformation in major energy-consuming industries such as electric power, iron and steel, petroleum processing, chemical engineering, building material and equipment manufacturing to raise the level of energy efficiency, propel industrial restructuring in favor of energy conservation and optimize energy-consumption structure.

Article 31

While preparing an industrial park planning, a newly established industrial park or industrial base in this Municipality shall draw up energy-utilization planning, and overall energy-conservation schemes in accordance with the production mode of high efficiency cyclic utilization of energy.

In rebuilding and expanding this Municipality's industrial parks and industrial bases with central heating conditions, the park administrative agency shall draw up the planning and executive plan of central heating and organize the implementation thereof.

Article 32

This Municipality encourages industrial enterprises to adopt high efficiency and energy-conservation electric motors, blowers, boilers, furnaces, pumps and other equipment, and adopt technologies such as combined generation of heat and electricity, utilization of afterheat and residual pressure, optimization of energy systems as well as advanced detection and control of energy consumption.

Article 33

This Municipality's power-grid enterprises shall sign grid-joining agreements and electricity purchase agreements with renewable energy power enterprises that have obtained administrative permit or that have been filed for record, prioritize purchase of all the on-grid electricity of renewable energy power generation projects in the coverage range of power grids and provide the renewable energy power enterprises with such on-grid services as switching-on, measurement and settlement.

Article 34

This Municipality prohibits construction of coal- or oil-fired generator sets, or coal-fired thermal power sets that fail to conform to the national standard.

Section 2 Energy Conservation in Architecture

Article 35

In working out the detailed urban planning, the municipal and district planning administrative departments shall consider the requirements on energy conservation of buildings in such aspects as the layout, shape, orientation, ventilation, and greening of buildings.

Article 36

The building, design, construction and supervisory activities shall observe the energy conservation standards of buildings.

The municipal housing and urban-rural development administrative department shall, in the light of this Municipality's actual circumstances, work out local energy conservation standards of buildings stricter than the national standards or industrial standards, and file such standards to the standardization authority and construction authority under the State Council for the record.

Article 37

In examining and keeping on files working drawings and design documents, issuing a construction license and carrying out safety and quality supervision, the municipal and district housing and urban-rural development administrative departments shall, strengthen the supervision and inspection over construction projects on the execution of the energy conservation standards of buildings.

In filing an engineering project upon completion and acceptance, the municipal and district housing and urban-rural development administrative departments shall check the contents of energy conservation of buildings in the completion-and-acceptance report submitted by the unit undertaking the project.

Article 38

The municipal housing and urban-rural development administrative department shall, jointly with the municipal development and reform department, the municipal housing guarantee and house administration, organize the formulation of transformation plans for existing buildings' energy conservation according to the building energy conservation program, define the goal, scope and requirements of transformation for energy conservation, and bring them into effect upon approval from the Municipal People's Government.

The municipal and district people's governments shall adopt incentive measures to propel the implementation of the transformation plan for existing buildings' energy conservation.

Article 39

This Municipality encourages the use of energy-conservation building materials such as new-style walling materials and energy-efficient equipment in the transformation of new and old buildings, and popularizes the utilization of renewable energy.

Section 3 Energy Conservation in Communications and Transportation

Article 40

The municipal transportation administrative department shall, jointly with relevant departments, strengthen unified planning, propel the construction of integrated transportation facilities featuring energy conservation, optimize the structural system of integrated centralizing and dispersing transportation, and carry forward sea-river and sea-railway through transportation.

Article 41

The municipal and district people's governments, and their relevant departments shall optimize the construction of urban road networks, strengthen the effective connection of internal and external access transportation, perfect the intelligent traffic control system, and raise the road capacity and transportation efficiency.

Article 42

The Municipal People's Government shall increase input on public transportation, perfect basic networks of rail transportation, reduce the trip cost of public transportation, guide citizens making trips by means of public transportation and decrease traffic energy consumption.

Article 43

This Municipality encourages the development, production, and use of energy-conservation and environment-friendly automobiles and clean-energy vehicles with low energy consumption and low pollution; and encourages the application and popularization of new energy in such fields as urban public transportation and special vehicles for construction engineering and environmental sanitation.

Section 4 Energy Conservation in Public Institutions

Article 44

The municipal and district institutional affairs administrative departments, under the guidance of the development and reform administrative department at the same level, takes charge of the supervisory management work of energy conservation over the state organs at the same level, coordinating and pushing the supervisory work of energy conservation over other public institutions at the same level.

The municipal and district administrative department of education, science and technology, culture and tourism, health, and physical education takes charge of the energy conservation work over public institutions other than the state organs in their own system, and accept guidance of the institutional affairs administrative department at the same level.

The person in charge of a public institution shall take full charge of the energy conservation work of his or her unit. The energy conservation work of a public institution practices the goal responsibility system and the check-up and evaluation system, with the attainment of energy conservation and carbon reduction goals as the content of check-up and evaluation on the person in charge of a public institution.

Article 45

The municipal and district institutional affairs administrative department shall, jointly with relevant departments, establish energy consumption monitoring networks, conducting real-time monitoring of the energy consumption status of public institutions at the same level.

Article 46

The municipal and district institutional affairs administrative department shall, jointly with relevant departments, draw up the energy consumption quota and office appliances allotment standards for state organs at the same level.

The municipal administrative departments of education, science and technology, culture and tourism, health, physical education shall, under the guidance of the municipal institutional affairs administrative department, in accordance with the integrated level and characteristics of energy consumption in their own system, draw up the energy consumption quota and office appliances allotment standards for public institutions other than state organs in their own system.

The energy consumption quota and office appliances allotment standards shall be adjusted on a regular basis in accordance with the economic and social development.

Article 47

The municipal and district finance administrative departments shall work out the energy consumption outlay standards in accordance with the energy consumption quota, and exercise control over expenditure of public institutions for office appliances in accordance with office appliances allotment standards.

Article 48

Any public institution that uses energy in excess of the energy consumption quota or has office appliances above the allotment standard shall make explanations to the institutional affairs administrative department at the same level; for a lack of justifiable reasons, the municipal or district institutional affairs administrative department shall order to make correction within a prescribed time limit.

Section 5 Energy Conservation in Major Energy-Consuming Units

Article 49

Every major energy-consuming unit shall formulate its annual energy conservation program, adopt energy conservation and carbon reduction measures, raise energy utilization efficiency, control its gross energy consumption and attain the energy conservation and carbon reduction goals assigned by the Municipal People's Government.

The municipal or district people's government shall commend and reward major energy-consuming units and energy-consuming units under the district energy conservation supervision which have over-fulfilled the assigned energy-conservation and carbon reduction goals.

Article 50

Every major energy-consuming unit shall submit annually a report on energy utilization in the previous year to the related municipal administrative department. In the case of failure to fulfill the energy-conservation and carbon reduction goals in the previous year, explanations shall be made in the energy utilization report.

Article 51

The municipal relevant administrative department shall, in accordance with the law, administrative regulations, and relevant state provisions, examine the previous-year energy utilization report submitted by major energy-consuming units.

Upon finding, in examination, any major energy consuming unit that has one of the following cases, the municipal relevant administrative department shall carry out spot investigation, entrust an energy conservation service agency to conduct energy efficiency inspection on energy consuming equipment, order to exercise energy auditing and make a rectification request in writing for rectification within a prescribed time limit:

1. failing to fulfill the energy conservation and carbon reduction goals in the previous year without justifiable reasons;

2. having obvious errors in energy measuring data or statistical data;

3. having energy utilization efficiency lower than the average level in the same industry; and

4. having the imperfect system for energy conservation management, non-fulfillment of energy conservation and carbon reduction measures and low energy utilization efficiency.

The municipal relevant administrative department shall submit the energy utilization reports and examination results of major energy-consuming units to the municipal development and reform administrative department.

Article 52

Every major energy-consuming unit shall establish the internal energy auditing system, making overall examination and supervision on energy production, transformation and consumption.

Article 53

Every major energy-consuming unit shall set up an energy control post, appoint a person in charge of energy control from among its staff members with energy conservation expertise, practical experience and a medium-class technical professional title, and shall file the appointment with the relevant administrative department for the record.

A major energy-consuming unit with annual combined gross energy consumption of over 50,000-ton standard coal equivalent shall specify an energy control agency, set up such energy management posts as energy measuring, statistics and auditing, and file them with the municipal relevant administrative department for the record.

Article 54

Every major energy-consuming unit shall establish, perfect the training system for personnel of energy control posts, and work out a special energy conservation training program for operators of energy measuring, auditing and major energy-consuming equipment, ensuring that the relevant personnel receive specialized and systematic training about energy conservation.

Chapter IV Technical Advancement and Incentive Measures of Energy Conservation

Article 55

The municipal and district people's governments and their relevant departments shall regard research and development of energy-conservation technology as a major field of science and technology with government input, and arrange funds to support enterprises, scientific research institutes and higher education institutions in making research and development of versatile and critical energy-conservation technology and facility, and establish energy-conservation technology trading markets to promote the transformation, application and popularization of technological achievements in respect of energy conservation.

Article 56

The municipal and district people's governments shall, in accordance with the principle of adaptation to local conditions, versatility complementation, comprehensive utilization and benefit-seeking, strengthen the energy conservation work in agriculture and rural areas, and increase capital input to energy-conservation technology and popularization and application of energy-conservation products in the agriculture sector and in the countryside.

Article 57

The Municipal People's Government shall, in accordance with economic and social development, set up special funds in support of energy conservation work.

The special funds are mainly used in the following aspects:

1. energy-conservation technology transformation and upgrade;

2. eliminating the high energy-consuming outdated production capacity;

3. encouraging the utilization of renewable energy and new energy;

4. supporting the launching of contract energy management;

5. demonstrating and popularizing energy-conservation technology and products;

6. publicity and training on energy conservation;

7. pushing ahead with the distributed energy supply system;

8. offering rewards for energy conservation; and

9. other purposes set by the Municipal People's Government in support of energy conservation work.

With respect to the management and use of the special funds, it is imperative to ensure the scientific and impartial arrangement and utilization of the funds to raise the fund utility. The specific procedures shall be further formulated by the Municipal People's Government.

Article 58

The municipal development and reform administrative department shall, jointly with relevant departments, make regular supervisions and examinations on energy conservation of projects with support of special funds, and may entrust an energy conservation service agency to make evaluation and acceptance upon completion of a project.

The municipal finance and auditing administrative departments shall make supervision, check-up and auditing on the use of special funds and on the implementation of projects with support of special funds.

Article 59

An enterprise developing new energy-consuming technology, importing articles for energy-conservation research and development and purchasing special equipment for energy conservation may enjoy the tax preference policy in accordance with provisions set by the State.

Article 60

This Municipality supports financial institutions in perfecting direct financing products in the energy conservation field and extending the financing channel of energy-conservation service agencies and energy-conservation projects of enterprises, so as to reduce the financing cost.

This Municipality supports policy-related banks and commercial banks in providing through financial services in the cooperative mode such as joint loans or trans-loans for energy conservation projects with large start-up capital and a long investment-return term, and offering relevant credit products in accordance with credit demands at different stages.

Article 61

This Municipality encourages policy-related guarantee agencies and financial institutions to offer prioritized guarantee or credit granting support to the following projects that enterprises carry out:

1. projects of energy-conservation technology research and development, energy-conservation product production and energy-conservation technology renovation which obtained policy-related support of the State or this Municipality on finance or taxation; or

2. projects commended or recommended by related departments of the State and this Municipality and with distinct energy conservation effect.

Article 62

This Municipality promotes energy pricing reform, exercising an energy pricing policy in favor of energy conservation.

This Municipality adopts policies of peak-and-low ebb time-sharing price difference, seasonal price difference and interruptible load compensation electricity rate; expands the implementation scope of the two-part pricing system for electricity, raises the proportion of basic electricity rates in the system and practices the time-sharing rated maximum demand.

This Municipality encourages electric power enterprises to reach agreement with users on avoiding peak times of electricity usage to restrict peak time electric charge and rationally adjust power load.

Article 63

In check and evaluation on departments or units that are within the check and evaluation scope of energy-consumption and carbon reduction goals, the amount of renewable energy utilized may be detracted from the actual energy consumption. The specific procedures shall be separately formulated by the municipal development and reform administrative department.

Article 64

This Municipality's public institutions shall prioritize purchase of energy-conservation products and equipment in the government procurement list of energy-conservation products.

This Municipality adopts the modes of giving bidding price discount benefit, making initial purchase and placing orders to support the government procurement of energy-conservation products.

Article 65

This Municipality shall popularize the management on the electricity demand-side and use economic, technical and other policy-related measures to encourage stagger electricity consumption and raise the efficiency of electricity utilization.

Article 66

An energy-consuming unit that accepts the energy conservation and carbon reduction goals assigned by the municipal or district people's government may sign an agreement on voluntary energy conservation with the municipal or district people's government, making commitment to over-fulfillment of such goals within the commitment time limit by measures of technical transformation on energy conservation.

If the energy-consuming unit signing the agreement on voluntary energy conservation has over-fulfilled the assigned goal of energy conservation and carbon reduction as specified in the agreement, the municipal or district people's government may give it rewards based on the over-fulfillment amount of energy conservation.

Article 67

This Municipality encourages energy-conservation service agencies to provide contract energy management services such as consultation, evaluation, detection, design, operation and management of transformation in respect of energy conservation entrusted by clients.

This Municipality offers special subsidies to fees of early-stage consultation, evaluation and detection of eligible contract energy management projects, and gives rewards to such projects in accordance with the energy-conservation amount. The specific procedures shall be formulated by the related departments of the Municipal People's Government.

Chapter V Legal Liability

Article 68

For violation of the provision set out in Article 19 Clause 1 of these Regulations, using energy equipment or production technique eliminated by public proclamation of the State, the municipal or district administrative department concerned shall make an order for disuse and confiscation of such equipment; a serious case shall be referred to the people's government at the same level for suspension of business and rectification or close-down, in accordance with the purview provided by the State Council.

Article 69

For violation of the provision set out in Article 24 of these Regulations, providing energy to employees without payment or at a low price, or exercising a charge package system for energy consumption, the municipal or district administrative department concerned shall make an order for correction within a prescribed time limit; for failure to make correction within the prescribed time limit, a fine of not less than 50,000 yuan but not more than 200,000 yuan shall be imposed.

Article 70

Any agency engaged in services such as consultation, design, evaluation, detection, auditing and attestation in respect of energy conservation furnishing false information in violation of the provision set out in Article 28 of these Regulations shall make correction by order of the municipal or district administrative department concerned, have its illegal income confiscated, and face a fine of not less than 50,000 yuan but not more than 100,000 yuan.

Article 71

Any major energy-consuming unit that violates the provisions set out in Article 50 of these Regulations, failing to submit a report on energy utilization as provided or making an untrue report shall make correction within a prescribed time limit by order of the municipal administrative department concerned; for failure to make correction within the prescribed time limit, a fine of not less than 10,000 yuan but not more than 50,000 yuan shall be imposed.

Article 72

Any major energy-consuming unit that violates the provision set out in Article 51 of these Regulations, refusing to carry out the rectification requirements or failing to make rectification as required without justifiable reasons shall face a fine of not less than 100,000 yuan but not more than 300,000 yuan by order of the municipal administrative department concerned.

Article 73

Any major energy-consuming unit that violates the provision set out in Article 53 Clause 1 of these Regulations, failing to set up an energy control post, assign a person in charge of energy control and submit a report to the municipal administrative department concerned for the record shall make correction by order of the municipal administrative department concerned; for refusal to correction, a fine of not less than 10,000 yuan but not more than 30,000 yuan shall be imposed.

Any major energy-consuming unit with annual combined energy consumption of over 50,000 ton standard coal equivalent that violates the provision set out in Article 53 Clause 2 of these Regulations, failing to specify an energy control agency or set up energy control posts such as energy measurement, statistics and auditing with a report filed with the municipal administrative department concerned for the record shall make correction within a prescribed time limit by order of the municipal administrative department concerned; for refusal to correction, a fine of not less than 10,000 yuan but not more than 30,000 yuan shall be imposed.

Article 74

For other violations of provisions set out in these Regulations, where laws and administrative regulations provide for punishment, such provisions shall apply.

Article 75

Any state functionary who, in the supervisory work of energy conservation, commits abuse of power, malpractice or jobbery enough to constitute a crime, shall be prosecuted for criminal liability according to law; punishment shall be imposed according to law if an act does not constitute a crime.

Chapter VI Supplementary Provisions

Article 76

The meanings of relevant terms in these Regulations are as follows:

1. A major energy-consuming unit means an energy-consuming unit whose annual combined energy consumption is more than 5,000 ton standard coal equivalent.

2. The quota for per-unit product energy consumption means that the combined energy consumption apportioned to each unit product by calculation of a product measure (or the consumption of a major energy source) shall not exceed a maximum amount.

3. The peak and low ebb time-sharing price difference means that the everyday time is divided into three time periods of peak, level and low ebb or two time periods of peak and low ebb in accordance with users' electricity demand and actual load conditions of grids at different periods, with different electricity rates set for the different time periods to encourage users and electricity generation enterprises to make electricity usage reduced at peak time and increased at low ebb, thus raising the utilization efficiency of electric power resources.

4. The seasonal price difference means that the different electricity pricing system is adopted in the area where electric power is rather insufficient with large seasonal fluctuation of electro-load or that electricity rates may float within a certain range in different seasons with tension or ease in power supply and demand.

5. The interruptible load compensation electricity rate means that an electric power enterprise signs contracts with users to realize, by incentive electricity rates, the interrupting or cutting down of load by users as specified on the contracts under systematic peak value or emergency. The exercise of interruptible load compensation electricity rate may make electricity usage reduced at peak time and increased at low-ebb, thus raising the grid load rate.

6. The two-part system pricing for electricity means that electricity rates are divided into two parts, the basic rate and watt-hour rate, with the sum of the former times the latter by the volume of electricity consumption as the total electricity charges.

7. The time-sharing rated maximum demand means that the maximum demand of a user under the two-part electricity pricing system is restricted at 90% of the contract quota during the peak time of electricity usage, with double basic rate for the part over the limit, while during the low-ebb time, the user may have electricity usage in excess of the contract quota, with no overcharge for the excess.

8. The electricity demand-side management means that the same electricity function is gained with less electricity consumption and power demand by raising end-use efficiency and optimizing power usage, so as to achieve energy conservation and environmental protection and to realize the power-use management carried out by low-cost electricity services.

Article 77

These Regulations shall be effective as of July 1, 2009.