Some analysts suspect the NEB to be merely a figurehead. They were somewhat disappointed that the NEB has not been given as much decision-making power as previously expected. The most crucial energy pricing power is still in the hands of the NDRC.

Oil price adjustments were previously made by the Price Department of the NDRC, subject to approval by the State Council. Now the NEB can propose energy price adjustments, to be approved by the NDRC, and in some cases, the State Council as well. Some analysts argue that creating the NEB achieved little more than adding one more procedure to the decision-making process.

Some experts hold that the current administrative framework is far from what is needed to cope with the current energy situation that China is confronted with. Professor Xiao Guoxing, an energy law expert from the Law School of East China University of Science and Technology, believes China needs a strong energy ministry to manage its energy issues.

Other analysts believe that the NEB has already been given considerable pricing power, given that the NDRC is required to consult it before adjusting energy prices. Previously, the NDRC alone could adjust prices.

The NEB does possess some real power. For instance, its International Cooperation Department can initiate international cooperation on energy, including negotiations with foreign energy departments and the International Energy Agency; coordinate energy development overseas; and evaluate and approve significant international investment in coal, oil, natural gas, electricity and natural uranium.

Future mission

Recently, coal shortages put a strain on power supplies in some parts of China as well as people's nerves. All types of coal are in short supply. Even in the most coal-rich province of Shanxi, power plants are starved of coal. Although coalmines in the province have been operating at full capacity, they still cannot meet the growing appetite for coal.

China has become the second largest producer and consumer of energy, Zhang said, and in light of this situation, the NEB will launch policies and programs to spur the development of renewable energy. In the long term, the NEB will adjust the country's energy development strategy, conduct research and enact energy laws and policies, allocate key energy projects, enhance international cooperation and promote the balanced and sound development of the national economy.

In addition to boosting coal supplies, balancing energy supplies and encouraging the use of renewable energy, the NEB is urging the public to conserve energy. It will push for the use of energy-saving light bulbs, including giving free light bulbs to needy families.