China has adopted a new law supporting its renewable energy industry. The new amendment which was passed on saturday reveals an effort to boost the country's committment to renewable energy and climate change. The amendment was approved by the lawmakers at a five-day meeting of the National People's Congress (NPC) Standing Committee.

The renewable energy law requires that electricity grid industries purchase the power produced by renewable energy generators. It also states that any power company that refuses to buy power produced by renewable energy generators will be fined.

Ni Yuefeng,the vice-president of the assembly's environmental affairs commission, told reporters that, Power companies will be obliged to take up all the capacity, and those refusing to do so will be fined double the amount of the economic loss of the renewable energy company. The State Council Energy Department and the State Power Regulatory Agency will supervising the purchases.

Mr. Wang Zhongying, director of the renewable energy development center of the Energy Research Institute, said; "The legislation on improving the consumption of clean energy contributes to the global fight on climate change ".

Reports also show that government plans to set up a special fund dedicated to renewable energy scientific research in order to finance rural clean energy projects, build independent power systems in remote areas and develop information networks . The fund will be managed by finance, energy and pricing sectors of the State Council.

Meanwhile, energy industry analysts say that, one third of the china's wind-generated electricity could not be well transmitted to the grid. And the amendment requires grid companies to enhance transmitting technologies and also improve grid capability to absorb more power produced by renewable energy generators.