Research On China’s Shale Gas Management Legislation

Under the pressure of national energy security and climate change,shale gas is becoming more and more important. With the advances inmining technology, shale gas becomes the concern of more countries.China is rich in shale gas, with potential reserves of134.42trillion cubicmeters (excluding the Qinghai-Tibet area). China Government attachesgreat importance to the development of shale gas, clearly pointing out topromote the development and utilization of coalbed methane, shale gasand other unconventional oil and gas resources in the “12th Five-YearPlan”.“Shale gas development plan (2011-2015)” was also announcedon March16，providing guidelines for the development of shale gasindustry.As a kind of new energy, its development needs to follow a series oflegislation. The current legislation consists of four parts: mineral resourceslegislation; environmental protection regulations; industry promotingregulations and administrative control legislation. Specifically, they areLaw of The People’s Republic of China on Mineral Resources and itssupporting regulations, Water Pollution Control Act, Circular EconomyPromotion Law, Cleaner Production Promotion Law as well asEnvironmental Information Disclosure Regulations and so on. Based onthese laws and regulations, shale gas management system has formed tosome extent. However, the system contains the characteristics of theplanned economy era, and is not consistent with the characteristics ofshale gas. There are a lot of places need to be improved. The mainproblems of shale gas development in China include: the technology is not mature; property rights are not clear; deficiencies of encouraging andsupporting policy and the development process causing environmentalpollution.The development and management of shale gas in most countries isstill in its early stage. The United States’ exploitation experience is themost mature. Accordingly, the legislation of shale gas is also the mostperfect. Federal and state governments play different roles in themanagement of the shale gas.In the process of shale gas management, on the one hand, we shouldlearn from the mature experience of foreign countries, on the other hand,we need combine these with China’s specific national conditions, workingout a set of practical management system. Firstly, deepen the reform ofproperty rights and promote the development of shale gas industry to themarket-oriented. Secondly, improve the environmental protectionlegislation, not to develop energy at the sacrifice of environment. Besides,promote information disclosure and protect public participation. Inaddition, implement preferential tax policies. Finally, encourageenterprises and research institutions to carry out technical innovation.