A panel of scientists from the Chinese National Academy of Sciences has advised on medium and long term development strategies for alternative energy sources in China within the next five years. Some of their action plans are: (1) continuous promotion of industrialization production of ethanol and diesel from biomass, (2) vigorous research and development in liquefaction technologies, “providing demonstration plants with an annual production capacity of one million tons” to realize industrial application, (3) encouragement in development of cellulose ethanol technology and “fast-growing energy-rich plants in desert and desolate areas that can provide biomass for bio-ethanol and bio-diesel manufacturing”.

The report also stresses the need for well planned phases in the implementation of strategies to develop energy-efficient technologies: (1) support should be geared toward research for pilot plant studies, (2) “initial work for industrial application should be done on selective basis”, (3) major decisions for large scale applications must be done only after a full and careful verification, and (4) national research programs should be coordinated under a centralized leadership and management..