Xi: China not to blame for rising oil prices

Chinese Vice President Xi Jinping defended his country’s energy policy in the face of claims that demand from China and India is responsible for a doubling in oil prices in the last year, the South China Morning Post reported. Speaking at a Middle East oil summit, Xi noted that more than 90% of China’s energy needs were met domestically and consumption levels were below the world average on a per capita basis. He also stressed that China, the world’s second-largest energy consumer, is looking to improve its energy conservation and reduce its reliance on coal through tapping a number of alternative energy sources. Beijing’s recent decision to increase retail petroleum and electricity prices met with a mixed reception at the summit. Critics argued that China is still a long way from market-based energy pricing and that controlled prices simply encourage oil demand growth.