From 1970-2001, China was able to significantly limit energy demand growth throughaggressive energy efficiency programs. Energy use per unit of gross domestic product (GDP)declined by approximately 5% per year during this period. However, the period 2002-2005 sawenergy use per unit of GDP increase an average of 3.8% per year. To stem this out-of-controlgrowth in energy demand, in November 2005 the Chinese government enunciated a mandatorygoal of 20% reduction of energy intensity between 2006 and 2010. The National People'sCongress passed legislation identifying the National Reform and Development Commission asthe lead agency to design and carry out programs in support of this goal. These policies andprograms, created after almost a decade of decline of the energy efficiency policy apparatus,have had considerable impact. Although initial efforts have not been sufficient to meet theannual declines required to reach the ambitious 20% energy intensity target, the latest reportsindicate that China may now be on track to meet this goal. The paper provides an assessment ofthese policies and programs to begin to understand issues that will play a critical role in China'senergy and economic future. Activities undertaken in China will have a significant influence onthe global effort to reduce the growth, and later the absolute quantity, of greenhouse gasemissions.