OREANDA-NEWS. November 22, 2013. The wave of severe air pollution which shrouded northern China last month has accelerated government plans to replace coal-fired boilers and plants with natural gas-fired facilities.

Shifting away from coal will ease China's environmental problems, but widespread use of natural gas may not be feasible at this time.

From a financial point of view, this plan presents many challenges. Local governments will have to spend enormous sums in order to bring gas-burning infrastructure projects online. Energy producers will also have to contend with higher input costs as they move away from coal. A better choice at this time could be to maximize the efficiency of coal-fed plants.

We should further bear in mind that China is not blessed with abundant natural gas resources. Relying on gas imports could quickly endanger the country's energy security.

Right now, authorities should consider stronger regulations and stiffer oversight to control carbon emissions generated from coal use.

Based on an article from caixin.com, citing discussions with Tao Guangyuan, a renewable energy expert and economic commentator based in Beijing.