To deal with challenge posed by industrialization and expanding cities, China has to take steps to develop a green service sector

At his first news conference after assuming office, Premier Li Keqiang described China's urbanization as "unprecedented in human history". He was right. Over the past few decades, hundreds of millions of farmers have become urban residents, and more are likely to follow in the coming decades.

A growing population means a growing need for energy and natural resources. This problem is serious especially for China, because its energy efficiency level is low due to its overall mode of production. According to economist Gu Shengzu, China contributed 8 percent of the global economy in 2012 while it consumed 17.7 percent of the total energy generated by the world.