The coastalregion, with 60% ofthe country’s totalGDP, is a key area forna- tionaleconom ic developm entin China. Despite ofm any favorable conditions, coastalre- gion is facing som e serious problem s in its future developm ent, and am ong w hich energy supply is the m ostseriousone. With 7% ofChina’s energy proved resources, the energy consum ption ofcoastalre- gion in 1996 was 47% ofthecountry’s total, com paring with thatitsprim ary energy pro- duction registered 26% ofthecountry asaw hole.Asa result, therecentenergy sufficien- cy ofthisarea is only about51%, and itis estim ated thatthe am ountofim ported energy willreach nearly 550 m illion tonesin 2010. Considering thespatialdisparity in energy pro- duction and consum ption in this area, such a huge energy supply willcause a big pressure on energy transport, particularly on the railway system . Whatism ore, the greatincrease in energy consum ption dom inated by coal (m ore than 74% of the total energy consum ption) w illm ake the environm entalproblem s w orse. Resting on allthesesfacts, som em easuresforim proving theenergy production in this area could be: first, speeding up the construction oftherm opowerprojects nearthe sea to save the fresh water; second, lim iting the scale ofrecentcoalproduction to save the re- sources; third, reinforcing industrialrestructuring and enhancing energy efficiency. Itis also im portantto im provethe transportfacilitiesforgetting m oreim ported ener- gy from inland China. Firstofall, therailroadsand harborsserved forcoaltransportation should be builtup in tim e, such astherailway linelinking the Shaanxiand Huanghuahar- bor, as w ellas Xi’an—Nanjing—Shanghairaillines. Secondly, the corridorofthe long- distance power transm it lines served for the hydropower stations such as at the upper reaches ofChangjiang river should be setup. The last, m ore and m ore oilshould be im - portfrom abroad to optim ize energy consum ption structure. As to the relationshipsofenergy supply, thedevelopm entpoliciesshould beem phases distinctly in differentareasofcoastalregion as follow s: the structuraloptim ization ofthe energy supply w ith a greatfavorin the developm entofthe hydropow erand nuclearpower and im portoilfor the south area, the construction oftherm opow er stations burning coal and the railw ay line for coaltransportfrom north area.