BEIJING -- Chinese green companies have welcomed new measures on environmental protection and energy saving, the Shanghai Securities News reported Tuesday.

The State Council, China's cabinet, announced measures on August 11 to boost green industries, as it looks to increase domestic demand and update the country's economic structure.

In last year's industrial development plan, China vowed to raise the total output of environmental protection industries to 4.5 trillion yuan ($730 billion) by 2015, an average annual increase of 15 percent.

The latest State Council document reiterates that goal, promising to spur technological innovation, expand demand for green and energy saving products, and boost the service industry related to the field.

In terms of specific policy measures, more budget will be assigned to fund environmental protection industries and eligible companies will be encouraged to issue bonds.

Efforts will also be made to establish pricing schemes for renewable energy and to push forward with tiered prices for household water and gas consumption.

Domestic Chinese companies with suitable capacity will be encouraged to target overseas projects in environmental protection, and eligible foreign-funded firms will enjoy the same preferential treatment as their Chinese counterparts, the State Council added.

The measures specifically entail faster upgrades of energy saving technology and equipment, in particular high-efficiency boilers.

An insider from Hangzhou Boiler Group Co Ltd, which controls half of the Chinese market for exhaust-heat boilers, believes the measures will not greatly influence business in short term, but will push local authorities to map out detailed policies for change.

In terms of another hot issue, air pollution, the document highlights pilot programs for carbon and emission trading.

Xiong Suqin, board secretary of Yonker Environmental Protection Co Ltd in Hunan province agreed that the beneficial effects of the policy may take some time to become obvious, while government at all levels responds with support schemes in tax, procurement and subsidies.

The provincial government has asked green companies to detail the support they need, Xiong added. 

Companies involved in green building and sea water desalination have also called for further support for the two sectors.