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This year’s **Work Report** clearly states that the strategy for the development of the western region should be continued, while efforts should be accelerated to build a number of industrial bases in sectors such as energy and raw materials, as well as specialized industrial bases. In response, the delegation from Ningxia revealed to our newspaper that the construction of the Ningdong Energy and Heavy Chemical Industry Base, which has attracted much attention, is progressing smoothly, and it is pursuing a path of harmonious development with agriculture and the ecosystem. It is well known that coal chemical industries are water-intensive, and Ningxia is a region with a shortage of water resources. To this end, we have hired water resources experts to conduct assessments in this area. Industrial projects must not affect agricultural or domestic water use, and we must also take into account the carrying capacity of resources and the environment, ensuring that the environment is not damaged. Yuan Jinlin, national **representative and director of the Development and Reform Commission of the Ningxia Hui Autonomous Region, said. According to Yuan Jinlin, the Ningdong base is a **key coal chemical industry hub** approved for development by the State Council; it will leverage coal resources to develop coal power and coal chemical industries. Adhering to the principle of prioritizing larger-scale operations over smaller ones, all coal chemical projects in the base utilize internationally advanced technologies. Some of the smaller-scale and less efficient coal chemical projects from the past have been shut down to prevent environmental damage and to improve the efficiency of using resources such as coal and water. The Ningdong base is located in the Hetao region of the Yellow River, an area with relatively abundant water resources in Ningxia. The base uses water from the Yellow River, pursuing an industrial approach that combines water and coal. The chemical project planning for the base is based on the 830,000 tons per year coal-based dimethyl ether project for which a project proposal has already been approved, as well as the 3.2 million tons per year coal indirect liquefaction project that has been submitted for consideration; large-scale coal-to-olefins projects and their downstream products are also planned. By 2020, it is planned to achieve a production capacity of 10 million tons for coal indirect liquefaction, 2 million tons for coal-based dimethyl ether, and 1.7 million tons for methanol. Preliminary estimates indicate that the total investment in the base will reach 205.566 billion yuan, and upon completion of all projects, it will generate an additional industrial added value of around 29.76 billion yuan. Yuan Jinlin said that developing energy industries such as coal chemical engineering can strengthen Ningxia’s economic strength; the income generated by industry can then be used to support agricultural and water management initiatives, thereby improving the efficiency of water use in agriculture. The water saved through these efforts can in turn support the development of industries like coal chemical engineering, creating a win-win, positive cycle. It is reported that currently, the utilization rate of agricultural water in Ningxia is low, with an utilization coefficient of only 0.4. Ma Ruiwen, a national **representative and deputy head of the Party Committee of the Ningxia Hui Autonomous Region**, told reporters that in order to support the implementation of water-saving projects, the autonomous region plans to allocate funds to purchase 10 million yuan worth of agricultural plastic film each year, with additional investments being made as needed based on the actual results. Currently, the first batch of agricultural films produced by Yanshan Petrochemical has been delivered to Ningxia.