China's Ministry of Housing and Urban-Rural Development selected 40 key cities for the public building energy-saving reconstruction project during the 12th Five-Year period, China Securities Journal reported Wednesday.

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These cities are required to reconstruct no less than 4 million square meters in the next two years, with the fiscal allowance of 20 yuan ($3.1) per square meter.

According to statistics from the Energy Conservation Service Industry Committee of the China Energy Conservation Association, China currently has a building area of 43 billion square meters, in which the public building area accounts for over half, and less than 10 percent of these public buildings are sufficiently energy saving.

If calculated on the basis that reconstruction costs 2,500 yuan to 3,000 yuan per square meter, the market value of the public building energy saving reconstruction project will reach about 50 trillion yuan, and the market value in each of the selected 40 cities will reach 400 billion yuan.