As China's energy demand outpaces supply, the country is desperate to boost gas production. Growing criticism of environmental problems, such as the endemic smog clogging Beijing and other major cities, has the government scrambling to replace China's high coal usage with less polluting sources. China's large estimated shale gas - and to a lesser extent coal bed methane (CBM) - resources present a rare chance to develop a domestic resource, thereby improving energy security. While unconventional gas alone will not solve China's energy woes, its development has the potential to reduce the risks associated with import dependency that will come with increased natural gas usage. The government also hopes shale gas extraction will help lower gas prices for China. At the same time, the government hopes to lower emissions, particularly in cities, by using gas instead of coal for power generation. Despite the government's conclusion that unconventional gas development has clear benefits for China's sustainable economic growth, a number of challenges risk derailing or substantially slowing the project.