"We are now faced with a very serious problem of environmental pollution, this is a major problem facing China's development," Wen told reporters at the end of the nation's annual parliamentary session.

In uncharacteristically frank remarks Wen said the nation had failed to find adequate ways to address China's ongoing environmental degradation.

"To be honest with you, we failed to deliver on the targets concerning environmental protection."

Wen said the leadership had now set new targets to curb pollution among which were the reduction of energy use per unit of gross domestic product by 20 percent in five years.

"We (are) also going to reduce the total discharge of pollutants by 10 percent towards the end of the five year period," Wen said.

He said China could not continue to allow the development of those enterprises and infrastructure projects that waste resources and pollute the environment and that laws had to be more strictly enforced.

"We need to step up our efforts to carry out special environmental and ecological campaigns ... we need to pay attention to the protection of major waters, air and land."

China's near 10 percent average growth over the last two decades has ravaged its environment as the government and industry have favored rapid economic development above all ecological issues.

After repeated warnings from environmental groups and public protests, Beijing has increasingly become aware over the last two years that the nation's economic growth model is environmentally unsustainable.

Industrial pollution of China's waterways drew global attention last November when a chemical factory explosion in the northeastern province of Jilin released 100 tonnes of toxic benzene and nitrobenzene into the Songhua river.

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