The announcement comes as the government and state companies begin to release details of how China will carry out a 4 trillion yuan package announced on Sunday to boost slowing economic growth.

State Grid said the additional investment will go into expanding power grids in central and western China, with half spent in cities and half in the countryside, the Xinhua News Agency said, citing a company spokesman, Mr Zhang Haiyang.

It said the investments are part of the stimulus plan.

Much of the spending for the stimulus is expected to come from such state companies.

Beijing's plan calls for boosting economic activity and consumer spending with higher outlays on construction of airports, highways and other facilities, tax cuts for exporters and aid to the poor and to farmers.

On Wednesday, the government said it would cut export taxes on a wide range of goods and approved spending on two major power projects and a water conservancy project as part of the stimulus. -- AP