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Many people in China still burn low grade solid fuels in traditional stoves to meet their cooking and heating energy demands. This results in significant pollution, affecting the health of especially women and children who are exposed most. The mode of energy consumption and types of stoves in use may change with increasing prosperity. Product specific and socio-economic parameters also influence these choices. We analyze cooking fuel and stove choices in China. Choices are modeled to depend on standard economic variables such as income, technology costs, and fuel prices, along with some variables unique to the developing country setting such as inconvenience costs. Our analysis shows that 24% of the rural and 17% of the urban population will still depend on solid fuels in 2030 under a business as usual scenario. Various policy scenarios that can accelerate transition to modern fuels by 2030 are also analyzed in this paper and their costs, energy, emissions and health impacts assessed. [ABSTRACT FROM AUTHOR]