Abstract: This paper elaborated the significance of developing biomass energy in rural areas of China, and analyzed the current status on development of it. The field should be focused on biomass power generation, biogas engineering, bio-liquid fuel and biomass molding particles fuel in future. For achieving the expected goals, planning strengthened, co-ordination, technology research enhanced, and public education should be done on the basis of investigating and systematic study on biomass energy in rural areas.