In 1878, Chung Hsing Coal Mining Co, now Zaozhuang Coal Mining, was founded in the area. The company ran 14 mines across Zaozhuang then, placing the city among China's top three coal bases until the 1930s.

"Before 1912, the Grand Canal served as the only way for the company to transport coal southward," Zaozhuang Mining Co Ltd publicity office director Hu Lebao says.

It also shipped construction materials purchased from Germany, he says.

The Jia Canal was expanded after New China's 1949 founding to serve increasing demand for cargo transportation. It's currently 99 km long.

Zaozhuang has four ports along the canal. Their throughput reached 32.15 million tons last year.

"The Grand Canal makes inland Zaozhuang a port city," Chen says.

"It plays an important role in shipping cargo like coal, cement and wood materials."

The city's port transportation management office deputy head Li Ying says: "Compared with land transport, the canal saves energy and generates less pollution."

Per ton transported every km, the CO2 generated by canal-based transportation is two-thirds of that transported by railway and one-fifth of that transported by road.

The canal has also given rise to an area of wetlands since it changed the water system. One swath, the Weishanhu wetlands, contains a combined water area of 1,200 square km.

The Grand Canal also aids the South-to-North Water Diversion Project by transporting clean water from the Yangtze River to the northern cities, reincarnating its standing as a lifeline.