China should establish a South China Sea special administrative region to assert its sovereignty over Nansha, Xisha and Dongsha islands and waters in the area, according to a proposal by Luo Yuan, an Academy of Military Science researcher and member of the Chinese People's Political Consultative Conference National Committee.

According to Luo's proposal, China should mark its sovereignty over the area by five key measures: administrative, legal, economic, military and a media presence in the region. Diplomatic, economic and legal means should be used to solve any territorial disputes with military solutions only as back-up measure, the proposal said.

However, China should station troops on the islands, send naval patrols, and where possible, mark its sovereignty with the national flag. China should also encourage its fishermen to fish in the area and the China National Offshore Oil Corporation and China National Petroleum Corporation to explore offshore oil and gas resources there, the proposal said.

Luo also suggested that China publish a South China Sea white paper to demonstrate China's historical sovereignty over the many islands and waters in the area.