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Public views to be sought for oil reforms

By Wan Zhihong (China Daily)
Updated: 2008-11-26 19:13

Related readings:  Lower oil price before fuel tax  Oil price may be on its way from $50 to $200  Oil pricing to come under reforms purview  Electric cars offer opportunity to cut oil imports  New oil pricing measures to be in place in '20 days'  Nation increasingly reliant on oil imports

The State Council said today it will seek public inputs on refined oil price reforms and the long-awaited fuel oil tax scheme.

The move is seen as a vital step to boost domestic demand as the government goes ahead with its steps to bolster economic sentiment.

The inputs will also lead to a fair taxation system and also enhance energy saving and environmental protection in the country, the State Council said.

Analysts said the move is a milestone in China's energy reforms. "The country should fully reform its energy sector to make it market-oriented," said Lin Boqiang, director of the China Center for Energy Economics Research at Xiamen University.

The tax on fuel oils will make people better understabd the need for energy conservation, said Zhou Dadi, a researcher with the Energy Research Institute under the National Development and Reform Commission.

"As a country not very rich in energy resources, the enforcement of a tax on fuel oil will help China change previous energy consumption modes," said Zhou.