BIZCHINA / Opinions |
Refined oil price still lower than int'l market(Xinhua)Updated: 2007-01-30 15:37 Despite the recent slump in oil prices in the international market, the price
of refined oil is still lower in China than elsewhere in the world, according to
Jiang Jiemin, general manager of the China National Petroleum Corporation
(CNPC).
Government policy prevents the domestic price of refined oil from fluctuating in line with the international market, said Wang Tianpu, president of China Petroleum and Chemical Corporation (Sinopec), China's largest oil processor. Wang claimed that the huge profits of Chinese petroleum giants in recent years were due to better internal management rather than the rocketing oil price. Operating costs at Sinopec had decreased by 10 billion yuan annually, he said. To ensure stable oil supplies in China, oil refineries suffered huge losses from pegged prices of refined oil while the international price soared, he said. CNPC hands over one third of its profit to the government as tax, Jiang said. (For more biz stories, please visit Industry Updates) |
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