Home>News Center>China
       
 

China may tweak oil price-setting formula
(Reuters)
Updated: 2005-08-21 08:59

BEIJING, Aug 20 - (Reuters) China is considering a new method for setting domestic oil product prices that could lead to more frequent adjustments aimed at easing the sort of shortages that have hit the south of the country, a newspaper reported on Saturday.

Drivers queue at petrol pumps on Wednesday in Dongguan in South China�s Guangdong Province. The fuel shortage affecting Guangdong is dragging on. Feng Zhoufeng
Drivers queue up to buy petrol at a gas station in Dongguan in South China's Guangdong Province August 17, 2005. The fuel shortage affecting Guangdong is dragging on. [Feng Zhoufeng]
China has raised retail prices of diesel and gasoline three times this year, but the increases have fallen far short of the spike in global prices.

This has made it difficult for China's refiners to turn a profit and has encouraged them to boost exports at the expense of domestic sales. The result has been widespread shortages recently in the south, with drivers queueing for hours for petrol.

To tackle the problem, top planners at the energy policy-setting National Development and Reform Commission (NDRC) called in oil firm executives on Aug. 13 to discuss the future of its pricing system.

The China Business Post said the meeting discussed updating a formula that usually leads to price changes coming at least a month apart.

"According to sources, the reform measures are to gradually relax the power to set oil product prices, moving from a lagging set price to a real-time price by reducing the time span from a one-month tracking method to two weeks or even less," the paper said.



Page: 123



Chimpanzee suffers from smoking addiction
The tide is high but they're holding on
China, Russia military drills stage landing
  Today's Top News     Top China News
 

EU, China begin talks on textile row

 

   
 

Joint forces storm beaches at climax of drills

 

   
 

Taiwan students on mainland given level fees

 

   
 

Japan, China to jointly develop 4G mobile

 

   
 

China says market to decide yuan's value

 

   
 

CCTV sends record invitations for festival

 

   
  Temasek close to buying BOC stake - FT
   
  N. Korea nuclear talks likely as planned
   
  Japan, China to jointly develop 4G mobile
   
  Two bus accidents claim 33, injure 56
   
  NPC debates further raising tax threshold
   
  Farmers protest over alleged lead poisoning
   
 
  Go to Another Section  
 
 
  Story Tools  
   
  Related Stories  
   
CNPC sees rapid growth of major business
   
Venezuela opens oil office in China
   
Bid on Inchon Oil to be finalized
   
Guangzhou oil supply 'returning to normal'
   
Guangzhou oil supply 'returning to normal'
   
India, China aim to team up for oil assets
   
India, China aim to team up for oil assets
  News Talk  
  It is time to prepare for Beijing - 2008  
Advertisement