China Digest

Economics and policy from China’s newspapers

Monday May 22, 2017

Private firms to gain access to petroleum and gas industry

Private companies would be able to invest in, exploit potential sites and their pipelines would be independent from the three giants PetroChina, CNOOC and Sinopec as part of petroleum and gas industry reforms, Economic Information Daily reported. The State Council unveiled the reform plans on May 21.

Don’t set high prices on new homes: Qingdao warns developers

Developers had been warned against setting “excessive prices” on new homes, Qingdao city’s authorities said in a Sina Finance report. Homes in the second phase of a development project cannot be higher than the average price in a month, the city’s housing authority and land resources agency added.

Cuts in power prices expected this year

Electricity prices for corporations are set to be reduced following a proposal to improve market efficiency, the Economic Information Daily reported on Monday. After reforms began last year, the third batch of 14 grid companies are set to announce distribution prices by the end of June.

Reform of SOEs in final stage

After state-owned enterprises (SOEs) become corporations, investors are forbidden from intervening in their business activities the State Council said in a guideline, Securities Daily reported on Saturday. The deadline on SOEs to complete reforms is the end of this year.

Bike-sharing app users’ deposits must go in set bank account

Deposits from users of bike-sharing apps such as oFo and Mobike should be held in a specific bank account to prevent money being used for investments or loan payments, Beijing’s finance bureau said in a Caixin report on Sunday.

AIIB will expand membership to 85 by year-end

Asian Infrastructure Investment Bank (AIIB) President Jin Liqun says 85 countries and regions will become members by the end of this year, the Paper reported. China intends to serve people around the world with its experience of the reform and opening up, Jin said at the Jiangsu Development Forum on Saturday,

Apple to expand ban on “reward the author” option

Apple wants a 30% share of the “reward the author” option for users who buy games, videos and music via Alipay and WeChat in a bid to stem eroding revenue in China, Yicai reported. Apple closed the optional service on WeChat last month, where users can pay a reward as appreciation of the app, game or song.

Rules on Beijing’s online car/taxi bookings take effect

Sina said the Beijing municipal government allowed five online platforms to start a car and taxi booking service before industry regulations formally took effect on May 18. The government said only local drivers whose private cars were licensed in Beijing can be on the five platforms.