Notice on Strictly Controlling the Chain Reaction of Refined Electricity Price Adjustment and Maintaining a Basic Stable Market Price (Dianfa Electric [2008] No. 209)

Development and Reform Commission [2008] No. 209

The Circular on Strictly Controlling the Chain Reaction of the Price Adjustment of Refined Oil Electricity and Maintaining a Basic Stability of Market Price

The provinces, autonomous regions, municipalities directly under the Central Government and cities under separate planning, sub-provincial provincial capitals, Xinjiang Production and Construction Corps Development and Reform Commission, Price Bureau, and Supervision Department (bureau):
Recently, the country raised the prices of refined oil products, announced plans for power price adjustments, and announced the implementation of temporary price interventions for power coal. In order to ensure the smooth implementation of various price adjustment measures, the chain reaction is kept to a minimum, and the market price remains basically stable. The relevant matters are hereby notified as follows:
First, conscientiously implement the adjustment plan for refined oil and electricity prices. All localities must strictly implement the relevant requirements of the “Notice of the National Development and Reform Commission on Adjusting the Price of Refined Oil” and the “Notice of the National Development and Reform Commission on Raising the Electricity Price” to ensure that the finished product is finished. The smooth introduction of the oil and electricity price adjustment plan as an important task has been well grasped. When adjusting the refined oil price, the prices of liquefied gas and natural gas will not be adjusted; when adjusting the price, there will be no adjustment to the price of electricity for residential life and agricultural and chemical fertilizer production, and the electricity prices in counties (cities) that are seriously affected by the earthquake disaster in Sichuan, Shaanxi, and Gansu provinces. No adjustment. All departments should cooperate closely, divide labor and cooperation to ensure that all price adjustment policies and measures are put in place, and the full amount of subsidy funds is cashed in the hands of subsidized targets within a limited time. The provincial-level pricing authorities shall, in accordance with the requirements of the National Development and Reform Commission, step up research and evaluation of the electricity price adjustment implementation plan and issue price adjustment measures on time. All localities must strengthen monitoring and analysis of prices and market supply and demand in refined oil, electricity, transportation, and other related industries, closely follow the dynamics of market changes, coordinate and resolve various conflicts and problems in a timely manner, and ensure that the market is operating smoothly after the introduction of the price adjustment plan.
II. Strict implementation of temporary intervention measures for coal prices Various localities must strictly implement the "National Development and Reform Commission's Announcement on Implementing Interim Measures for Intervention of Coal for Power Generation in the Whole Country," and supervise the coal production enterprises to strictly implement the National Development and Reform Commission's temporary use of coal for power generation. The price intervention measures ensure that the coal mining company's mining price (plate price) for power generation coal during the price intervention does not exceed the actual settlement price on June 19, 2008. At the same time, in order to stabilize the market sales price of non-essential contract coal, it is necessary to adopt measures such as limiting the price difference to control the cost of circulation.
III. Strictly control the scope and magnitude of price increase of downstream products
After the price adjustment of refined oil products, the prices of railway passenger transport, urban public transport, and rural road passenger transport (including inter-island and rural waterway passenger transport), which are closely related to the residents' consumption, will not increase, and taxi tariffs will not be adjusted temporarily. The impact on the taxi industry will be resolved in the near future by increasing financial subsidies. The price of passenger transportation, such as local railways and local holding joint-venture (cooperative) railways, which are managed by the provincial-level price authorities, shall not be adjusted. For other related transportation industries, we must supervise operators to reduce costs and try to absorb the incremental factors that affect the price adjustment of upstream products. On this basis, we must fully consider the market supply and demand conditions and social affordability, and make overall plans for the interests of operators and consumers. , strictly control the price adjustment. At the same time, it is necessary to continue to clear up rectification fees, increase government fee reductions, and exempt all through-bridge expenses for live agricultural products such as vegetables and live pigs transported by vehicles, and implement the exemption of overpass fees for transporting earthquake relief materials to the earthquake-stricken areas. Preferential policies, efforts to reduce transport costs, reduce the burden on operators.
Fourth, continue to strengthen the price management All localities must take a variety of measures, it is forbidden to open the goods to take the opportunity to take the car up prices, disguised price increases. The prices of public utilities such as gas supply, water supply, and heating, which are closely related to the lives of the people, should be kept stable in terms of school tuition, accommodation fees, and medical service prices. In accordance with the National Development and Reform Commission’s Implementation Measures on Implementing Provisional Price Intervention Measures for Certain Important Commodities and Services, and the “Emergency Notification on Strengthening the Supervision of Earthquake Disaster Relief Tents and Transitional Resettlement Houses and Prices of Raw Materials for Production” and “Resources for post-disaster reconstruction The "Regulations on Supplying Enhanced Price Regulation" requires continued efforts to strengthen the daily necessities of food, edible vegetable oil, meat, eggs, milk, liquefied petroleum gas, etc., as well as steel, glass, cement, brick, sand, and other earthquake relief materials and post-disaster reconstruction materials prices. Supervision will prevent unreasonable price increases and ensure market supply.
V. Strengthen price supervision and inspection The price supervisory departments at all levels should intensify price supervision and inspection, and severely crack down on various price violations in accordance with the law. It is necessary to strengthen cooperation with discipline inspection, supervision, public security, industry and commerce, quality supervision, and news organizations, focus on time, concentrate resources, strengthen market inspections, and intensify the inspection of refined oil, power, and coal production and operation enterprises and related industries, and Combat price violations. Violation of national policy provisions, expansion of scope, increase of margins or early adjustment of prices; no government intervention for temporary price intervention, unauthorized price increases; adjustment of refined oil, electricity prices, fabrication, dissemination of price information, drive up prices; mutual collusion , manipulate market prices; or beyond the scope of cost increase, a substantial increase in product prices; and to take the extra price (plus fees), shoddy, fake false positive, short of catty and other fraudulent means to increase prices in disguise, etc. Just when the price is illegal, it must be severely punished according to law. The public should be given timely exposure to typical cases of severe nature and impact, and the relevant departments should be asked to investigate the administrative and criminal liabilities of the relevant personnel. It is necessary to unblock the 12358 price report phone, seriously accept complaints from the masses, resolve price conflicts in a timely manner, and effectively maintain social harmony and stability.
VI. Strict Work Discipline The supervisory departments at all levels must strengthen the supervision over the implementation of the national price policy by the relevant departments, supervise the governments at all levels and relevant departments to conscientiously perform their duties, perform administration according to law, and supervise according to law. It is necessary to vigorously support and coordinate with the relevant departments to do a good job of strengthening price supervision and increase the intensity of enforcement. Regardless of the overall situation, if the central government fails to implement or strengthen the central government's measures to strengthen price supervision and related work requirements, it will not implement the price adjustment measures without authorization, and will withhold funds from embezzlement and use of state subsidies; it will fail to organize, policies will not be implemented properly, and work will result in dereliction of duty or cause serious consequences. In case of bad influence, the government supervisory departments at all levels must, together with the relevant departments, investigate the responsibility of party and government officials in accordance with the law.
The development and reform commissions, supervision agencies (bureaus) and price bureaus at all levels must unify their thinking, fully understand the significance of controlling the chain reaction after the adjustment of refined oil and electricity prices, and maintain the basic stability of market prices; they must be unified leaders of local party committees and governments. Next, coordinate with relevant departments, take effective measures, and implement the decisions of the State Council’s macroeconomic regulation in a down-to-earth manner. The main responsible comrades of various departments must personally implement the work, properly deal with various problems of propensity and tendency, and strive to maintain market prices stable and social stability.


National Development and Reform Commission

Ministry of Supervision, June 21, 2008, June 21

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