NewEnergyNews: CHINA BOOSTS ENERGY'S PRIVATE SECTOR

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    Friday, December 13, 2013

    CHINA BOOSTS ENERGY'S PRIVATE SECTOR

    Chinese Reform Proposals Boost Prospects for Private Enterprises

    December 11, 2013 (IHS Inc.)

    "China’s new policy guidelines call for limitations on the activities of state-owned enterprises (SOE), potentially evening the playing field for private companies competing in key industries, particularly the energy sector…Based on the road map [from the Third Plenum of the Chinese Communist Party’s (CCP) 18th Congress], economic reforms will accelerate, with a focus on setting boundaries for the state’s involvement in the market and allowing private enterprise a more prominent role…This represents a critical turning point…particularly in capital-intensive sectors such as energy…[It reaffirms] the role of SOEs in areas where natural monopoles exist—such as natural gas pipelines and electric power transmission—the new principles could result in more fair market conditions for private enterprises…[There will also] be greater emphasis on the environment…[M]any existing trends, such as switching from coal to gas…stricter enforcement of environmental regulations…[and] efforts to price carbon emissions will continue…” click here for more

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