China to Reform Oil Pricing Mechanism
From China Daily
China’s top economic planner said Wednesday the country is studying a new fuel pricing scheme to make it reflect the global markets’ oil price fluctuations more swiftly.
Zhang Ping, head of the National Development and Reform Commission (NDRC), said the top economic planner spotted two major defects in the current oil product pricing mechanism, referring to the 22-working-day cycle and a 4-percent fluctuation in global oil prices as an adjustment flip-flop.
“The current mechanism fails to timely reflect the volatility in global oil prices,” Zhang told a press conference Wednesday on the sidelines of the parliament’s annual session.
