In the future, the Energy Law will determine the direction in which the energy market will play a fundamental role in the market. In terms of property rights, it will allow diversified investment entities, encourage various types of capital to invest in energy development and production, and emphasize the need to protect their legitimate rights and interests.
The Energy Law, drafted by the Energy Office of the State Council, is expected to form a “draft draft†in October.
The basic law in the energy sector will involve regulatory issues in areas such as energy development and circulation, and the principles of market allocation of resources are expected to be established.
The first draft was formed in October
On August 26, Ma Kai, director of the National Development and Reform Commission, reported to the Standing Committee of the National People's Congress on energy conservation and environmental protection. Among the several measures mentioned in the report, he mentioned “actively drafting the Energy Lawâ€.
The Energy Law was drafted by the Energy Office of the State Council. The drafting work has now reached the stage of the “fourth draft of the working draftâ€. According to the plan, a "draft draft" will be formed in October. Ye Rongzhen, the president of the Energy Law Research Association of the China Law Society and the deputy head of the energy law drafting expert group, said that "the first draft will be closer to the 'review draft'."
The subdivision of the nature of the draft embodies the rigor and prudence of the drafting work, but at the same time reveals the difficulty of legislation. Previously, the drafting group conducted a large-scale case study and completed the outline of the Energy Law at the end of last year.
In March of this year, the “work draft†was formed. On the basis of extensive solicitation of opinions, a draft of the working draft was formed at the end of June. In the meantime, opinions from energy companies and industry associations in the fields of coal, electricity, oil and natural gas were also sought, and several high-level seminars were held.
The general framework of the draft is gradually revealed. Nearly thirteen chapters and more than ninety drafts cover general principles, energy management and supervision, energy strategy and planning, energy development and production, energy supply and services, energy conservation, energy reserves, rural energy, fiscal incentives and constraints, International cooperation in energy, legal responsibilities and by-laws.
According to this newspaper, the fourth draft has two issues to be resolved.
One is that the content of the chapter on legal liability has not been designed with specific terms. This involves the responsibilities and accountability of the relevant management departments and their responsible persons, which is more difficult. There have been some attempts to “hard†regulations, such as clarifying quantitative indicators for energy conservation and emission reduction, and clarifying energy substitution targets in energy planning. Later, they were not controversial and had no results.
Another regulation related to energy emergency. Energy supply security and emergency issues are not covered in the Emergency Response Law that has just been adopted. These problems are different from the safety of energy accidents. Therefore, the principles, methods and procedures of energy emergency need to be closely linked to the Energy Law and the Emergency Response Law.
For these two issues, the two research topics initiated by the drafting group have been completed by the end of August. Related issues are also expected to reach preliminary conclusions.
After the results of the study at the end of June, the comments on the draft also dealt with climate change issues. At the beginning of June, the National Climate Change Response Plan issued by the State Council proposed various measures. The Energy Law also needs to be reflected. In addition to the principles of coordinated development of energy, environment and economy, the contents of energy conservation, ecological protection and other aspects have yet to be supplemented. For example, energy utilization after development and production areas needs to be strengthened.
The energy management system will be clear
One of the most concerned issues in the drafting of the energy law is the issue of energy management systems.
Since the reform and opening up, China's energy management system has undergone several changes, and the management institutions have always been divided. The Energy Commission, established in 1982, was revoked two years later. The Department of Energy, established in 1988, was also withdrawn in 1993. After that, each energy source has been managed by different departments.
In 2003, the Energy Bureau was established under the National Development and Reform Commission. In 2005, the National Energy Office under the National Energy Leading Group was established. In recent years, discussions on the establishment of the Ministry of Energy have continued to heat up. It is the comprehensive competent department that sets up the "great unity", or draws on international experience and has a separate authority and a number of regulatory agencies.
The drafting of the Energy Law cannot avoid this problem. Many opinions hope to be scientifically and reasonably involved, and do not have to be rigidly attached to the current system.
According to this newspaper, the principle determined in the third draft of the work paper is “unified management, hierarchical responsibility, coordination, and consistency of powers and responsibilitiesâ€. Specifically, it refers to the establishment of the energy authority of the State Council and the energy regulatory agencies under its leadership.
The energy department of the State Council is responsible for national energy management and has a wide range of functions, including energy strategy, planning, regulations, energy development and utilization, energy conservation, energy storage and emergency response, energy information and forecasting, industrial policy and market access, etc. Other work of the department. The relevant departments are responsible for their respective responsibilities.
Local governments above the county level will also set up energy authorities. Government departments at all levels receive business guidance from energy authorities in energy management, and guidance between the energy authorities at the lower and upper levels.
In addition, an energy market regulatory agency will be established, under the leadership of the energy authority, responsible for professional work in market operations, market transactions, general services, and consumer protection. Market regulators can also be authorized to work on energy conservation and consumption reduction.
However, many experts said that it is still only a relatively principled regulation, and the final management system remains to be decided.
In addition, the responsibilities of the energy authorities and relevant departments have yet to be specified to prevent powers and responsibilities. Moreover, relevant coordination mechanisms should be established and improved.
Market orientation
For private oil companies, the principle of market allocation resources that the Energy Law is expected to establish may bring them a real “springâ€.
At the "2007 China Petroleum Circulation Industry Development High-Level Forum" on September 1, many private enterprise bosses expect the implementation of the Anti-Monopoly Law to break the monopoly in the energy sector. Some people are optimistic that Article 7 of the Law stipulates that "the state-owned economy accounts for the relationship between the national economy and the national security industry and the industry that specializes in monopoly according to law, and the state protects the legitimate business activities of its operators."
Ye Rongzhen analyzed that this regulation has a certain degree of exemption for the energy industry, but the issue of the "Anti-Monopoly Law" will be considered in the formulation of the Energy Law.
Li Pumin, director of the Policy Research Office of the National Development and Reform Commission, said at the forum that the "Anti-Monopoly Law" and "36 Non-public Economy" should be implemented, give full play to the basic role of market allocation of resources, continue to break monopoly and relax market access.
Li Pumin's point of view is consistent with the direction that the Energy Law will determine in the future, that is, fostering the energy market to play a fundamental role in the market. For example, in terms of property rights, it will allow diversified investment entities, encourage various types of capital to invest in energy development and production, and emphasize the need to protect their legitimate rights and interests.
However, in the natural monopoly of the energy industry, state holdings must be determined. For the areas related to national security and the lifeline of the national economy, state-owned or state-owned absolute holdings will be implemented.
At a seminar held at Tsinghua University in early July, Wu Zhonghu, a researcher at the Energy Research Institute of the National Development and Reform Commission and a member of the Energy Law Drafting Expert Group, said that access to oil, natural gas and nuclear energy minerals requires approval from the competent energy authorities and land. License for the resource department. Access to energy supply and services is also managed by the energy authorities.
The principle of marketization is also reflected in the price formation mechanism. The current preliminary design is to establish a price formation mechanism that is conducive to environmental protection, reflecting resource scarcity, environmental costs and market supply and demand.
For the price of pipe network facilities that are naturally monopolized, and the prices of products and services that do not have market competition conditions, government pricing or government guidance prices will be implemented.
However, these regulations are still too principled. Many experts believe that the introduction of market competition mechanism is very important. The law should preferably be able to specify the specific content of the degree of competition, the degree of openness to private capital and foreign capital, especially the criteria for determining market access, and improve the design of relevant rules.
The authenticity of this information has not been confirmed by the international electrical network, for your reference only.
The Energy Law, drafted by the Energy Office of the State Council, is expected to form a “draft draft†in October.
The basic law in the energy sector will involve regulatory issues in areas such as energy development and circulation, and the principles of market allocation of resources are expected to be established.
The first draft was formed in October
On August 26, Ma Kai, director of the National Development and Reform Commission, reported to the Standing Committee of the National People's Congress on energy conservation and environmental protection. Among the several measures mentioned in the report, he mentioned “actively drafting the Energy Lawâ€.
The Energy Law was drafted by the Energy Office of the State Council. The drafting work has now reached the stage of the “fourth draft of the working draftâ€. According to the plan, a "draft draft" will be formed in October. Ye Rongzhen, the president of the Energy Law Research Association of the China Law Society and the deputy head of the energy law drafting expert group, said that "the first draft will be closer to the 'review draft'."
The subdivision of the nature of the draft embodies the rigor and prudence of the drafting work, but at the same time reveals the difficulty of legislation. Previously, the drafting group conducted a large-scale case study and completed the outline of the Energy Law at the end of last year.
In March of this year, the “work draft†was formed. On the basis of extensive solicitation of opinions, a draft of the working draft was formed at the end of June. In the meantime, opinions from energy companies and industry associations in the fields of coal, electricity, oil and natural gas were also sought, and several high-level seminars were held.
The general framework of the draft is gradually revealed. Nearly thirteen chapters and more than ninety drafts cover general principles, energy management and supervision, energy strategy and planning, energy development and production, energy supply and services, energy conservation, energy reserves, rural energy, fiscal incentives and constraints, International cooperation in energy, legal responsibilities and by-laws.
According to this newspaper, the fourth draft has two issues to be resolved.
One is that the content of the chapter on legal liability has not been designed with specific terms. This involves the responsibilities and accountability of the relevant management departments and their responsible persons, which is more difficult. There have been some attempts to “hard†regulations, such as clarifying quantitative indicators for energy conservation and emission reduction, and clarifying energy substitution targets in energy planning. Later, they were not controversial and had no results.
Another regulation related to energy emergency. Energy supply security and emergency issues are not covered in the Emergency Response Law that has just been adopted. These problems are different from the safety of energy accidents. Therefore, the principles, methods and procedures of energy emergency need to be closely linked to the Energy Law and the Emergency Response Law.
For these two issues, the two research topics initiated by the drafting group have been completed by the end of August. Related issues are also expected to reach preliminary conclusions.
After the results of the study at the end of June, the comments on the draft also dealt with climate change issues. At the beginning of June, the National Climate Change Response Plan issued by the State Council proposed various measures. The Energy Law also needs to be reflected. In addition to the principles of coordinated development of energy, environment and economy, the contents of energy conservation, ecological protection and other aspects have yet to be supplemented. For example, energy utilization after development and production areas needs to be strengthened.
The energy management system will be clear
One of the most concerned issues in the drafting of the energy law is the issue of energy management systems.
Since the reform and opening up, China's energy management system has undergone several changes, and the management institutions have always been divided. The Energy Commission, established in 1982, was revoked two years later. The Department of Energy, established in 1988, was also withdrawn in 1993. After that, each energy source has been managed by different departments.
In 2003, the Energy Bureau was established under the National Development and Reform Commission. In 2005, the National Energy Office under the National Energy Leading Group was established. In recent years, discussions on the establishment of the Ministry of Energy have continued to heat up. It is the comprehensive competent department that sets up the "great unity", or draws on international experience and has a separate authority and a number of regulatory agencies.
The drafting of the Energy Law cannot avoid this problem. Many opinions hope to be scientifically and reasonably involved, and do not have to be rigidly attached to the current system.
According to this newspaper, the principle determined in the third draft of the work paper is “unified management, hierarchical responsibility, coordination, and consistency of powers and responsibilitiesâ€. Specifically, it refers to the establishment of the energy authority of the State Council and the energy regulatory agencies under its leadership.
The energy department of the State Council is responsible for national energy management and has a wide range of functions, including energy strategy, planning, regulations, energy development and utilization, energy conservation, energy storage and emergency response, energy information and forecasting, industrial policy and market access, etc. Other work of the department. The relevant departments are responsible for their respective responsibilities.
Local governments above the county level will also set up energy authorities. Government departments at all levels receive business guidance from energy authorities in energy management, and guidance between the energy authorities at the lower and upper levels.
In addition, an energy market regulatory agency will be established, under the leadership of the energy authority, responsible for professional work in market operations, market transactions, general services, and consumer protection. Market regulators can also be authorized to work on energy conservation and consumption reduction.
However, many experts said that it is still only a relatively principled regulation, and the final management system remains to be decided.
In addition, the responsibilities of the energy authorities and relevant departments have yet to be specified to prevent powers and responsibilities. Moreover, relevant coordination mechanisms should be established and improved.
Market orientation
For private oil companies, the principle of market allocation resources that the Energy Law is expected to establish may bring them a real “springâ€.
At the "2007 China Petroleum Circulation Industry Development High-Level Forum" on September 1, many private enterprise bosses expect the implementation of the Anti-Monopoly Law to break the monopoly in the energy sector. Some people are optimistic that Article 7 of the Law stipulates that "the state-owned economy accounts for the relationship between the national economy and the national security industry and the industry that specializes in monopoly according to law, and the state protects the legitimate business activities of its operators."
Ye Rongzhen analyzed that this regulation has a certain degree of exemption for the energy industry, but the issue of the "Anti-Monopoly Law" will be considered in the formulation of the Energy Law.
Li Pumin, director of the Policy Research Office of the National Development and Reform Commission, said at the forum that the "Anti-Monopoly Law" and "36 Non-public Economy" should be implemented, give full play to the basic role of market allocation of resources, continue to break monopoly and relax market access.
Li Pumin's point of view is consistent with the direction that the Energy Law will determine in the future, that is, fostering the energy market to play a fundamental role in the market. For example, in terms of property rights, it will allow diversified investment entities, encourage various types of capital to invest in energy development and production, and emphasize the need to protect their legitimate rights and interests.
However, in the natural monopoly of the energy industry, state holdings must be determined. For the areas related to national security and the lifeline of the national economy, state-owned or state-owned absolute holdings will be implemented.
At a seminar held at Tsinghua University in early July, Wu Zhonghu, a researcher at the Energy Research Institute of the National Development and Reform Commission and a member of the Energy Law Drafting Expert Group, said that access to oil, natural gas and nuclear energy minerals requires approval from the competent energy authorities and land. License for the resource department. Access to energy supply and services is also managed by the energy authorities.
The principle of marketization is also reflected in the price formation mechanism. The current preliminary design is to establish a price formation mechanism that is conducive to environmental protection, reflecting resource scarcity, environmental costs and market supply and demand.
For the price of pipe network facilities that are naturally monopolized, and the prices of products and services that do not have market competition conditions, government pricing or government guidance prices will be implemented.
However, these regulations are still too principled. Many experts believe that the introduction of market competition mechanism is very important. The law should preferably be able to specify the specific content of the degree of competition, the degree of openness to private capital and foreign capital, especially the criteria for determining market access, and improve the design of relevant rules.
The authenticity of this information has not been confirmed by the international electrical network, for your reference only.
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