Full text: Report on national economic, social development

6. We will accelerate reforms in key areas and crucial links and increase the impetus and vitality of economic and social development.

1) We will further deepen the reform of pharmaceutical and health care systems. We will further expand the coverage of basic medical insurance, accelerate development of the national system for basic drugs, implement major public health projects and projects for basic public health services, improve our capacity for medical relief in response to public health emergencies, carry out pilot projects for the reform of public hospitals, and accelerate the reform of pricing mechanisms for medical care and drugs. The national system for basic drugs will cover 60% of government-financed, community-level medical and health care institutions this year.

2) We will make steady progress in reforming resource product prices and environmental protection charges. We will continue to implement pilot projects for public bidding among power plants for the right to supply electricity to power grids and for direct trade between large electricity users and power plants. We will implement a progressive electricity pricing system for households and improve the pricing and subsidizing mechanisms for electricity generated from renewable sources. We will continue the reform of water prices and expand the collection of sewage treatment fees. We will reform the way in which garbage disposal fees are collected. We will press ahead with emissions cap and trade trials.

3) We will deepen SOE reforms. We will press ahead with the strategic readjustment and reorganization of the public sector; accelerate reforms to institute a corporate system or a stockholding system in large SOEs, particularly parent corporations of central government enterprises; make progress in setting up standardized boards of directors in central SOEs; and improve corporate governance and the system of executive pay and bonuses. We will continue to implement the reform of monopoly industries, relax controls over market access, and actively introduce a competitive system.

4) We will unswervingly encourage, support and guide the development of the non-public sector. We will increase support for this sector via financial, fiscal and tax policies; provide it with equal treatment in policies on public biddings and government procurement; modify discriminative laws, regulations and policies against it related to financing, foreign exchange control and land use; and foster a market environment conducive to fair competition among economic entities under all types of ownership.

5) We will improve systems and mechanisms that benefit agricultural and rural development. We will stabilize and improve the basic system for rural operations and carry out the reform of the rural land management system in an orderly manner. We will deepen the reform of tenure in collective forests and begin reforming tenure in state-owned forests. We will carry out reform in the contracting of pastureland and restructure state farms built on reclaimed land.

6) We will accelerate the reform of fiscal and tax systems. We will establish a sound public finance system in which the financial resources of governments are in line with their respective responsibilities. We will improve the transfer payment system and enhance local governments' capacity to provide basic public services. We will improve the systems of sales tax and real estate tax. We will accelerate the reform of resource taxes. We will extend the urban construction and maintenance taxes and education surcharges to foreign enterprises and nationals.

7) We will continue to promote reform of the financial system. We will standardize corporate governance in commercial banks, encourage the Import and Export Bank of China and the Agricultural Development Bank of China to deepen internal reforms, continue to reform rural credit cooperatives, accelerate the development of small financial institutions to serve rural areas and small and medium-sized enterprises, and expand the trials of small and medium-sized enterprises issuing corporate bonds. We will improve the system of financial oversight and supervision.

8) We will deepen reform of the investment system. We will improve the system for assessing completed investment projects, the public notice system for major investment projects, and the accountability system for decisions made on investment projects. We will formulate regulations for managing the contractor system for construction projects, and improve the system for managing government investment. We will promptly set up a system for managing industrial investment funds and improve the venture capital system.