Rule of Law Affirmed Through Price Hearing

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Last updated at: (Beijing Time) Monday, January 07, 2002

Rule of Law Affirmed Through Price Hearing

China's first ever hearing on price setting at the central government level, scheduled for this month and focused on the pros and cons of raising ticket prices during the peak time of passenger transport around the Chinese Lunar New Year, is a proof that the rule of law is upheld in the country, a senior official said Sunday.

New concept

China's first ever hearing on price setting at the central government level scheduled for this month is proof that the rule of law is upheld in the country, a senior official said Sunday.

Wang Yang, deputy minister in charge of the State Development Planning Commission (SDPC), told a press conference that SDPC will hold a government-sponsored hearing on setting prices of railway tickets January 12. The discussion will focus on the pros and cons of raising ticket prices during the peak time of passenger transport around the Chinese Lunar New Year.

Public input on pricing is a new concept for Chinese, Wang said. It's being done now to involve common people or interested parties in the decision-making process of the government, he said.

More than 100 million people travel by train throughout China during the holiday every year, producing the largest seasonal rail passenger traffic in the world.

General public in decision making

China enacted the Price Law in 1998, introducing the idea of public hearings into the process of price-setting by the government. In August 2001, interim regulations of hearings on government decision on prices were put in force. And last October, SDPC released a list of price items that are subject to hearings.

Wang said 33 delegates will participate in the January 12 hearing on railway ticket prices. Included in the group will be 12representatives of the general public along with employees of the railway transport system, government officials, scholars and legislators.

If the majority of the delegates reject the further price hikes, the Ministry of Railways will abandon its plan to raise ticket prices.

Railway Ministry Taken to Court for Spring Price Hikes

A case launched by a lawyer against the Ministry of Railways kicked off last July at the Beijing No 1 Intermediate People's Court.

Lawyer Qiao Zhanxiang from North China's Hebei Province is taking the ministry to court over railway price hikes during the Spring Festival peak travel period. It is the first time that the ministry, which still monopolizes railway transport across the country, has been brought to court in this way.

Lawyer Qiao Zhanxiang claimed that the Ministry of Railways' practice of raising the railway ticket price by 20 to 30 per cent during the Spring Festival peak travel period was illegal because it does not have the right to raise prices.

The decision of the ministry has violated the legitimate rights of the consumers, including himself, said Qiao. (In Detail)

Public Encouraged to Participate in Pricing Process

Hearing Before Government Policy Making Stressed