New 5-Year Plan, Zhu's Report Approved with Amendments

The Fourth Session of the National People's Congress (NPC) passed the Outline of the Tenth Five-Year Plan for National Economic and Social Development (2001- 2005) and Premier Zhu Rongji's report on the outline at the closing session Thursday after they have been revised according to the opinions of NPC deputies.

According to the final version, 36 additions or deletions were made in the outline and 23 in the premier's report.

The major additions or deletions in the outline are as follows:

-- In the chapter "strengthening agriculture as the economic foundation and promote the rural economic development in an all- around way", the original wording "to protect and improve the capability of grain production" and "to improve the capability of grain production" has shortened to "to stabilize the capability of grain production."

-- To the section "deepening rural reforms" has been added such phrases as "to reduce the number of village cadres who receive government allowances and really lighten the burdens of farmers."

-- To the contents about water conservancy and hydropower projects have been added such contents as the harnessing and control of the Tarim River and the Heihe River and the building of a large hydropower station at Pubugou.

-- In the passage on the great western China development, the rendition "further help areas inhabited by people minority nationalities accelerate their development" has been rephrased as "Make greater efforts to accelerate the overall economic and social development of minority nationalities and the areas inhabited by people of minority nationalities" and "pay attention to supporting the development of minority nationalities that have a small population."

-- Also added to the outline plan are "To strengthen the research and development of application marine technology" and "to improve the environment monitoring system".

-- In the passages about the improvement of the market system and about governing the country by law, the phrase "oppose local protectionism" has been added.

-- To the section on deepening state-owned enterprise reform has been added "actively smooth out and standardize step by step the channels for market withdrawal by enterprises, especially those listed on the stock market."

-- The passage "In principle, domestic investment is allowed into areas that are open to foreign investment" is rephrased into "domestic investment may get the access to all areas that are open to foreign investment."

-- To the section on the reform of administrative management system and government organs has been added "to display the roles of chambers of commerce, industrial associations and other intermediary organizations."

-- The passage "To establish and improve the incentive and restrictive mechanisms with regard to income distribution, carry out experiments in the introduction of the annual salary system and the holding of stock options by state-owned enterprise leaders and backbone technical personnel, and give full expression in income distribution to the value of labor in scientific and technical work and management" has been revised into "to establish and improve the incentive mechanism with regard to income distribution and raise the salaried remuneration for senior management personnel and technical personnel of state-owned enterprises in order to recognize the value of their labor. Experiments may be carried out on the annual salary system. Experiments may also be carried out on the holding of stock options by managers and backbone technical personnel of state- owned enterprises listed on the stock market. At the same time, it is necessary to build tight restrictive, oversight and sanction systems."

-- The passage "To step up the building of national defense mobilization system and increasing the abilities of switching from peace-time disposition to readiness against war" has been rephrased into "to step up the building of the national defense mobilization system, enhance the strength of the reserve forces of national defense and improve the abilities of switching from peace- time disposition to readiness against war."

Major revisions of the premier's report on the outline plan are as follows:

-- To the section about the restructuring of agriculture and rural economy has been added the phrase "strengthen the building of socialized service system for agriculture". To the end of the sentence "... develop small towns" has been added "to make the economies of small towns flourish". To the end of the section about anti-poverty work has been added "continue to strengthen anti-poverty work".

-- To the section about the transformation and upgrading of traditional industries" has been added such contents as "Cities and large mining areas, which mainly engage in resources development, should develop successive and substitute industries in the light of local conditions". In the section about infrastructure construction and resources strategy, the part on the water price formation mechanism has been changed into "build a system for the management and rational utilization of water resources and a water price formation mechanism". Following the wording "strengthen water pollution control" has been added "do well in sewage water treatment and utilization". The phrasing "try every means to economize the use of petroleum" has been changed into "try every means to economize the use of and substitute for petroleum". To the passage about power industry has been added a sentence "strengthen the construction and transformation of urban and rural power grids and promote the interconnection of power grids in the whole country."

-- To the paragraph about western development has been added " to accelerate the pace of converting resources advantages into economic advantages."

-- To the two paragraphs about education have been added "pay attention to the early stage development of children", "pay particular attention to moral education among young people and children", and "county governments must be responsible for the overall planning of basic education expenses, work out measures for the unified issue of wages for teachers in order to meet the requirements of the new situation in the reform of rural taxation and fee collection systems. The central finance and provincial finances must increase transfer payments and investment in earmarked projects in areas with financial difficulties and in areas inhabited by people of minority nationalities."

-- To the paragraph about opening up has been added "To actively direct more foreign investment to the central and western regions and to continue to run well special economic zones and the Pudong New Area."

-- To the section on ecological environment has been added the contents "strengthen the protection and development of natural grasslands" and "do well in city greening". The sentence "stress the protection of rural environment against pollution, pollution by farm chemicals in particular" has been changed into "stress rural pollution control and environmental protection."

-- To the paragraph about the building of spiritual civilization has been added "continue to carry out activities of building and creating spiritual civilization" and "bring cultural and economic policies to perfection."

-- To the sentence "We shall render full support to the chief executives and governments of Hong Kong and Macao in their efforts to govern the regions according to law" has been added "and strengthen economic cooperation and exchanges between Hong Kong, Macao and the inland."






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