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The Chinese government has announced that public hearings will be held to decide the prices of certain goods and services.
The hearings will be organized by the State Development Planning Commission, the state's highest pricing authority.
The price hearings will cover goods and services of special importance to people's everyday lives and to national security, including domestic electricity, train and plane tickets and fixed-line and mobile phone charges.
Representatives from the relevant sectors will attend the hearings.
Branch pricing authorities and other organizations will not have the right to organize a fresh hearing once the initial hearing has set prices.
The commission has laid down strict regulations that set this requirement in stone, making it the first such action in China, said Wang Yang, vice-minister of the commission.
The action is aimed at scrutinizing government administration and attracting more members of the public to become involved in the pricing process.
Wang said the hearings will act as a stage for government bodies, consumers and producers to exchange ideas about pricing.
He added: "The public and media will be granted free access to the price-decision process. The aim is to protect the rights of consumers who will buy critical products or services such as water, mail and telecommunications."
In a separate development, the commission recently published a new regulation to curb price fraud.
A commission official said the regulation aims to help establish a credible system between market players.
The official, who refused to be identified, said: "At present, pricing fraud is rampant in the market and it's high time for the government to regulate."
Like other ministries, the commission recently cleared up its pricing regulations to bring them in line with World Trade Organization requirements.
Meanwhile, clarification has been demanded in the development of the State's market system.
"Regulations have been going into effect since 1992 and now the situation in China has changed a lot," the official said.
Out of the 341 pricing regulations unveiled since 1992, 124 have been declared useless and 51 regulations will be revised.
"The clarification will be helpful to the present campaign to regulate the State's market regulations," the official said.
According to the official, the commission will post all its pricing regulations on its website at www.sdpc.gov.cn to facilitate public consultation.
Only 13 commodities and services are still controlled by the State commission's pricing authorities. Manufacturers and service-providers are free to set other prices.
(China Daily December 3, 2001)
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