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Text of Chinese Government Opinions on Developing Safe Coal Industry

Posted on: Tuesday, 6 September 2005, 09:00 CDT

The Chinese government has issued opinions on promoting the development of a safe and sustainable coal industry. The opinions outline requirements, which include stricter supervision of the coal industry, preventing accidents, cracking down on illegal or unqualified mines and corruption and punishing officials for negligence, protecting the safety of workers, and promoting environmental protection and the sustainable use of coal resources. The following is the text of the report by official Chinese news agency Xinhua (New China News Agency); subheadings as carried

Beijing 22 July: Some Opinions of the State Council on Promoting Healthy Development of the Coal Industry

Coal is our country's important basic energy source and raw material, and occupies an important strategic position in the national economy. In our country's primary energy source structure, coal will be the main energy source for a long period. Since the beginning of reform and opening up, the coal industry has made great strides forward. The output of coal has increased steadily, the production technology has been gradually improved, and conditions for safe production of coal have registered some improvement. The coal industry has played an important role in promoting national economic and social development. Nevertheless, in the course of the development of the coal industry, there are still quite a few conspicuous problems, including unreasonable economic structure, extensive operation to increase production, low level of science and technology, frequent accidents, serious waste of resources, lack of progress in environmental protection, and unsolved historical problems. With the development of our country's national economy, the demand for coal has been constantly increasing and the pressure of coal sources, environmental protection and safe production requirements has further intensified. In order to promote a sustained, stable and healthy development of the coal industry and satisfy the demand of national economic development, the State Council hereby puts forward the following opinions:

1. Guiding ideology, goals of development, and basic principles

(1) Guiding Ideology: It is necessary to take Deng Xiaoping Theory and the important thinking of the "Three Representations" [Chinese: san ge dai biao; on the importance of the Communist Party in modernizing the nation - representing the demands for the development of advanced social productive forces, the direction of advanced culture, and the fundamental interests of the greatest majority of the people] as guidance, fully implement a scientific development outlook, persist in relying on scientific and technological progress, and follow the road of sustainable development of the coal industry with high utility of resources, safe production, good economic results and less environmental pollution. It is necessary to always place safe production in the primary position of all work; build large-scale coal production bases; develop large-scale coal enterprises and enterprise groups as the main direction; make overall arrangements to coordinate the development of the coal industry with related industries, coordinate the development of the coal industry with protection of the ecological environment, and coordinate the development of the coal industry with regional economic development; develop a new type coal industry system that fits in with a socialist market economy; realize a sustained, stable and healthy development of the coal industry; accelerate the building of a resource-conserving society; and provide reliable energy sources for the building of a "well-off society" in an all-round way.

(2) Goals of Development: Starting from 2005, we should make efforts for three to five years to establish a good order in the development of coal resources, achieve initial results in building large-scale coal production bases, set up a number of large-scale coal enterprises and enterprise groups capable of producing 100m metric tonnes of coal, make a fairly big improvement in basic conditions for safe production, have effective control of methane in coal mines, effectively curb the trend of occurrence of major and especially serious accidents, significantly improve the situation of safe production of coal mines, control in the main the deterioration of the ecological environment in mining areas, and gradually improve regulations and policies for coal production. We should use approximately five more years to form a supervision and control system for the development of energy sources with emphasis on reasonable protection and economical tapping of natural resources, establish a coal supply system with large-scale coal production bases and large-scale coal enterprise groups as principal supply units, ensure the development of a safe production system with improved management and increase in input, rely on advanced technology, and establish a revolving economy that centres on promoting comprehensive use of coal and improving environment of coal mines. We should also make adjustments for rules and regulations and policies based on the "Coal Production Law of the People's Republic of China" and the "Mineral Resources Law of the People's Republic of China".

(3) Basic Principles: We should follow the principle of persisting in the development of advanced productive forces and the elimination of backward productive forces. On the one hand, we should accelerate the construction of modernized large-scale coal production bases, develop large-scale coal enterprises and enterprise groups, and promote the reorganization, merging and transformation of medium and small-size coal mines. On the other hand, we should continue to close down small coal mines with an unreasonable layout, unsatisfactory safe production conditions, waste of resources and damage to the ecological environment in accordance with the law. We should adhere to the principle of integrating temporary solutions with a permanent cure, and effectively solve conspicuous problems that adversely influence the healthy development of the coal industry. In the mean time, it is necessary to make efforts to adjust and improve rules, regulations and policies, and raise conditions for the prospecting of coal resources and the approval of mining operations. We should firmly adhere to the policy of "putting safety first and considering prevention of accidents as the main thing" and the principle of comprehensive management. We should have a good education and legal system to ensure safety, affix responsibility for safety, use science and technology for safety, and make adequate investment for the safety of coal mines. We should adhere to the principle of integrating state guidance and assistance with enterprises' development through their own efforts. We should not only help enterprises solve problems left by history and create a good market environment for fair competition, but also respect the right of enterprises in development through their own efforts. We should adhere to the principle of integrating structural reform with the innovation of systems. We should help coal mines promote the establishment of a modern enterprise system and a system to ensure safe production and healthy development. We should help coal enterprises increase their vitality and competitiveness. We should adhere to the principle of integrating the production of coal with local economic and social development. We should reasonably develop and utilize coal resources, and promote the association of coal, electric power, metallurgical and chemical industries and the conversion of coal locally [mei tan jiu di zhuan hua] in order to have coordinated local economic and social development.

2. Intensify planning and management; improve supervision for the development of coal resources

(4) It is necessary to intensify the planning and management of coal resources. Coal resources are important strategic resources, and so we must improve management methods and realize the shift from extensive development and management to scientific and reasonable development and protective and economical management. We should scientifically and reasonably divide state programmed coal-mining areas and other mining areas with important value to the development of the national economy, and operate in an orderly manner according to the state plan. The division of state programmed coal-mining areas and other mining areas with important value to the development of the national economy shall be studied and proposed by the Ministry of Land and Resources and reviewed and determined in coordination with the State Development and Reform Commission. We should establish a coal resource strategic reserve system, and enforce protective measures for the production of special and rare types of coal.

(5) It is necessary to improve the administrative system for the management, production and development of coal resources. Units in charge of development and reform (of the coal industry) should strengthen supervision and administration of the building of coal mines and production of coal in accordance with development plans, policies, and laws and regulations. Land and resources departments at various levels should standardize prospecting and production of coal and registration of mining operation rights, and rectify and stop the approval and allocation of mineral resources without appropriate authority according to the "Mineral Resources Law of the People's Republic of China" and administrative rules and regulations issued by the State Council. The planning for coal production and the administration of mineral resources should be linked in close coordination. Units in charge of development and reform (of the coal industry) should solicit opinions from land and resources departments at the same level as an important basis for approval prior to formulating plans for coal production and development and drafting an overall plan for mining operations. The land and resources departments should solicit opinions from units in charge of development and reform (of the coal industry) at the same level as an important basis for approval prior to formulating plans for prospecting and production of coal and registration of coal-mining rights. The functional departments of local people's governments in coal-mining areas at various levels should effectively supervise mining operations, improve and strengthen regulatory systems, and strengthen the management of coal production.

(6) It is necessary to intensify efforts in the prospecting of coal resources. It is necessary to increase funds to support the prospecting of coal resources and establish a revolving fund for geological survey of coal resources to ensure supply of coal. The state will make investments for surveying and locating coal resources, make general investigations and necessary detailed surveys of coal resources, enforce the unified administration of the first-tier market of prospecting rights, and, on this basis, formulate an overall development plan for mining areas and plans for allocating mining rights. Based on the overall plan for mining areas and plans for allocating mining rights, it is necessary to set up a second-tier market of prospecting rights and transfer of prospecting rights. The income from the transfer of prospecting rights should be administered according to the principle of "income and expenditure being separated into two different channels" and be used in the investment for prospecting coal resources so as to realize a revolving development. It is necessary to improve the system of developing a geological survey market, and cultivate contingents of highly efficient and well-equipped geological survey teams for prospecting coal resources. It is necessary to strictly follow technological procedures for prospecting work, further improve the evaluation and estimation of deposits of coal fields, and increase accuracy and guarantee the quality of geological surveys by relying on scientific and technological progress in order to lay down a good foundation for the reasonable planning and development of coal resources.

(7) It is necessary to develop coal resources in a reasonable and orderly manner. It is necessary to further improve the system of compensatory approval of mining rights, standardize evaluation methods for the price of coal-mining rights, gradually form a market system for mining rights, and enforce the asset management of mining rights. The transformation of mining rights into assets should be scientifically linked with the scale of production. It is necessary to follow the principle of "unified planning, concentrated development, one-time allocation of mining rights, and payment on instalment basis" in an orderly way. It is necessary to examine and approve mining rights in a strict manner. Coal resources within state planned mining areas that have not been authorized by the state for development and allocation of mining rights will all be forbidden to give out mining rights. It is necessary to guarantee the scientific demarcation and reasonable development of coal mines and form orderly development plans that will be favourable to protecting and conserving resources. We should accelerate the revision of regulations for the design of coal mines; supervise mining order, mining methods and the intensity of mining operations; and strictly forbid cross-level or cross-boundary mining operations and the illegal excavation and production of coal. We should encourage the use of advanced technology to excavate hard-to-reach coal and coal from thin coal seams. The building or rebuilding of coal mines must be first examined and approved by a safe production supervisory department at the same level according to the law, and must seriously implement the "three-same" [san tong shi] system for safe production (ensuring safety in planning, construction, and production).

(8) It is necessary to protect, conserve and reasonably utilize coal resources. We should revise the criteria and management methods for the recovery rate of coal mines in production. Applications for coal production projects that cannot reach state standards for the recovery rate must all be disapproved and will not be issued mining licences. It is necessary to establish a strict supervision system for the utilization of coal resources. Regarding the recovery rate of coal resources, we must check annually and enforce dynamic supervision. Coal mines that cannot reach the standards of recovery rate should be ordered to improve within a time limit. Coal mines that still cannot make improvements after rectification should be punished according to the law, and, in serious cases, their licences and mining operations permits may be revoked. It is necessary to accelerate the formulation of methods for collecting taxes and fees for coal resources and change from being based on output and sales income to being based on the quantity of deposits of coal resources. The shift should be implemented when conditions are ripe. In the meantime, it is necessary to actively explore various kinds of encouragement systems to promote the conservation of coal resources by coal-producing enterprises. It is necessary to improve the deposit management units of coal-producing enterprises, implement a responsibility system for deposit management, and establish files for managing coal deposits. Besides, it is necessary to strictly implement rules for production techniques and management.

3. Speeding up structural adjustment; strengthening coal supply systems

(9) It is necessary to accelerate the building of large-scale coal-producing bases. We should, according to the state plan for coal production and overall arrangements for development, select coal-mining areas with good conditions of coal resources and development potential. On the basis of state-owned large-scale coal enterprises, we should accelerate construction work in Shendong, Shaanbei, Jinzhong and 10 other large-scale coal-producing areas and establish stable and reliable supply bases for commercial coal, intensive coal processing bases, and coal export bases. The state should continue to lay stress on supporting the construction of large-scale coal-producing bases with capital construction investment funds of the central budget (or government loans) in the form of investment. Banks of a policy nature, state-owned commercial banks and joint-stock commercial banks should actively improve their financial services and effectively support the development and construction of coal enterprises that conform with state industrial policy and conditions for development. It is also necessary to support coal enterprises with good conditions to be listed on the market for funds and to issue enterprise debentures according to state regulations in order to help coal enterprise accumulate funds and expedite their construction and development.

(10) It is necessary to promote coordinated development of the coal industry with related industries. The construction of large- scale coal-producing bases should be linked with conditions for shipping and water resources and be coordinated with related industries and local economic development. We should increase investment, improve investment system for railway and port construction, and encourage enterprises to participate in management with shares of enterprises and non-public funds. We should accelerate the construction and improvement of coal transport passageways in Shanxi, Shaanxi and western Inner Mongolia and ports for unloading coal in northern China so as to raise the transport capability for coal and fundamentally solve the problem of coal supply due to difficulties in transport. It is necessary to follow the principle of government guidance and voluntary participation of enterprises in the integrated development of coal and power industries. We should accelerate the building of large-scale electric power stations near coal mines to relieve the pressure of coal transport. We should encourage large-scale coal enterprises to have joint operations with metallurgical, chemical, construction material, communications and transport industries. The development of and overall arrangements for the construction of thermal power, coal tar chemical and building material plants should be linked with coal mining areas. We should promote the optimization of arrangement for the development of energy source and related industries and a coordinated development of the coal industry with downstream industries.

(11) It is necessary to encourage the development of large-scale coal enterprise groups. We should break away with regional, industrial and ownership restrictions to accelerate the development of a number of 100m-tonne-class large-scale and backbone coal enterprises and enterprise groups, and enable them to become entities that can improve the structure of the coal industry and form large-scale coal-producing bases, being capable of balancing the supply and demand in the domestic coal market and "going out" to develop coal industry abroad and take part in competition in the international market. Coal enterprises should further improve their management structure as legal entities, follow a modern enterprise system, promote a joint-stock system, change operational systems, and raise managerial levels. The state will make an overall plan for mining areas. The development of coal resources that has important value to the national economy should be controlled by government capital. We should encourage the establishment of large-scale enterprise groups with integrated development of the coal industry, electric power, railways and ports and international competitiveness. We should also encourage large-scale coal enterprises to make investments and develop coal mines abroad to lead the export of coal-producing machinery products and technical and labour services so as to raise our coal industry's international competitiveness.

(12) It is necessary to further transform, rectify and regulate small coal mines. All coal-mining areas should give full play to the market role to expedite the rectification, rebuilding and improvement of medium and small coal mines, consolidate coal resources, and enforce intensified development and operation. It is necessary to encourage large-scale coal enterprises to merge with and rebuild medium and small coal mines, and encourage medium and small coal mines with reliable coal deposits to form associations and rebuild through the realignment of assets. We should actively promote the renovation and technological innovation of medium and small coal mines. Coal mines with an adequate scale must achieve the regular panel mining method. We should continue to eliminate small coal mines that are unreasonable in planning, fail to meet safe production standards and environmental protection requirements, and waste natural resources. We should also firmly crack down on small coal mines that operate illegally.

(13) It is necessary to raise the level of coal production and technology for manufacturing coal-mining equipment. We should adopt new, high, advanced and suitable technology to expedite the building of coal mines with a high yield and high efficiency. We should promote the modernization of mining equipment and automation and raise the level of informatization [xin xi hua] in management. We should eliminate backward technology and equipment and promote scientific and technological progress of the coal industry. We should vigorously promote the mechanization of medium and small coal mines, accelerate the development of comprehensive service organizations geared to the needs of medium and small coal mines, and form a complete technical service system. We should raise our capability of research and manufacturing of major coal-producing technology and equipment through the introduction of key technology, the integration of trade with technology, cooperation in manufacturing, and the transfer of technology in the market. We should promote the manufacturing of major equipment at home. We should encourage the association of enterprises with scientific research organizations and various kinds of universities and schools to promote technological innovation.

(14) It is necessary to regularize order of the coal market. We should deepen reform of the coal circulation system, improve the mechanism in forming costs of electric power and coal prices, and employ economic means and necessary administrative regulations to reasonably adjust relations of interests between coal enterprises and electric power enterprises. We should continue to promote reform of the methods of marketing coal, and encourage the establishment of autonomous links between the supply side and the demand side and the signing of long-term contracts for the supply of coal. We should accelerate the establishment of a main coal trading centre with regional markets as its supplement and network technology as the platform, and have a modern coal trading system that is favourable to the macro-control of the state and free trade in the market. We should be strict in reviewing the qualifications of coal trading enterprises, crack down on unlicensed and illegal operations, and rectify the wanton collection of fees and fines in the transport and marketing of coal. We should crack down on the practice of fraud, evasion of tax and other illegal activities according to the law.

4. Be persistent in overall controls as well as strengthen safe production conditions in mines and security system

(15) It is necessary to further implement the responsibility system for safe production. We should strengthen coal mine safety work based on the "state enforcing supervision, local authorities enforcing supervision and control, and enterprises being held responsible for accidents". We should further implement the responsibility system for safe production. We should improve the supervision system for checking the safety of coal mines, raise the authority and effectiveness of supervision, and strengthen inspections of the implementation of laws and regulations on the safety of coal mines. We should set duties and responsibilities of the local people's government in supervising and controlling the safety of coal mines. We should establish the system of having leading members of local people's governments assigned duties in ensuring the safety of local coal mines, and seriously enforce the system of issuing safe production permits. We should strengthen the responsibility of legal representatives of coal mines as the principal responsible persons for safe production. We should streamline administrative organizations for enterprises and strengthen management forces at the front-line. We should adhere to the system of assigning safety inspection personnel to be stationed at safe production units of coal-producing enterprises, and strictly implement the system of having leading cadres of coal mines lead mining operations down the pit. We should strictly control the quality of contractual engineering teams. We should also establish the venture mortgage system for the safe production of coal mines.

(16) It is necessary to increase input for the safe production of coal mines. We should improve the system of having joint investment in the safe production of coal mines by the central and local authorities and coal mines. All coal mines should set aside expenditure for safe production according to relevant regulations. The state will continue to use a part of budgetary funds for capital construction (funds from national debt) to support technical improvement for the safe production of coal mines. Local finance should provide counterpart funding from specially listed funds at the same time. Financial, auditing, coal mine administering and safe production supervisory units should strengthen supervision and guarantee that special funds for the safe production of coal mines will be used exclusively for that purpose in order to ensure the smooth implementation of improvement projects for safe production and give full play to the role of those improvement projects.

(17) It is necessary to improve technical levels in the prevention of gas accidents. We should establish a gas preventive leading group at the ministerial level to lead and coordinate the work of preventing gas accidents. We should set up a state engineering and research centre for gas management and utilization (coal seam methane), strengthen scientific and technological study for the prevention of gas accidents, promote the progress of science and technology for the safe production of coal mines to fundamentally turn around the current situation of frequent gas accidents, and accelerate the study of means to improve monitoring and forewarning of gas accidents, emergency aid, the prevention of gas explosions and methane extraction and utilizing technology. We should accelerate the formulation and implementation of a general plan for the treatment of coal mine gas and achieve significant results. Finance and tax departments should promptly formulate implementation methods to give preferential treatment to enterprises engaged in the extraction and utilization of gas (coal seam methane). Coal mine enterprises should strengthen the management of coal mines with a high content of methane and establish danger discerning technical systems, gas extraction and monitoring systems and accident forewarning and aid systems to effectively prevent serious gas accidents.

(18) It is necessary to raise the quality of staff members and workers of coal mines. We should establish and improve the training system for staff members and workers of coal enterprises, and organize and guide coal enterprises to start multi-level and all- round education on safety and technical skills for staff members and workers. Responsible persons of coal enterprises and principal staff members should receive mandatory training on safe production. We should stop the situation of giving orders and operating in violation of discipline and rules and regulations. We should enforce a system of requiring the possession of state vocational qualification certificates for specialized and technical staff members of coal mines who must possess state certificates in order to work for those specialized jobs. Education departments should strengthen cooperation with the coal industry and include specialized coal production science in their training programmes for technical personnel in urgent demand. Education departments should cooperate with large-scale coal enterprises to promptly restore or establish a number of coal production technological schools. We should guide relevant universities, colleges and secondary vocational schools to train specialized students who should be well acquainted with safe production and technical skills and have managerial ability to meet the needs of the coal industry. We should set up special scholarships for students of coal science and technology and reduce or exempt their tuition, and encourage students to apply for studying coal science and technology.

5. Strengthen the comprehensive utilization of coal resources, improve the environment, and build a revolving economic system in coal production

(19) It is necessary to promote the development of clear coal technology. The State Development and Reform Commission should formulate a plan, improve its policy, and organize a demonstration project with certain financial support to promote the development of clear coal technology and the coal industry. We should vigorously develop coal washing, coal blending and coal forming technology, and increase the quality in the cleaning, selecting and processing of coal. We should actively promote the evaluation of coal resources for liquefaction and gasification, and steadily promote the building of coal liquefaction and gasification projects. We should accelerate the building of demonstration projects for the gasification of low- quality coal and hard-to-extract coal, and promote the development of a new type of energy and chemical industry with coal resources. We should adopt advanced technology in the use of coal and environmental protection, raise efficiency in the use of coal, and reduce pollution.

(20) It is necessary to promote the comprehensive use of resources. We should follow the principle of high efficiency, cleanness and full utilization to promote the comprehensive development and utilization of coal gangue, coal slime, coal seam gas, drainage water and coal associated resources. We should encourage the extracting of gas, turn harmful substances into profit, and promote the processing of coal seam gas. We should follow the principle of drawing on local resources to use low-heat value coal for power generation and the production of building materials. We should revise and formulate related rules and regulations, standards and management methods, implement and improve financial, taxation and preferential policies, encourage the utilization and harmless processing of waste. In the application for coal production and construction projects, it is imperative to submit plans for the comprehensive utilization of resources and this will be considered as one of the conditions for approval.

(21) It is necessary to protect and improve the environment of mining areas. We should evaluate the influence of the development and utilization of coal resources on the environment. Environmental protection facilities and the main bodies of construction projects should follow the "three-same" system, namely "whoever builds a coal mine, will be responsible for protection; whoever causes pollution, will be responsible for making improvements; and whoever damages the land, will be responsible for restoration". We should strengthen protection of the ecological environment and water resources in mining areas, the handling of waste, and the restoration of land cave-ins. We should study and establish a compensation system for restoration of the ecological environment in mining areas, clearly define responsibilities of the government and coal enterprises, increase input in the improvement of the ecological environment, and gradually achieve a virtuous circle in the management of environment in mining areas. Regarding the historical problem of land cave-ins and damage to the environment by state-owned key collieries, it is necessary to formulate special plans and continue to make comprehensive improvement work. The central government will provide necessary funds and policy support, while the local people's governments at various levels and coal enterprises should also provide supporting funds according to pertinent regulations.

(22) It is necessary to vigorously promote the economical and effective utilization of coal. We should actively provide guidance for the reasonable, economic and effective utilization of coal, and strive to alleviate the current tight situation of supply and demand for coal and the contradiction between coal output and the long- term demand for coal. We should vigorously adjust the economic structure, effectively change the mode of growth, grasp the improvement of industrial policies and standards for energy consumption, and limit the development of industries with an excessive consumption of energy sources. We should improve the structure of production and consumption of energy, encourage the development of new energy sources, and strive to reduce or replace the use of coal. We should rely on the progress of science and technology and carry out innovation to promote the development of advanced coal-saving equipment, technology and techniques. We should strengthen scientific management to reduce loss and waste in the production, circulation and consumption of coal. We should formulate economic policies, technological standards, and rules and regulations and use economic, legal and necessary administrative means to fully enforce strict coal-saving measures and form a good custom of the economical and reasonable use of coal in the whole of society.

6. Formulating and improving related laws, rules, regulations and systems, and developing sound laws and regulations and a macro- control system for the coal industry

(23) It is necessary to strengthen the improvement of the legal system for the coal industry. We should take prompt action to revise the "Coal Law of the People's Republic China" and the "Mineral Resources Law of the People's Republic of China", to improve related rules and regulations, and to establish and improve laws and regulations that will be compatible with the system of a socialist market economy. We should promptly revise policies for the coal industry, improve the examination and reviewing process, and set strict standards for the approval of coal mining operations. We should formulate strict standards for the consumption of coal resources and discharge of waste, encourage the use of new technology and materials, and promote the improvement of the coal industry. We should strengthen the building of contingents of law enforcement personnel for the coal industry, oversee the order of the coal market according to the law, and create a good market order for the development of coal enterprises. Coal enterprises should seriously implement technical standards and rules and regulations of the state in the use of resources, environment protection, and safe production. It is necessary to establish technical rules and regulations within enterprises, and regulate the design, construction, technical transformation, production and processing work of coal enterprises. We should also unfold activities to promote safe production and standardization of coal products.

(24) It is necessary to effectively reduce the burden of coal enterprises. Various localities should follow relevant state policy and step up the separation of coal enterprise operations from social work. We should strictly follow the 1998 State Council regulations on reform of the management system of key state-owned collieries and effectively implement the policy of returning value-added tax and income tax of state-owned key collieries by central finance. We should accelerate the pace of reform of value-added tax, and stop gathering and collecting various funds and fees that have been cancelled to reduce the burden of coal enterprises.

(25) It is necessary to promote the continual development of coal enterprises. We should implement relevant stipulations of the "Coal Law of the People's Republic of China", study the establishment of funds for the transformation of coal mines at a depleting stage and for the development of continual operation or a replacement industry. We should improve the cost accounting system of coal enterprises, ensure continual resources for coal enterprises, conduct surveys of resources, protect and improve the environment, and develop succeeding industries. We should pay attention to reasonable development of the coal industry and formulate policies to support coordinated economic and social development. We should formulate policies and use transfer payments to support the capital construction and structural adjustment of mining areas with depleting resources.

(26) It is necessary to raise the level of protection for miners. We should strengthen standardization of the quality of coal mines, raise the level of mechanization and automation, improve the working environment, and reduce the labour intensity for miners. We should carry out reform of the miners' working system, reduce the working time of miners under pits to within eight hours, and strive to realize the four-shift system of six hours for each shift. We should strengthen the study and development of equipment and apparatus for the protection of miners and constantly improve labour protection work. We should strengthen the inspection and supervision of vocational danger at mining sites, and do a good job in preventing lung disease caused by coal dust and other occupational diseases to ensure the physical and mental health of miners. We should fully implement "Regulations for Labour Insurance". Labour and social insurance departments in various localities should formulate specific methods for miners taking part in hazardous insurance. Various coal enterprises should all buy industrial injury insurance policies for miners to protect their legitimate rights.

(27) It is necessary to improve the quality of life of miners. Labour and social protection departments should formulate standards for the issuance of hardship allowance for miners according to their working environment. Various coal enterprises should gradually raise the level of income for miners in accordance with the situation of economic results. We should continue to use the method of funding by the state, the local government, the enterprise and the miner to solve the historical problem of rebuilding hazardous living quarters and shacks for miners.

(28) It is necessary to give full play to the role of intermediary organizations. We should further develop intermediary markets, give fully play to their role in making statistics, providing technical services, evaluating safety, developing markets, providing information, and ensuring self-discipline of the coal industry. They should provide good services for enterprises and offer policy consultations for macro-control by the government, regulate the market behaviour of coal enterprises, and maintain fair competition and order in the market.

The healthy development of the coal industry concerns the development of the national economy and the overall situation of energy resources. Various localities and departments must strengthen investigations and studies, seriously implement their tasks, and formulate and implement specific methods for improvement in light of the actual situation. The Development and Reform Commission should strengthen supervision and inspection together with the departments concerned and provide guidance and coordinate various tasks. We must seriously study how to solve difficulties and problems in the development of the coal industry in order to promote a sustained and healthy development of the coal industry.

Source: BBC Monitoring Asia Pacific

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