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The inter ministerial coordination group office meeting for eliminating outdated production capacity was held, chaired by Zhang Feng


        On May 8th, Zhang Feng, a member of the Party Group and Chief Engineer of the Ministry of Industry and Information Technology, presided over a meeting of the Inter Ministerial Coordination Group Office for the elimination of outdated production capacity and delivered a speech.  


Zhang Feng pointed out that in 2016, member units of the inter ministerial coordination group conscientiously implemented the decisions and deployments of the Party Central Committee and the State Council, actively fulfilled their responsibilities, focused on industries such as steel, coal, cement, and flat glass, strengthened top-level design, carried out special actions, strengthened law enforcement inspections, improved supporting policies, and made more use of market-oriented and rule of law methods to promote new progress in work. Throughout the year, 6.77 million tons of outdated iron and steel production capacity, 10.96 million tons of steelmaking capacity, 320000 tons of electrolytic aluminum production capacity, 5.59 million tons of cement clinker production capacity, and 33.4 million weight boxes of flat glass production capacity were eliminated. More than 1500 backward small coal mines with an annual output of less than 300000 tons were closed, involving coal production capacity exceeding 100 million tons. This has played an important role in resolving overcapacity in industries such as steel and coal, promoting energy conservation and emission reduction.

 

Zhang Feng emphasized that the Central Economic Work Conference and the Government Work Report have put forward new requirements for the market-oriented and legal elimination of backward production capacity. Members of the inter ministerial coordination group should effectively unify their thoughts and actions with the decision-making and deployment of the Party Central Committee and the State Council, fully recognize the current situation and requirements faced by the elimination of backward production capacity.One important aspect of supply side structural reform is the market-oriented and rule of law elimination of outdated production capacity.Reducing production capacity is the primary task of promoting supply side structural reform, and eliminating outdated production capacity is a key focus of reducing production capacity. We must make more use of market and rule of law methods, resolutely eliminate outdated production capacity that does not meet standards in accordance with the law, free up energy, resources, market space, and environmental capacity for the development of advanced production capacity and emerging industries, and continuously improve the quality and efficiency of supply.The second is that market-oriented and rule of law elimination of outdated production capacity is an inherent requirement for ecological civilization construction.The prominent issues of tight resource constraints, severe environmental pollution, and ecosystem degradation have become the shortcomings of building a moderately prosperous society in all respects. Outdated production capacity has high material and energy consumption, amplified pollution emissions, seriously damages the ecological environment, poor safety production conditions, and unguaranteed product quality, leaving great hidden dangers to people's lives and property. It does not meet the requirements of ecological civilization construction and should be eliminated in accordance with the law.The third is the clear requirement of the Party Central Committee and the State Council to eliminate backward production capacity through marketization and rule of law.The Central Economic Work Conference proposed to strictly implement relevant laws and standards on environmental protection, energy consumption, quality, safety, etc. The Government Work Report proposes to strictly implement relevant laws, regulations, and standards on environmental protection, energy consumption, quality, and safety, and to make more use of market-oriented and legal means to resolutely eliminate outdated production capacity that does not meet standards. The "Guiding Opinions on Utilizing Comprehensive Standards to Promote the Exit of Outdated Production Capacity in accordance with Laws and Regulations" jointly issued by member units of the Inter Ministerial Coordination Group is a specific measure to implement the relevant requirements of the Party Central Committee and the State Council, which must be conscientiously implemented.

  

Zhang Feng requested that all member units of the inter ministerial coordination group should vigorously implement and solidly carry out the work of phasing out outdated production capacity in 2017.firstlyWe need to strengthen departmental collaboration and promote the withdrawal of outdated production capacity in accordance with the five standards of energy consumption, environmental protection, quality, safety, and technology, forming a clear responsibility and collaborative work mechanism.SecondEach department should follow the key work tasks of 2017, clarify the time requirements, grasp the work pace and intensity, and effectively implement all work tasks.three isWe should make employee placement a top priority in eliminating outdated production capacity, and carry out employee placement work with a highly responsible attitude.Four isWe need to strengthen supervision and inspection, enhance social supervision, strictly prevent the resurgence of outdated production capacity that has already been phased out, and implement joint credit penalties for enterprises found to have failed to eliminate outdated production capacity as required.Five isWe need to further implement relevant policies and create a market environment of survival of the fittest and fair competition. 


Members of the inter ministerial coordination group office and relevant industry associations attended the meeting and made exchange speeches. The heads of relevant departments and bureaus within the department attended the meeting.

(Source: WeChat News)

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