Full Text: Report on China's economic, social development plan(19)

7. We will deepen reform in key areas and crucial links and improve the systems and mechanisms ensuring development in a scientific manner.

1) We will enhance overall guidance and comprehensive coordination of reform. We will implement the Guidelines on Priorities in Deepening Economic Restructuring in 2012, and push forward all types of experimental zones to carry out integrated, complete reforms.

2) We will further transform government functions, improve the macro-control system, balance the relationship between government and the market, and make better use of the basic role of the market in allocating resources.

3) We will adhere to and improve the basic economic system whereby public ownership is dominant and economic entities under diverse ownership forms develop side by side. We will further strategically adjust the public sector of the economy, promote the reform to introduce corporate and joint-stock systems in SOEs, and improve the budget and revenue-sharing systems for state-owned capital operations. We will study and formulate a plan for reforming the railroad system in accordance with the principle of separating government functions from enterprise management and state asset management. We will steadily roll out the trials of separating electric power transmission from distribution, promote the establishment of a new mechanism for ensuring that electricity generated from distributed energy sources has non-discriminative, impediment-free access to power grids, and formulate and roll out guidelines for reforming the rural electricity management system. We will expand the trials for integrating the telecommunications network, the radio and television broadcasting network, and the Internet. We will implement and improve policies and measures to promote the development of the non-public sector of the economy, and enhance the vitality and competitiveness of the non-public sector and SMEs in market competition, creating more jobs and stimulating economic growth.

4) We will steadily advance the reform of prices for resource products and environmental protection charges. We will accelerate the reform of prices for selling electricity to end-users, implement trials of progressive pricing for household electricity consumption, and improve the pricing mechanisms for electricity generated from nuclear power, hydropower and other renewable energy sources. We will actively yet prudently carry out reform of prices for electricity transmission and distribution and promote public bidding among power plants for the right to supply electricity to power grids. We will introduce a plan for reforming the prices of refined petroleum products when conditions are right. We will gradually balance the prices of coal and power and make the price ratio of natural gas to alternative energy sources reasonable. We will continue to carry out trials for emissions trading.

5) We will deepen the reform of the income distribution system. We will raise the proportion of individual income in national income, raise the proportion of remuneration in the primary distribution, and improve the system for adjusting primary and secondary income distribution. We will steadily raise minimum wages, and gradually extend the scope of collective bargaining for wages. We will establish a mechanism whereby the public share the proceeds from the sale of public resources. We will create conditions to increase people's income from property. We will take further steps to adjust taxes for high-income groups, expand the proportion of middle-income groups, and raise the incomes of low-income groups. We will ensure that income distribution is governed by proper standards, effectively protect lawful income, and resolutely ban illegal income. We will quickly reverse the trend of a widening income gap.