The petrochemical industry revitalization plan proposes financial subsidies for the two oil giants and other

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[Quoted from Sina.com] Domestic oil companies, which suffered from the "roller coaster" of oil prices in 2008, are expected to receive policy relief. 　　"First Financial Daily" learned that, * * The National Development and Reform Commission and others are stepping up efforts to formulate a plan to revitalize the petrochemical industry (hereinafter referred to as the "Plan"). Alleviating the huge losses of domestic refining and chemical companies is listed as one of the key contents, including the proposal to increase the threshold for special petroleum income tax (commonly known as the "oil windfall profit tax") to US$60/barrel. The current threshold is US$40 per barrel. 　　“Structural adjustment and industrial upgrading of the petrochemical industry are the main focus. Key chemical projects such as oil refining and ethylene, agricultural chemicals such as fertilizers and pesticides, and high-end chemical new material products will be the focus of planning support. ”Yesterday, an expert involved in the planning work revealed to China Business News. 　　In 2008, refining and chemical giants such as PetroChina and Sinopec suffered heavy losses. The interim report showed that the net profits of the two companies fell by 36.3% and 73.4% respectively year-on-year. Losses in the refining and chemical business were the main reason for the decline in net profit. In the first half of last year, Sinopec's refining business suffered a loss of 73.879 billion yuan, and PetroChina's refining and sales segment suffered a loss of 59.02 billion yuan. 　　The above-mentioned experts said that the draft plan being prepared raises the issue of providing financial subsidies to the two major oil companies, PetroChina and Sinopec, for their refining losses in 2008. 　　“Loss-loss subsidies are temporary. Whether and how much subsidies refining and chemical companies will ultimately receive will depend on the market situation of the petrochemical industry this year. ”The expert also said that the plan did not clearly explain how much subsidies should be given to domestic oil refining companies, and the planning details need to be * * It will be submitted to the State Council for review after discussion and approval by the National Development and Reform Commission. It is still uncertain whether changes will be made to the final draft. 　　Raising the threshold for special petroleum income tax is another good solution for oil companies in the draft plan. An expert from the Sinopec Institute of Economics and Technology who participated in the planning work revealed in an interview with reporters that in the draft discussion of the plan, it is proposed to increase the threshold for special oil revenue levy from US$40 per barrel to US$60. 　　The 2008 interim report showed that Sinopec paid 16.544 billion yuan in oil windfall profits tax in the first half of last year, an increase of 13.3 billion yuan year-on-year. The aforementioned experts said that as the overall cost of oil exploration and development rises, Sinopec’s crude oil mining break-even point has approached US$45/barrel. From the perspective of industry development, the petrochemical industry is unlikely to make a big improvement in the short term. Sinopec is already very difficult, and charging high special income payments will only increase the burden on the company. Therefore, a relatively reasonable "threshold" of US$60/barrel is proposed in the draft plan. 　　According to the special oil revenue collection method promulgated by the Ministry of Finance in 2006, when the international oil price is between 40 and 60 US dollars per barrel, the special revenue tax rate is between 20% and 35%. ； When the international oil price is higher than 60 US dollars per barrel, a uniform tax rate of 40% will be levied. 　　The above-mentioned experts from the Sinopec Institute of Economics and Technology said that whether the "threshold" of the oil windfall profit tax can ultimately be raised depends on * * fiscal affordability, while in the fourth quarter * * Fiscal revenue has dropped significantly. If the plan determines this content, it will also need * * The National Development and Reform Commission and the Ministry of Finance coordinate for implementation. 　　In addition, the draft planning discussion contains more content to alleviate the difficulties of domestic oil companies, including changing the method of collecting consumption tax on refined oil from an in-price tax to an out-of-price tax, increasing the varieties and tax points for export tax rebates on chemical products, increasing the purchase and storage of refined oil, etc., and prioritizing the purchase and storage of products from key state-owned enterprises such as PetroChina and Sinopec to divert inventory, etc. 　　“The petrochemical industry revitalization plan involves many points, and it is expected that its introduction will be delayed later than everyone generally expects. ”An authoritative person involved in the formulation of the plan told reporters that the draft plan had been repeatedly discussed before the Spring Festival and revised dozens of times. Relevant experts just reviewed the draft plan for the last time last Saturday. 　　The expert predicts that * * The forward and backward plans are expected to be submitted to the State Council for review, and all industrial revitalization plans will be released no later than the first half of the year.