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The structural adjustment in the petrochemical industry is progressing steadily. Source: China Chemical Industry Information Network. Author: Updated on: 2009-03-17. Guidelines for the structural adjustment of the petroleum and chemical industry are expected to be released in July. On March 12, it was learned from the China Petroleum and Chemical Industry Association that guidelines for the structural adjustment of this industry, as well as guidelines regarding the technologies needed to support its development, are being formulated by the association at full speed; these guidelines will help to facilitate a systematic and orderly progress in the structural adjustment of the industry. Sun Weishan, director of the Industry Development Department at the Petrochemical Association, told reporters: “The petrochemical industry has identified some issues that have arisen during its development, and adjustments are needed; it cannot simply focus on growth at all costs.” To address some of the issues existing in its development, the association has begun preliminary work on a structural adjustment plan, in the hope of providing a more comprehensive reference for the industry’s progress. ” Not long ago, the State Council issued the \"Petroleum and Chemical Industry Revitalization Plan\", which serves as an important guide for the petroleum and chemical industry in the coming period. One of the objectives of this revitalization plan is to adjust the industrial structure. One of the measures is to implement strict approval processes for calcium carbide, coking, and coal chemical projects that aim solely at expanding production capacity. In the past, such projects developed too rapidly and on an excessive scale, leading to significant capacity expansion. Moreover, coal chemical projects require large amounts of water resources, which has also contributed to environmental pollution to a certain extent. Although the relevant detailed rules have not yet been issued, this regulation has already had an impact on many chemical companies. Sun Weishan believes that: \"This regulation has little impact on projects that have already been built or are under construction, but it has a significant effect on new projects. Given the huge investment amounts involved in coal chemical projects, with many of them requiring investments in the order of tens of billions of yuan, investors are currently waiting and observing, awaiting further details to be released.\" ” Sun Weishan also said, “In fact, the adjustment of the industrial structure was something that our association had been planning even before the introduction of the revitalization plan, and relevant research was conducted as early as the second half of last year.” ”Since the plan for revitalizing the petrochemical industry only sets out principle-based requirements regarding structural adjustment, and given that the chemical industry encompasses dozens of sub-industries and sub-sectors, a benchmark is necessary during this process of structural adjustment; therefore, the Petrochemical Association decided to formulate two detailed guidance documents. The \"Guiding Principles for the Structural Adjustment of the Petroleum and Chemical Industry\" and the \"Guiding Principles for Supporting Technologies to Revitalize the Petroleum and Chemical Industry\" were formulated respectively by the Industry Development Department of the Petrochemical Association and the Ministry of Science and Technology. The former is expected to be finalized in July this year. At the beginning of January, the Department for Industrial Development convened meetings with relevant enterprises; in April, these enterprises will prepare written recommendations for the development of the industry. After a draft is prepared in June, the association will organize experts to discuss it and finalize it. From the revitalization plan to the two aforementioned guidance documents, experts say this indicates that the structural adjustment of China’s petrochemical industry will proceed at a deeper level. A recent analysis report by the China Petroleum and Chemical Industry Association shows that in 2008, the total output value of the entire industry was 6.58 trillion yuan, representing a 24% increase compared to 2007. According to media reports, from 2009 to 2011, the development goal for the petrochemical industry was to achieve an average annual growth rate of 15% in added value, with the adjustment of the industrial structure and layout to be largely completed by 2011.