Choosing a Pathway Towards Advancing China's Reform of the Power Industry

●A reasonable and transparent pricing mechanism; ●A "top-down" project approval mechanism; ●An effective demand forecasting system; ●An incentive mechanism for private and foreign investments; and ● A fundamental of efficiency improvement Considering China’s reality when moving towards marketization In April 2007, the State Council issued the "Proposal for the Implementation of Furthering the Institutional Reform of the Power Industry during the 11th Five-Year Plan." The proposal clearly states the main tasks of the power reform for the next steps.