CHINA’S top economic planner said yesterday that it will continue the suspension of price adjustment of domestic refined oil products until a new pricing mechanism is introduced.

    A special meeting was hosted by the National Development and Reform Commission (NDRC) the same day to invite opinions of relevant departments and work units on a new pricing mechanism. No details were released.

    The NDRC also plans a series of symposiums to solicit opinions from experts, industrial associations, petroleum enterprises and drivers.

    On Dec. 15, the NDRC announced that improvement would be made on the pricing mechanism of refined oil products and it would suspend adjusting prices of gasoline and diesel.

    Under a mechanism that became effective in March 2013, prices of refined oil products are adjusted when international crude prices translate into a change of more than 50 yuan (US$7.9) per ton for gasoline and diesel prices for a period of 10 working days.

    The NDRC said Dec. 15 that it would not adjust fuel prices, though a price cut was expected as international prices fell.

    Keeping domestic fuel rates stable can help curb petroleum consumption from “increasing too fast,” the NDRC said. “Emissions from automobiles are one of the major causes of air pollution,” the NDRC said then. “Giving full play to the leverage effect of refined oil prices is an important way to promote energy conservation and tackle air pollution.”

    Oil prices struggled with subdued Asian trade yesterday on tepid economic data from Japan and indications that major crude exporter Saudi Arabia plans to keep prices at multi-year lows in 2016.

    Prices tanked more than 3 percent Monday, effectively dousing a rally that followed Brent crude tumbling to 11-year low last week. Volumes were thin with investors in a holiday mood.

    Crude prices in global markets have gone down nearly 30 percent this year and analysts expect oil prices to remain low for even longer.

    (Xinhua)