December 02, 2008

Shanxi to award for ahead of plan capacity elimination

According to the economy commission of Shanxi Province, the companies, which wash out the outdated capacities one or two years ahead of plan, will get 10% or 20% premium, beside the compensation from the government. Some time earlier, the provincial government of Shanxi announced the plan for compensation for the outdated capacities to be washed out in electricity, iron melting, steel melting, coke, cement, calcium carbide, iron alloy and other industries.

To boost the washing out of the outdated capacities in high energy consuming and high pollution industries, Shanxi decided to give 10% premium to the companies who demolish the outdated capacities one year ahead and 20% premium to companies two years ahead of the plan.

The standard for the demolishment of iron and steel capacities includes; the body of the blast furnace and/or the converter demolished, the sintering and other auxiliary facilities all demolished, the site cleaned and leveled.