According to China's State Environmental Protection Administration, enterprises in 14 industries that fail to pass the state environmental protection examination are not allowed to apply for going public or financing through increasing stake.

These sectors include thermal power, steel making, cement, electrolytic aluminum, coal, metallurgy building material making, mining, chemical, petrochemical, pharmacy, light Industry, textile and tanning.

Enterprises to be listed need to accept a series of checks and requirements, including that major pollutant emission must be curbed under the national and local emission standards, enterprises must claim pollutant emission license according to related terms and meet the requirement of the license

According to State Environmental Protection Administration, for the listed companies looking for financing again, there are three additional checks they have to face. The financed capital will not go to undermine the environment both practically and potentially; it will help improve the environment; and it can not step into the backward capacities, technology and products, which the government has asked to wash out, with a view to promoting the industrial structure correction.

This is the environmental protection department' first knock down move guiding the listed and to be listed enterprises, hopefully to alter the situation that the local governments simply prefer the economic earnings at the cost of environment.

(Source Shanghai Securities News)