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Businesses in the Taihu Lake area will have to pay heavy fees to discharge pollution into the lake and nearby waterways this year, officials from the Jiangsu environmental protection bureau said Thursday.The new regulation, approved by the State Environmental Protection Administration and the Ministry of Finance last month, is the first of its kind in the country. It will be implemented initially in Suzhou, Wuxi, Changzhou, Zhenjiang and Nanjing, all in Jiangsu Province.The move is part of a long-awaited campaign to limit the amount of pollution pumped into the region's waterways.Taihu Lake, which provides drinking water for about 30 million people in the provinces of Jiangsu and Zhejiang as well as Shanghai Municipality, has been heavily polluted by industrial waste, pesticides and fertilizer since the 1980s.The situation deteriorated in May last year when the lake suffered from a massive blue-green algae outbreak that threatened the water supply to more than 1 million residents of Wuxi.The government closed down some 2,800 small chemical factories after the bloom appeared.The water quality in the Taihu Lake area is expected to improve as the new rule takes effect, prodding companies to clean up their operations to avoid fines, an official surnamed Gao, with the publicity and education department of the provincial environmental protection bureau, said.The new regulation includes charges of 4,500 yuan (0) per ton for increasing chemical oxygen demand, a measure of the amount of oxygen used in a chemical reaction caused by chemical waste in water, or double what it costs to treat polluted water.Seven industries, including chemicals, textiles, iron and steel-making, and paper mills, which are believed to pose the biggest threat to water safety, will be subject to the fines.Companies discharging more than their quota of pollution will face fines of up to 1 million yuan. However, those that do not use up their quotas are welcome to trade the difference with other companies.

The central finance department will continue increasing its support to the country's rural areas, sources from a meeting of the political bureau of the Communist Party of China Central Committee said.The Xinhua News Agency on Saturday cited a political bureau meeting as saying that the country should further muster up strength to solve the problem of its poor agricultural infrastructure and the sluggish development of rural areas by "increasing input in agricultural sectors and rural areas".The report, which comes just days before the Party's 17th National Congress on October 15, the most important political gathering in China which will set guidance for future development, suggests Party leaders are concerned about the urgency needed to improve farmers' lives, analysts said.An anonymous official from the Ministry of Finance said that the central government has made financial support for rural areas a major priority .The country has rolled out a series of preferential policies to boost the development of its vast countryside, home to its more than 700 million rural people, including agricultural taxation reform to alleviate farmers' burden and direct subsidies to ensure gains from growing crops.The State has also exempted farmers from some taxes such as those in the slaughtering and animal husban-dry industry.Statistics from the ministry shows that the central coffers plan to invest 391.7 billion yuan ( billion) in the development of its rural areas this year, an annual increase of 15.3 percent.To further encourage farmers to grow crops, billions of yuan have been allotted for agricultural subsidies for grain prices, seeds, and cultivation facilities.About 125 billion yuan of tax has been waived since the removal of a series of agricultural taxes in recent years, the official said.The results of these preferential policies were obvious, the official said, with statistics showing a fourth consecutive bumper grain harvest this summer.

WASHINGTON - China warned the United States on Thursday against "groundless smear attacks" against Chinese products and said it was working responsibly to address concerns over a spate of recent food safety scares. "The Chinese Government has not turned a blind eye or tried to cover up. We have taken this matter very seriously, acted responsibly and immediately adopted forceful measures," said a statement by China's embassy in Washington. "Blowing up, complicating or politicizing a problem are irresponsible actions and do not help in its solution," the Chinese mission said in a rare policy pronouncement. "It is even more unacceptable for some to launch groundless smear attacks on China at the excuse of food and drug safety problems," it said. Echoing the Beijing government's complaints about US media reports, the embassy said food safety concerns were not unique to China, 99.2 percent of whose food exports to the United States in 2006 met quality standards. Problematic US imports from China -- including toxic ingredients mixed into pet food and recalls of toy trains and toothpaste -- were isolated cases and "hardly avoidable" amid huge and rapidly growing bilateral trade, the statement said. "It is unfair and irresponsible for the US media to single China out, play up China's food safety problems and mislead the US consumers," it added. Appealing for strengthened cooperation between Chinese and US food inspection authorities, the statement urged Americans to "respect science and treat China's food and drug exports fairly."

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BEIJING - The world's most populous nation began its week-long Lunar New Year holiday on Wednesday, but hundreds of thousands of people will probably spend the biggest festival of the year in the cold and dark.Currently, more than 3,000 people, including electricians, soldiers and armed police are struggling to repair power lines damaged by prolonged snow, rain and sleet to restore the power supply for Chenzhou, a city of about 4 million in central China's Hunan Province, which started its 12th day of power blackouts and water cuts on Wednesday.Staff workers of Hunan Grid repair the collapsed high-voltage power transmission tower in Changsha, capital of South China's Hunan Province, Feb. 3, 2008. [Xinhua] Wednesday marks the eve of Lunar New Year, known as Spring Festival, the most important festival for family gatherings in China with a population of 1.3 billion."Parts of the power lines have been recovered, and power supply will restore gradually for citizens in Chenzhou starting today," said Huang Qiang, vice general manager of the Hunan Electric Power Company under the State Grid Corporation of China.But power service is not expected to be resumed by 6:00 p.m. Wednesday, in eight counties, including Guiyang, Jiahe in Hunan Province, Zixi, Lichuan, Yihuang and Le'an in Jiangxi Province, Pingtang in Guizhou Province and Ziyuan in the Guangxi Zhuang Autonomous Region, the disaster relief and emergency command center under the State Council, China's cabinet, said in a statement late Tuesday.Freak winter weather featuring prolonged snow, rain and sleet since mid-January in China's eastern, central and southern regions has downed power lines, covered roads with thick ice, brought trains, buses and planes to standstill and stranded millions of people.The snow havoc, the worst in five decades, and even in a century in few areas, has led to deaths, structural collapses, blackouts, accidents, transport problems and livestock and crop losses in 19 provinces, municipalities and autonomous regions, according to the Ministry of Civil Affairs.More than 100 million people have been affected, and at least 60 people have died in the freezing weather.

SHANGHAI: Preliminary investigations showed improper maintenance work had caused a Shanghai gas station explosion on Saturday, which saw four killed and 40 injured.A team of officials from related government agencies is investigating the blast at the China National Petroleum Corporation (CNPC) outlet in Pudong District, reported the Xinmin Evening News Sunday.The station had earlier been suspended on October 11 for safety concerns and was scheduled for reopening Sunday.CNPC did not respond to media queries on the explosion.Most of those injured from the incident have been discharged from hospital.Two of the 29 blast victims sent to Punan Hospital died while 26 were discharged Sunday morning.A 49-year-old woman who was hit on the head by a piece of blast debris is still under observation at the hospital.She was said to have been in her apartment close to the station when the explosion shattered her window.The 13 other injured who were sent for treatment at the Pudong branch of Renji Hospital have been discharged.The explosion on Saturday occurred at 7:50 am in the junction of South Yanggao and Pusan roads.Two maintenance workers on the site were killed instantly. Witnesses said one of the workers was blown five stories high before landing nearby.A woman who was cycling 1 km away from the station was hit by a piece of blast debris and died in hospital.A motorcyclist, later identified as Wang Dong from Anhui Province, also died after debris hit him on the head.He had taken off his helmet to answer a call on his mobile phone.The Shanghai Evening News said Sunday that visits to several gas stations in the area found unsafe practices.Drivers lining up for gas smoked and used mobile phones without being stopped by station employees.The blast also damaged a bus that had stopped near the station and injured passengers on board. A convenience store, motel and several other nearby buildings were also hit.Traffic disrupted by the explosion resumed Sunday.

A senior central bank official has rejected calls for a quicker increase in the flexibility of the renminbi exchange rate, saying the currency's role in rectifying global economic imbalances should not be exaggerated. Hu Xiaolian, deputy governor of the People's Bank of China, said more attention should instead be paid to growing protectionism to safeguard the health of the world economy, according to a central bank statement and Xinhua. She was speaking in Washington on Saturday at a conference during the semi-annual meetings of the International Monetary Fund (IMF) and the World Bank. The meetings are a venue for key financial officials of the two institutions' member countries to discuss global economic issues. Officials and economists at the IMF, which has a mandate to safeguard the global economy and render advice to member countries, said that Beijing should pursue a more flexible exchange rate, for the sake of both the Chinese economy and a more balanced global economy. However, China did not seem to see the advice as being appropriate. "The fund... should respect its member countries' core interests and actual economic fundamentals," Hu was quoted as saying. "Biased advice would damage the fund's role in safeguarding global economic and financial stability." In July 2005, China abandoned the renminbi's decade-old peg to the US dollar and let the currency appreciate by 2.1 per cent. Since then, it has gained almost another 5 percent against the dollar. However, there has been a persistent international chorus, led by the United States, arguing that China has not been moving quick enough in letting its currency rise. US lawmakers have said that the country's trade deficit was partly caused by what they believed an undervalued Chinese currency. Chinese officials say the yuan's flexibility would gradually increase but argue that radical steps would generate shocks in the Chinese economy which could spread to the rest of the world. "The IMF... should attach significance to stability of domestic economies (of member countries) when observing their contribution to outside stability," Hu said. She said the IMF should strengthen surveillance over the soundness of economic policies of countries whose currencies are used as major instruments in other countries' foreign exchange reserves. She was clearly referring to the US, whose low savings rate, and fiscal and trade deficits are agreed to be a key cause for global economic imbalances. Hu also called attention to what is seen as a rising protectionist sentiment, which has been causing troubles for China's exporters. "We call on all countries to harness the opportunities created by globalization... and resolutely oppose protectionism," she said.

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BEIJING -- China has ordered its police to behave well and improve their services to the public as the country marks the one-year countdown to the 2008 Beijing Olympic Games. The Ministry of Public Security has launched a one-year inspection campaign in Beijing and other cities hosting Olympic events as well as major tourist cities to ensure a polite, standard and efficient police services to citizens and foreign visitors. The inspection mainly deals with police who take a bad attitude towards the public and do not wear standard uniforms and insignia. An inspection team will oversee police service departments such as community police stations, traffic police brigades, patrolling cops, border entrance and exit offices, reception rooms for foreigners, border checkpoints, visa application centers and police alarm "110" phones. Police who smoke, chew food, chat or use chilly words in front of the public will be immediately punished by inspectors on the spot, says the ministry, adding the inspection team will find out whether the police can take proper, immediate and effective actions when the public, especially foreigners, ask for help. The campaign, which is a part of the overall Olympic security deployment, is aimed at maintaining a sound order for the upcoming congress of the Communist Party of China and the Olympic Games next August, and setting a good image of the Chinese police, according to the ministry.

The central government has ordered coal firms to stop driving up prices and said they must honor their supply contracts with power plants in an effort to head off a power shortage.At the request of the National Development and Reform Commission, the China Coal Transportation and Distribution Association has threatened to cancel the license of any company that ignores the order to stabilize prices."Coal producers must strictly implement their contract prices for 2008 and must not take advantage of the current tight supply to raise prices as they like," the association said in a circular issued yesterday.Prices should be held at around the same level as at the end of last year, the circular said.The government is also banning all coal shipments other than those to power plants.The crackdown comes as the country faces a severe power shortage. Several power plants are struggling to secure the coal they need, while others are reducing their output rather than lose money as coal prices soar.Brownouts have already hit at least 13 provinces, and at its peak last week, nationwide demand outstripped supply by nearly 70 gigawatts, the People's Daily newspaper reported yesterday.About 80 percent of China's electricity is generated by burning coal.The crackdown on unsafe mines, high global demand, which pushed up prices and the cold snap that has closed roads and downed cables have added to the problem, an official from the State regulator said.

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HAICHENG, Liaoning: The death toll has risen to 10 following the collapse on Sunday of a dam at an iron mine in Liaoning Province, after rescuers retrieved four more bodies Monday.Rescuers search the missing after the collapse of a dam at an iron mine in Shiqiaozi village of Haicheng, Northeast China's Liaoning Province November 26, 2007. Ten, including a child, has been confirmed dead and another three are still missing. [Xinhua]Zhang Xingdong, vice-mayor of Haicheng and head of the rescue team, said the bodies, including one of a child, were buried deep in silt.He said about 750 people, including soldiers, armed police, local officials and villagers, were continuing to search for three people still missing after the dam collapsed in the village of Shiqiaozi in the city's Ganquan township.More than 30 dredgers have also been employed to help clear the silt, he said."To ensure the safety of rescuers, we have sent experts to closely monitor four other iron tailings dams nearby to guard against possible further accidents," Zhang said.The four dams have a registered capacity of about 1 million cu m of waste ore each.The power supply has yet to be turned back on in Xiangyang, which is one of two low-lying villages hit by a large volume of mud-like debris after the collapse, he said.The debris smothered homes, suffocating and crushing those inside, he said.A further 17 people were injured in the accident and are now in hospital. One is in a critical condition, while three others were also seriously hurt.Doctors have said they are expected to pull through, however.The local government has set up its rescue headquarters at the primary school in Xiangyang village. It has also provided candles, quilts, clothes and food to villagers made homeless.Some were housed overnight in a local school, while others stayed with relatives.Xiangyang, which has a population of about 980, was the worst-hit by the debris, with 33 houses destroyed.The collapse also affected the village of Caijia, which is home to some 500 people. No casualties have been reported there, but there have been reports of severe damage to houses, vehicles and grain fields.The 100-m-long by more than 10-m-high dam was situated on a hillside. A crack more than 10 m long appeared in it and a river of waste ore and mud some 80 m wide spilled down across cropland.With a capacity of 150,000 cu m, the dam, which belongs to the Dingyang Mining Co Ltd, an iron ore producer, was designed to contain waste ore. However, over recent years, a large quantity of water had built up inside it, Zhang said.The mining company is a subsidiary of the privately run Xiyang Corporation, a magnesium refractory products and fertilizer producer based in Liaoning.Xinhua

A brand-new labor contract law comes into force from the New Year's Day that is expected to markedly propel rights for billions of Chinese workers."The government that is making the most concerted effort to protect workers rights is China," said Auret van Heerden, Geneva-based head of Fair Labor Association, which monitors work conditions in 60 countries.That "goes against the conventional wisdom that China is leading the race to the bottom," the Bloomberg News quoted Heerden as saying on Tuesday.The Labor Contract Law aims to improve job security for workers, making open-ended terms of employment for those employees who have completed two fixed terms with the same employer. The legislation limits overtime, sets minimum wages and guarantees one month's pay for each year worked for sacked employees. It is the first time that China's top legislature, the National People's Congress Standing Committee, has ruled on open-ended work contracts and severance pay for fired workers.The new law will make it more difficult for companies to hire temporary workers, a practice favored by exporters to cope with fluctuations in orders.One side-effect of the legislation will be higher labor costs for all employers in China. It is estimated that some labor-intensive businesses will have to raise their selling prices, or move to other places with lower cost.Olympus Corp., the world's No.4 digital camera maker, and Yue Yuen Industrial (Holdings) Ltd., the biggest maker of shoes for brands such as Nike Inc., are among companies shifting some production to Vietnam to cut costs.According to Chinese press reports, some companies have been terminating contracts and asking employees to resign ahead of the introduction of the law.Huawei Technologies Co., China's largest maker of telecommunications equipment, offered 7,000 workers new contracts with benefits if they terminated their old agreements, spokesman Ross Gan said.Some employees accepted, while others chose not to sign and left, he said, without providing details. The move wasn't aimed at evading legislation, Gan said in an email to the Bloomberg News.