New pricing mechanism for refined oil

The new price adjustment mechanism for refined oil has always been the focus of attention in the industry. Various aspects of the reform have been discussed again and again, but there is still no definite plan announcement. Recently, sources said that the new refined oil pricing mechanism has been reported. In addition to the reduction of the price adjustment cycle discussed earlier, to speed up the frequency of adjustments and adjust the affiliated oil, the three major oil giants of PetroChina, Sinopec and CNOOC may receive limited pricing power. That is, when the international oil price fluctuates within a certain price range, the relevant department will not issue a notice for each price adjustment. Instead, the three major oil companies may automatically adjust the price according to the new mechanism.

Industry researchers said that automatic price adjustment is a trend, but it is more important to break the monopoly of the three major oil giants on the market. If this is not the case, it is difficult to completely resolve resource constraints.

In this regard, Lin Boqiang, director of Xiamen University Energy Economic Research Center, said that the three giants automatically adjust the price does not mean that the independent price adjustment, but can only be strictly in accordance with the principles set by the National Development and Reform Commission to adjust prices, only the executive right only. However, automatic price adjustment can reduce the interference of other factors on the price of refined oil. As long as the price of oil does not fluctuate too much, it can follow the flexible adjustment of the international oil price.

Zhong Xu Information Analyst Qi Xuming believes that unless it breaks the monopoly pattern of sales and imports in the Chinese refined oil market or completely perfects the price adjustment mechanism, it will become “three barrels of oil” and continue to strengthen monopoly and manipulate market prices. Exclusion and refining of enterprises and private enterprises side of the shield.

With regard to pricing power, oil companies do not seem to be enthusiastic. Not long ago, CNPC President Zhou Jiping clearly stated that the current domestic prices for gasoline and diesel have not been adjusted, and it is still 18 US dollars less than the international oil price. The overall economic situation in the country is facing a complicated situation, especially the comparison of inflationary pressures. Under large circumstances, if the pricing authority is decentralized, the oil companies will trigger a chain reaction in accordance with market rules.