A "monopoly of merit theory" sparked waves in the industry. Recently, Li Rongrong, the former director of the State-owned Assets Supervision and Administration Commission of the State Council, said at the Davos forum that it is normal for monopolies to appear in certain industries. “If China Petroleum, Sinopec, and CNOOC are not the three oil companies, the Chinese economy will be chaotic.†In order to prove this argument, Li Rongrong said that when oil prices rose in 2008, “three barrels of oil†suffered huge losses of up to 168 billion yuan to maintain the stability of the domestic market.
As early as December 22, 2005, at the news conference of the China Newcommercial Office, Li Rongrong said: “Oil, telecommunications, and electricity have already formed a basic competitive pattern. Almost none of these industries are monopolised.â€
After his resignation, he was "confessed" and it made a lot of sense. Some people say that throwing out "three barrels of oil" is to prove that the monopoly of state-owned enterprises is "necessary." What is even worse is that "three barrels of oil" is undeniable to the "finance" of the national economy. However, because of its "effectiveness" and ignoring the harm caused by "monopoly", it is irresponsible.
Current situation: Central enterprises are "rich with oil"
China's central SOEs have gradually emerged from the shadow of the financial crisis, and revenue and profits have embarked on an upward path. On September 19, according to statistics released on the Ministry of Finance website, from January to August this year, state-owned enterprises realized a total profit of 1.26447 trillion yuan, an increase of 46.7% year-on-year, and August profits increased by 6.8% from July. Among them, the centrally managed enterprises accumulatively realized profits of 722.82 billion yuan, an increase of 50.1% year-on-year; local state-owned enterprises had a cumulative profit of 387.2 billion yuan, an increase of 67.5% year-on-year.
The data also shows that from the same period of last year, in addition to the ** industry, the profits of other major industries continued to maintain rapid growth. From the ring situation, profits from the construction real estate, automobile, commerce, steel, and machinery industries showed declines to varying degrees; profits from the coal, power, petrochemical, petroleum, and non-ferrous industries showed growth.
According to the information released by the SASAC recently, from January to August this year, the central enterprises cumulatively realized operating income of 1.057312 trillion yuan, an increase of 40.4% year-on-year. The growth rate slowed by 2% from January to July; the accumulated profit was 723.55 billion yuan. The growth rate was 50% year-on-year, and the growth rate slowed by 4.3% from January to July. The total tax paid was 888.33 billion yuan, a year-on-year increase of 22.6%.
In the international market, China’s central enterprises are also constantly showing results. Compared with 2002, in the 2010 World Top 500 List, the number of US shortlisted companies has dropped by 60, while the number of Chinese finalists has increased by 32. A total of 54 Chinese companies have been short-listed. Among these, most of them are China's central enterprises, including Sinopec, the State Grid Corporation of China, and China Telecom, which are familiar to everyone.
In addition, from 2002 to 2009, the total assets of the central enterprises increased from 7 trillion yuan to 21 trillion yuan, sales revenue increased from 3.4 trillion yuan to 12.6 trillion yuan, and profits increased from 240.5 billion yuan to 797.7 billion yuan. The number of central enterprises has been reduced from 196 to 123, but the number of central enterprises that have joined the world's top 500 has increased from 6 to 30.
Argument: Unreasonable "Monopoly Theory"
However, while making gratifying profits, the outside world has not reduced relevant doubts about the central SOEs. For example, the central government frequently competes in cities as the "land king", the welfare of the central SOEs, and the monopoly on the market.
However, at the Tianjin Summer Davos Forum, Li Rongrong, who had just retired from the position of director of the SASAC, issued a “monopoly theory of meritâ€. "If there are no oil companies such as PetroChina, Sinopec, and CNOOC, the Chinese economy will be out of order." Li Rongrong said that when oil prices soared in 2008, "three barrels of oil" suffered a huge loss of up to 168 billion yuan to maintain the stability of the domestic market. However, this remark was immediately questioned by many analysts.
"In my opinion, there is no truth in the 'monopoly power theory'." Cui Xinsheng, chief researcher of the China Value Index, believes that, first of all, whether or not the central SOEs have merit is more of a political assessment than purely economic considerations; If there is no object of comparison, such as non-public enterprises and private enterprises, the monopoly profit is more like a conceptual expression; again, the premise that cannot be forgotten is that the current market resources and major achievements of the central enterprises are all caused by administrative monopolies. Not through normal market competition.
As Cui Xinsheng said, China’s current central enterprises not only enjoy preferential policies, funds, and imports and exports, the proportion of dividends turned in is also very low, and some do not even need to pay, but the lucrative **, petrochemical, electricity The profits of the five resource-based industries, telecommunications and coal are only 10%, far lower than international practices.
"This must be viewed from both positive and negative perspectives." Song Songxing, a professor at the Business School of Nanjing University, pointed out that in terms of its positive role, the role of central SOEs in the financial crisis cannot be denied. It is the existence of many monopolized state-owned enterprises in China and guarantees the economy of our country. The normal operations during the crisis and the goal of "guaranteeing 8" GDP. At the same time, this is in line with China's special national conditions, and the country can also use the resources of the central enterprises to carry out relevant regulation and control to grasp the correct direction of the economy; but from the negative effect, the resource monopolization of the central enterprises and the relevant administrative regulation of the state are too intense, although it has short-term effect. However, long-term distortions such as price distortions may ultimately be detrimental to China's market economy.
"Big mouth" Ren Zhiqiang also commented on the Weibo microblogging: "Bigger and stronger state-owned enterprises use the assets of the entire people to squeeze out the living space of the entire people, monopolize the value-added of state-owned assets, and retreat from the administration of the country, erode and erode. The market share has overturned the foundation of market-oriented reforms and has taken advantage of the resources of the capital market.†In addition, an online survey showed that 41% of netizens believe that “monopoly power theory†is to exonerate responsibilities for state-owned enterprise monopolies.
Concern: Worrying about the survival of private enterprises
"Can Li Rongrong, who has fulfilled his mission, pay more attention to private enterprises?" After Li Rongrong said "Monopoly Doctrine", some analysts questioned it. Indeed, with the monopoly of market resources by state-owned enterprises, the living environment of private enterprises is increasingly worrying.
The media quoted an authoritative report and said, “The salary of A-share listed state-owned enterprises was nearly twice that of private listed companies (including Chinese companies listed overseas) in 2009. In stark contrast to this, the operating efficiency of listed state-owned enterprises is not as high as that of private companies. The average return on net assets is only 37.3% of the latter, accounting for about 1/3 of the total. In addition, in view of many people, private companies are currently facing the front of many central enterprises in undertaking social responsibilities such as employment issues. .
“Some of the central SOEs are too powerful, leading to the market share of private enterprises being squeezed. Or that monopoly cannot be eliminated, it is very difficult for private enterprises to change the status quo.†Cui Xinsheng pointed out, “What we need now is a deep-seated opening. The central enterprises eat the upper, middle and lower reaches of the industry.†He believes that first of all, it should be affirmed that for high-end industries that are partially related to national economic security, the state should exercise more absolute control in the upper reaches of the industry; and when allowed, Gradually release the middle and lower reaches of related industries, and thus release the living space of private enterprises. For example, in the oil and gas industry, after Sinopec, PetroChina, and CNOOC control the upstream sector, they partially opened up the mid-stream refining business, and at the same time prompted the downstream retail market to form a complete competitive market.
"An objective fact is that private enterprises' development role in China's economy is not particularly obvious." Song Songxing believes that, in the long run, China will have to gradually improve the market economic system, reduce the color of administrative monopolies, and improve the living environment of private enterprises.
In fact, relevant state departments have also noticed the status quo of private enterprises. This year, the "new 36" was introduced to encourage private capital to enter more industries in China. However, it is still difficult in practice. According to relevant media reports, on the “opening up of crude oil import rightsâ€, there are private owners complaining that when they import crude oil to the customs, they need to show the production certificate issued by PetroChina or Sinopec, and if they do not, they cannot report it. Prior to this, PetroChina and Sinopec had reported to the State Council and resolutely opposed the "outsiders" coming in to disrupt the order of crude oil imports.
In this regard, Song Chung-hsing believes that at present, private enterprises have entered the relevant monopolies, and the actual operation is very difficult. “The country still needs to take more concrete actions.†He pointed out that, first of all, the relevant state departments can formulate more preferential policies to create more living space for private enterprises; second, the central enterprises may appropriately release related fields, at least let them Private enterprises cooperate with central enterprises in related work, and gradually change the status quo to free up more space. Third, we must step up the revision and readjustment of China’s “Anti-Monopoly Law†and target monopoly industries that are recognized by telecommunications, petrochemical, and medical industries. Set relevant standards, such as how much market share cannot be exceeded.
However, people in the industry believe that the relevant ideas are still difficult to achieve in a short period of time, because the relevant state departments would have wanted to further enlarge and strengthen the central enterprises, and there are legal guarantees - Article VII of the "Anti-Monopoly Law" : "The state-owned economy accounts for the status of control over the lifeline of the national economy and the industries that implement the franchise and the franchised monopoly industries. The state shall protect the legitimate business activities of its business operators."
Responsibility: Establishing independence**
At the same time, the "monopoly meritorious" central enterprises not only encountered expert questions in the system, but also frequently appeared in environmental pollution and related accidents. For example, the Sinopec frequented this year's "quality door", Zijin Mining and PetroChina's pollution door incidents.
“Since the status quo of the monopoly of central SOEs is difficult to change in a short period of time, it is necessary to take corresponding social responsibilities in the economic development of our country and even take the lead in other enterprises in the adjustment of economic structure.â€
Cui Xinsheng believes that "at the same time, the relevant departments may establish a free agency outside the interests of the **, to deal with related responsibility events."
Song Songxing believes that under the conditions of a market economy, the treatment of related responsibility events of central enterprises must be treated in the same way as private enterprises, and that “it is only persuasive to establish a fair mechanismâ€.
“The greatest social responsibility or social obligation is precisely for ordinary people to truly feel the rapid development trend of central enterprises.†Song Songxing further pointed out that “we should divide the profits of the central enterprises in accordance with a certain percentage, and then be assigned to our country’s ** **Jinzhong. In this way, ordinary citizens can enjoy the benefits of the central enterprises that should be owned by the entire people."
It is reported that in accordance with international practice, the proportion of dividends paid by state-owned enterprises is generally 50%, and some are even higher. For example, the dividends of Singapore state-owned enterprises mainly consider cash flow (that is, the profit before depreciation), and the high dividend levels reach 80% to 90% of profits. In particular, foreign countries, state-owned enterprises must transfer their profits to the financial department, which is dominated by the financial department, or used for public expenditure, or used for returning enterprises. Profits cannot be controlled by the enterprises themselves.