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align: justify;”>Strong attempts are being made by China in order to increase fuel standards in the country, including efficiency. The capital city of Beijing has become the first city to invest in cleaner fuel, while Shanghai also contributed regarding this issue over the weekend.

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The change in the fuel ratings board means that new oil standards are being applied. The new standard has suggested that all the gas stations have to downgrade fuel ratings and newly produced purer oil will become available soon. Meanwhile, companies will require investment as they will need to upgrade the production system.

Yang Guoliang, the senior engineer of Sinopec Shanghai Petrochemical, said, “We spent 8.5 billion yuan to upgrade the oil production, increase to 2.6 million tones from 1million.” On the other hand, critics are concerned if the extra costs are passed on to consumers. Han Wenke, the director of Energy Res. Inst National Dev’t and Ref. Commission said that it is not fair that companies pass the extra costs on consumers. However, it is appropriate to pass on the extra pressure in short-term price increase.

When it comes to a long run, then companies must digest the pressure during distribution. Moreover, serious air pollution problems in China have triggered public outcries over fuel emission.

Photo Credits: Eco-B

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