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SZ China Natural Gas Bi-weekly Report Aug 15-31,2011
[Friday, Oct. 28, 2011] PRINT EMAIL FAV PDF

 

CBM’s Commercial Development
 
China Will Exempt From Import Tax To Support The Exploration And Development Of CBM
 
China General Administration of Customs,China Administration of Taxation issued on Aug 30 that China will exempt the import tax and VAT to the domestic project which can not be achievede localization of CBM in the period of 12th five year.
 
This notification is mainly applied in the United Coalbed Methane Company and it’s international partners.These company could import the equipment,special tools and spare parts which is directly operate on the exploration and development of CBM project in the China localization of CBM exploration.
 
And the notification also clear that other China units of CBM exploration and development should apply to the Ministry of Finance when they need to import before the actual programme.After the consultation of Ministry of Finance and Administration of Taxation and Customs,this company could enjoy the same preferential import tax like China United Coalbed Methane.
 
In the case of China’s natural gas consumption gap,unconventional gas like CBM,shale gas will become very important and realistic alternative resource.The commercial development will have breakthrough and the project like CBM will attract trillions investment in the future 10 years.
 
For the completion of reduction commitments,China are restricting the use of coal and encourage the use of gas.China government even publish it’s target of 400-bil cu m natural gas consumption in 2020,12% of total energy consumption.This huge gap will rely on the development of CBM,shale gas and other unconventional gas to fill.
 
 

 
Index:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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