Premier Wen Jiabao chaired the executive meeting of the State Council, which aims to formulate plans for advancing the annexation and reorganization of enterprises, heard the reports on the work of supervising and inspecting the Central Government-led enterprises and the Board of Supervisors of the State-Owned Enterprises and discussed and basically approved the Natural Disaster Relief Regulations (Draft)

The meeting pointed out that the annexation and reorganization of the enterprises was accelerated and the industrial organization structure was optimized through various methods including enterprise amalgamation and stock ownership and assets acquisition. However, it was noticed that some industries have low stock holding degree, weak independent innovation ability and low competitive ability. Under the new situation, the annexation and reorganization must be practically advanced and the enterprise reform must be deepened.

The meeting emphasized that the principle role of the enterprises must be exerted, the principle of marketization operation must be sticked to and the problems of the disposal of assets and debts and the resettlement of the workers must be solved.

1. To eliminate the obstacles of the annexation and reorganization of the enterprises.

2. To strengthen the guidance over and the policy support on the annexation and reorganization of the enterprises.

3. To improve the management of and the service for the annexation and reorganization of the enterprises.

4. To advance the reform of the enterprises system, further strengthen and improve the operation and management, promote independent innovation and improve the competitive ability, through the annexation and reorganization of the enterprises.

The meeting heard the reports on the work of supervising and inspecting the Central Government-led enterprises and the work of the Board of Supervisors of the State-Owned Enterprises. On the one hand, the Central Government-led exerted their principle role and maintained the stable production and management by implementing the national policies; on the other hand, there were problems which impede the sustained development of the enterprises and involved with the state-owned assets security. The supervision of the Board of Supervisors should be intensified; the external supervision mechanism should be improved; the reform of Central Government-led enterprises should be deepened; the hedge and increase of state-owned assets should be maintained.

The meeting discussed and basically approved the Natural Disaster Relief Regulations (Draft). The natural disaster relief and first-aid system had taken shape initially. The draft required that the relief work should stick to the "people oriented, government leading, decentralized managing, social relief and self-relief combining” principle and the "administrative leadership responsibility” system. The draft defined the preparatory measure of the natural disaster relief, established the warning- responding mechanism, emergency-responding mechanism and the assistant system for disaster victims and intensified the supervision over the funds and supplies.