China's resource tax and charge policy will be biased toward less developed areas, according to the Ministry of Finance.

   The Ministry said that the departments concerned under the State Council, the cabinet, is now work on improvement of the mineral resource development compensation mechanism in less developed areas, which will focus on adjustment and reform of resources tax and charge policy to favor less developed areas in distribution of interest.

   Some deputies to the National People Congress (NPC), the top legislative body of China, has put forward proposal on raising standards of mineral resource charges and adjusting the distribution policy on the compensation funds.

   Currently, China adopts a distribution system of mineral resource compensation fees with the proportion standing at 5:5 between the central government and province and municipalities, and 4:6 between the central government and autonomous regions. The part for the central government will return to localities for exploration and protection of mineral resources.