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Chinese auditors said it found no embezzlement or misappropriation of construction fund in the ongoing Three Gorges project, however, they also detected some problems and flaws in the project management. The National Audit Office (NAO) said the overall quality control of the project was fine and total investment were kept under control. All 11 major projects were up to the standards, as were main materials such as steel and cement, said an audit report by the NAO. It said total inflation-adjusted investment, expected to be 78 billion yuan, could be more than 35 billion yuan less than planned in 1994. By the end of 2005, the country had spent 64.2 billion yuan on the project. The NAO, however, also detected extra construction costs of 488 million yuan, most of which was incurred by project construction contractors who exaggerated their expenditure. The office also found 20.4 hectares of land illegally used without governmental permission, while another 110 hectares approved for use had been left idle. "The problems are largely due to lack of laws and regulations and imperfection in internal control," said Pan Xiaojun, senior official with the NAO. The company said it had already corrected the use of 139 million yuan of fund involving violation of rules, and a total 17 measures had been adopted to improve management over the project. The office said 21 power station construction projects, most of which involved a single contract value of less than 10 million yuan were not put out to tender. A few construction companies were discovered to have subcontracted their projects against regulations and obtained illegal charge of 53.45 million yuan. About half of the 1,448 supervisors sampled were found to have no licenses for the work. The China Three Gorges Corporation said it had strengthened the implementation of public bidding to ensure the fairness of the results and avoid the influence of people, and it also added detailed terms about contracting in contracts to prevent illegal contracting. The unlicensed supervisors had been fired and supervision over the project supervisors were enhanced, according to the company. The report said that the project across the Yangtze River, the construction of which began in 1993, had played a "better-than-expected" role in flood prevention, power generation and shipping. "It's possible to put the project into full operation by 2009 as planned, and the project is running a bit ahead of schedule," it said. The fourteen generators in a power plant had been put into operation a year earlier than planned in 2005, the office said. Upon its completion, the Three Gorges dam will produce 85 billion kwh of electricity annually for supply to central and eastern China. The dam, which is 2,309 meters long and 185 meters high, will be installed with 26 turbo-generators, each with a generation capacity of 700,000 kilowatts. The audit, which took 150 auditors more than six months to complete, covered areas including fund raising, management and use, construction management as well as benefit of the project.

BEIJING -- China is likely to become the world's second largest consumer market by 2015,  said a report released by the Boston Consulting Group (BCG).Chinese shoppers select the luxury Louis Vuitton luggage at the first franchise store in Nanjing, East China's Jiangsu Province, July 25, 2007. [newsphoto]The report is based on a survey of 4,258 consumers in 13 Chinese cities from February to March 2007. According to the report, Chinese consumers are experiencing unprecedented wealth growth which is 3 to 5 times faster than developed countries in the past 50 years. Most Chinese consumers plan to spend more in near future to fulfill their family dreams."The past decade of rapid economic growth has brought prosperity but also uncertainty, resulting in a highly complex consumer market with diverse consumer attitudes," said Hubert Hsu, senior partner and managing director of BCG, at a press conference in Beijing."Capturing the next wave of consumer growth in China will involve developing deep consumer insights and creating marketing differentiation," said Hsu.The report said there are significant generational differences in terms of spending attitude among Chinese consumers. The strong interest in trading up, which means spending more money for more expensive products, was driven up by consumers' increasing desire for better goods and services and rising concern over safety and quality of cheap products.Chinese consumers put more faith in brand names compared with the US consumers and they believe good brand represents quality, safety, effectiveness and durability, said Hsu.Despite strong trading up desires, Chinese consumers continue to "treasure hunt" - make deliberate trade-offs to maximize "value" of their budgets. They use similar strategies for treasure hunting as their counterparts in other countries except several unusual tactics such as group purchase for volume discount, said the report.The report suggested global suppliers in China should establish strong, branded relationships with China's treasure-hunting consumers, provide the kinds of products that appeal to practical concerns and emotional needs, and be willing to customize their offerings to meet the needs of a geographically diverse population.While the retailers must make sure the categories they carry are the ones that treasure-hunting consumers will seek and focus on a product's technical and emotional benefits, said the report.

Nearly one out of three people in Beijing belongs to the mobile population, according to the capital's population and family planning commission.Workers stand on a temporary dormitory at the Central Business District in Beijing September 2, 2007. China's 120 million migrant workers, the young generation in particular, are demanding higher wages and a better working environment, the Labour Ministry said. [Agencies]The municipality's mobile population reached 5.4 million in October, accounting for nearly 30 percent of the total, the commission's deputy director Li Yunli said.More than 80 percent of the capital's mobile population belongs to the China-unique category of rural migrant workers, Li told a conference on population in Beijing on Monday. The remainder is mostly made up of people visiting for less than a month.She added that migrant workers would comprise the vast majority of both the capital's and the nation's mobile population for a long time to come. Currently, the national mobile population stands at 150 million.The most recent influx of migrant workers boosted the capital's population to about 17.4 million by October, signaling Beijing's population would likely exceed its threshold of 18 million earlier than previous forecasts, Li said.The total population would continue to grow in Beijing over the next five or 10 years, Li said, and "that would further strain scarce resources, including land, water and energy".Previous research has suggested that accommodating more than 14 million residents would exceed Beijing's food- and water-supply capacities.More than 130,000 people were born in Beijing in 2007 as of October, and more than one-third of them were born to migrant families, Li said. And according to her, there would be even more births next year.This year, most of the capital's unplanned births were to migrant families, Li said."Family planning among migrant workers is crucial to China's overall family planning, and the construction of a new socialist countryside and a harmonious society," deputy director of the State Population and Family Planning Commission Wang Guoqing was quoted as saying by Xinhua news agency earlier.In addition, most of the migrant workers in Beijing work labor-intensive jobs in fields such as manufacturing, home furnishing, catering, cleaning and domestic services.Most migrant workers received little education, with 60 percent of them dropping out after junior middle school mainly because of financial problems, Li explained.More than half of them earn less than 1,200 yuan (0) per month and live in poorly equipped rental rooms, Li added.Researcher with China Foundation for International and Strategic Studies Qin Xiaoying said that if migrant workers remain economically and socially marginalized, mental anguish could flourish among the demographic and threaten social stability.The commission urged governments at all levels to improve public services for the migrant population, protect their legal rights and interests, and reduce discrimination against them.

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There is perhaps no better time to savor the charm of Tian'anmen Square than during the week-long National Day holiday.Two girls pose with small national flags on Tian'anmen Square September 30, 2007, the eve of the week-long National Day holiday. [Xinhua] Stretching in front of the Forbidden City, it is ablaze with the color of 400,000 pots of flowers in full bloom.This year's major events can be seen at the city's center. Looking east are scale models of the Acropolis in Athens, the Great Wall, and a 9.8-meter Olympic torch, which represents the torch relay from Greece to China.To the south can be seen models of the Temple of Heaven and major scenes marking key events in the history of the Communist Party of China (CPC) to welcome the 17th National Congress of the CPC which starts on October 15.A big fountain sprouts water as high as 60 meters in the middle of the square surrounded by a bed of flowers."The square is always the best place to experience the festive atmosphere of the National Day," Deng Chuanmei, 48, a visitor from Jiangsu Province, said.Wei Liqing, a Beijing resident, said she has taken photos and videos at the square every National Day holiday since 1992. "I want to record the pace and growth of our country," she said.Work on the decorations and flower displays started about 25 days ago, and was carried out at night to avoid disrupting tourists and traffic, Zhou Jianping, an official with the Beijing gardening and forestation bureau, said.He said this year's decorations include 130 kinds of flowers, of which more than 20 will also be on display during the next year's Olympic Games. If weather permits, the flowers will be shown until the end of the month.The national flag raising ceremony will also be a major attraction. At dawn today, an estimated 200,000 people will gather at Tian'anmen Square to watch the event.The capital's tourism administration bureau has predicted that about 1.7 million people will visit the capital during the seven-day holiday.

YANGJIANG, Guangdong Province -- A Chinese salvage team is getting ready to recover the wreckage of an ancient merchant ship loaded with exquisite porcelain from the South China sea on Saturday."If the weather is cooperative, the boat, which has been in the sea for about 800 years, will see the light of day again two days later," said Wu Jiancheng, head of the excavation project.Photo taken on Dec. 20 shows the interior of "Crystal Palace," a glass pool that will be used to put the ancient merchant ship Nanhai No. 1 after its wreckage is recovered from the South China sea on Saturday, Dec. 22. [Xinhua]According to Wu, the excavation is scheduled to begin at 10 am and the ship is expected to be hoisted out of water in two hours.The ship dates back to the early Southern Song Dynasty (1127-1279) and is 30.4 meters long and 9.8 meters wide. It was the first ancient vessel discovered on the "Marine Silk Road" of the South China Sea. It was named Nanhai No. 1, meaning "South China Sea No.1."Wu said, Nanhai No. 1 left port in southern China to trade with foreign countries and sank probably due to stormy waves. It was quickly buried by silt. It was estimated there were probably 60,000 to 80,000 relics on board.To better protect the precious relics and gain valuable information, archaeologists launched an unprecedented operation in early May to raise the wreck and the surrounding silt in a huge steel basket.According to the plan, a crane would first put the basket onto a barge. Tow boats would then pull the barge to a temporary port on Sunday where the basket would be sent to a specially-built museum.In order to avoid damage to the relics caused by a change of environment and pressure, the ancient ship would be put in a huge glass pool. There, the water temperature, pressure and other environmental conditions would be the same as the sea bed where the ship lay.The pool, named "Crystal Palace" is 64 meters long, 40 meters wide and 23 meters high. It contains seawater and is about 12 meters in depth."It will be sealed after the ship and the silt are put in," said Feng Shaowen, head of the cultural bureau of Yangjiang City, Guangdong Province.Feng said visitors would be able watch the on-going excavation of the ship through windows on two sides of the pool.As early as 2,000 years ago, ancient Chinese traders began taking china, silk and cloth textiles and other commodities to foreign countries along the trading route. It started from ports at today's Guangdong and Fujian provinces to countries in southeast Asia, Africa and Europe.Nanhai No.1, accidentally found in 1987, was located some 20 sea miles west of Hailing Island of Yangjiang City in South China's Guangdong Province, in more than 20 meters of water.Green glazed porcelain plates, tin pots, shadowy blue porcelains and other rare antiques have all been found during the initial exploration of the ship.Guangdong has earmarked 150 million yuan (US.3 million) to build a "Marine Silk Road Museum" to preserve the salvaged ancient ship.Unlike the traditional practice of excavating relics on sunken ships first and then salvaging the vessel, no more relic excavations would be made until the boat "gets used to its new home," said Wu."Actually, archaeologists will conduct thorough excavations of the ship later in the pool."It is believed that a successful salvage would offer important material evidence for the study of China's history in seafaring, shipbuilding and ceramics manufacture.

At least two Chinese universities could achieve "world-class" status within the next 20 years, the president of one of the United States' oldest higher education institutions said yesterday in Beijing. Yale University's Richard Levin made the comment at the start of a 10-day visit by about 100 Yale faculty, students and administrators, the biggest delegation from the university ever to visit China. President Hu Jintao, who extended the invitation to the Ivy League university during his 2006 visit to the US, met the delegation last night at the Great Hall of the People. Hu said the visit of Levin's delegation will help promote mutual understanding and friendship between the two peoples, as well as the stable and healthy development of Sino-US relations. The president expressed his hope that Yale University students build strong relationships with the young people of China. In an interview with Chinese media, Levin said the country had made great progress in strengthening its top universities, by investing more in first-class facilities including research labs. "The key ingredients to being a world-class university are top students and top faculties," Levin said. "I don't think there is any doubt that China's top universities today have students that are as good as any in the world. "What remains to be built are faculties that are at the very frontier of research in their fields and worldwide leaders in their research endeavors." The delegation will spend its days meeting government leaders and visiting universities and other historical and cultural sites in Beijing, Shanghai and Xi'an. The Chinese government and Yale are sharing the cost of the trip. Participating students and faculty, the majority of whom had never before been to China, were handpicked to represent the university's different schools. Delegation groups will today meet with government leaders, including Yang Jiechi, the minister of foreign affairs and Jiang Zhenghua, chairman of the Chinese Peasants' and Workers' Democratic Party. The visiting students may even bridge some cultural divides. "I think that young people can play a very important role in securing a peaceful future for the US and China," Levin said. "Today, especially among the older generation, there is a great deal of ignorance about China in the United States, and some ignorance about the United States in China as well." Before leaving for China, some of the delegation met with US President George W. Bush, who spoke about the importance of "people-to-people diplomacy". "I think the trip will serve a cultural purpose in that our students will get a deeper understanding of Chinese culture to the extent that this throws into public view the importance of student-to-student exchanges," Levin said. "And that certainly serves a political purpose."

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BEIJING -- The Standing Committee of the National People's Congress (NPC), the top legislature, approved on Thursday the nomination of procurators of all 31 provinces, municipalities and autonomous regions in the Chinese mainland.The approval was made at the 32nd meeting of the Tenth NPC Standing Committee, upon the proposal of Jia Chunwang, procurator-general of the Supreme People's Procuratorate.At the meeting, the NPC Standing Committee examined and approved the nomination of these candidates, who had been elected at provincial legislative sessions in January.The procurators are 53.9 years of age on the average, including 22 aged under 55. And 21 of them have been elected deputies to the 11th NPC.The 11th NPC will start its first annual session in Beijing on March 5.

BEIJING - China welcomed Sudan's acceptance of a joint African Union- United Nations peacekeeping force for the country's troubled Darfur region. A Sudanese diplomat in Ethiopia confirmed on Wednesday that Sudan has accepted the mission after receiving assurances that a "hybrid" AU-UN force of 17,000 to 19,000 troops will not be open-ended and Sudan will remain in control of its borders. "China welcomes the deployment of a hybrid AU-UN force in Darfur and the joint statement," Foreign Ministry spokesman Qin Gang said in a statement posted on the ministry's Web site late Wednesday. "The facts have shown that dialogue and equal negotiation is an effective approach to political solution of the Darfur issue, and the consultation between AU, UN and Sudan is an effective mechanism," Qin said. China recently appointed a special representative for Africa to focus on Darfur, and has publicly urged Khartoum to give the UN a greater role in trying to resolve the conflict. The Darfur conflict began in 2003 when local rebels took up arms against the Sudanese government, accusing it of decades of neglect. Sudanese leaders are accused of unleashing the pro-government Arab militia, the janjaweed, to fight them - a charge they deny.

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BEIJING -- China regrets that the United States requested the World Trade Organization (WTO) to set up a dispute settlement panel to solve the intellectual property rights (IPR) disputes between the two sides.Wang Xinpei, spokesperson of the Ministry of Commerce, made the remarks in a news conference here Thursday.The Chinese government has always been firm in protecting IPR and tried to solve IPR protection problems through dialogues, Wang said.China has detailed and clarified problems raised by the US and showed great sincerity, Wang said.China's laws regarding IPR protection completely meet WTO requirements, Wang said, adding China is opposed to any WTO member's move of making developing members shoulder extra obligations through dispute settlement system, Wang said.China is studying the US request and will act actively, Wang said.The United States on Monday requested the WTO to establish a dispute settlement panel regarding so-called China's deficiencies in intellectual property protection.The US initiated the dispute over the issue by requesting consultations with China on April 10, 2007.Under WTO rules, the WTO Dispute Settlement Body (DSB) will consider the US request for the establishment of a panel at its next meeting on August 31.

BEIJING -- For the first time in its history, the Communist Party of China (CPC) has mentioned the word "religion" in an amendment to its Constitution adopted on Sunday at the closing session of the 17th CPC National Congress.To incorporate into its Constitution the principles and policies the Party has formulated for guiding efforts to strengthen the work related to ethnic and religious affairs, among others, is conducive to their full implementation and getting better results in the Party's work in this area, said a resolution on the amendment to the Constitution.It said the insertion has been made in light of the new circumstances and tasks.The CPC is atheistic but allows freedom of religious beliefs. China is home to 100 million religious faithful, largely Buddhists, Taoists, Christians, Catholics and Islamites"The Party's secret in handling well China's religious issues lies in its principles and policies," said Ye Xiaowen, director of the State Administration of Religious Affairs. "Their insertion in the Party Constitution shows the Party is sincere, and capable, of its implementation of policies on the freedom of religious beliefs. "He said religious problems are reported in many parts of the world. "But in China we enjoy peace and quiet because we have the established policies and principles."With the new elaboration on religious work, Ye said the Party is determined to enhance the active role of the religious circle and faithful in boosting social and economic development."I learned of the amendment on the Internet and was inspired," said Living Buddha Dainzin Qoizha in the Shannan Prefecture of southwest China's Tibet Autonomous Region. He's been watching the week-long Party congress on the Internet.Dainzin Qoizha is a government employee in Shannan. More than half of his colleagues are CPC members."I'm on very good terms with them," he said. "As a non- Communist, I'm in charge of ethnic and religious work. The prefecture's Party committee is very supportive."Hao Peng, vice Party chief in Tibet, described the relations between the Party and the religious faithful as "united, cooperative and mutual respectful".Tibet currently has more than 1,700 religious sites, 46,000 monks and nuns and more than 30 living Buddhas whose reincarnation has been recognized by the central or regional governments.At least 600 Tibetan Buddhist faithful are working at local legislatures, political advisory bodies, administrations of religious affairs and state-owned businesses and institutions.The CPC's tenet of building socialism with Chinese characteristics, featuring prosperity, democracy, cultural advancement and harmony, reflect the common aspirations of Tibet's religious faithful, said Zhukang Tubdankezhub, president of the Tibetan branch of the Buddhist Association of China.As the host country of the 2008 Summer Olympic Games, China has pledged to offer religious services for foreigners arriving for the Games."A large number of religious faithful will be arriving for the Games," Ye Xiaowen told reporters at a news conference on the sidelines of the 17th Party congress.He said China is working on religious facilities at its Olympic venues with the help of the International Olympic Committee and referring to the practices at previous Games. "Our religious services will be up to previous standards."Ye also dismissed allegations that China restricted the printing and sale of Bibles, which he said receive state subsidies and other preferential policies.China, with 16 million Protestant Christians, has printed 42 million Bibles, he said.