Fellow Deputies,
On behalf of Jiangsu Provincial People’s Government, I now submit a report on the work of the government for your examination and approval and also for comments and suggestions from the members of the Provincial Committee of the Chinese People’s Political Consultative Conference.

1. Review of the work in 2004

The previous year witnessed the major achievements made in the reform and opening up and socioeconomic development in Jiangsu. Under the leadership of Jiangsu Provincial Committee of the Communist Party of China (CPC), people in Jiangsu held high the great banners of Deng Xiaoping Theory and the important thought of Three Represents, conscientiously implemented and put into practice the view of scientific development, firmly stuck to the objectives of making our province great and people prosper and realizing the “Two Leads”, endeavored to promote the harmonious and sustainable development on a full scale, and the goals set at the Second Session of Tenth Jiangsu Provincial People’s Congress were satisfactorily met.

----A rapid and steady growth was shown in economy. The total output value of the whole province was estimated upwards of 1.5 trillion yuan, an increase of more than 14 percent over the previous year; the total output value per person came to over RMB 20,000. 

----The regional financial power kept boosting up. The general regional budget revenue totaled 98 billion yuan, up 35 percent and the total financial revenue by the same caliber came to 254 billion yuan, up 28.8 percent.

----A strong growth was shown in the opened economy. The volume of imports and exports totaled $170.8 billion, up 50.3 percent among which volume of exports contributed $87.56 billion, up 48.1 percent.

----The employment exceeded the target. There were 870 thousand new jobs for urban residents. The registered urban unemployment rate was 3.9 percent.

----There was a noted increase in the residents’ income. Urban per-capital disposable income was 10,482 yuan and rural per-capital net income was 4,840 yuan, up 13.2 and 14 percent respectively.

----All social undertakings developed in a faster pace. Science and technology made greater contributions to the growth of economy. The popularity rate of high school education reached 84.8 percent and the enrollment rate of higher education was promoted from 27 to 29 percent.

----The building of spiritual civilization made new progress. The work to build a law-based and safe Jiangsu yielded outstanding accomplishments and the sense of security of both urban and rural residents was improved.

Last year’s achievements were not at all easy to make. People in Jiangsu conscientiously put into practice the new requirements to the work in Jiangsu made by the CPC Central Committee with Comrade Hu Jintao as general secretary, adopted a scientific overlook on innovative thinking for development, grasped new chances in the procedure of tightening macro-regulation; although confronted an unfamiliar circumstance with many difficulties, challenges and conflicts, we maintained a good spirit that people worked energetically and effectively, a good trend that the economy developed in a steady and rapid pace, a good  phenomenon that the society was in safety and harmony and we took new steps on the way of scientific development.

(I) Strengthening our support for agriculture, rural area and farmers, improving grain production and increasing rural income.
 
We adopted a series of policies and measures to support, in a more direct and powerful way, the development of agriculture and rural economy. Our work relating to agriculture, rural area and farmers was improved in the macro-regulation, and the increasing rate of the average rural net income had set the best record ever since 1997. The provincial government allocated 11.32 billion yuan in each relating area, an increase of 55.3 percent over the previous year. First, a policy to support agriculture focusing on “one reduction and three subsidiaries” came into practice. The provincial tax rate on agriculture was reduced by 3 percent; agriculture tax was exempted in 5 cities in Jiangsu. The direct subsidiaries to grain producers and subsidiaries to farmers to purchase improved crop strains and agricultural machinery and tools were carried out in a full scale. Due to these beneficial policies, the active market, the hard-working people and the favorable weather, the grain production came to its significant turning point that it exceeded the expectation with a 7.14 billion grams increase in the annual total production. A good phenomenon with the increased grain production, the more efficient agriculture, the higher rural income and the stable rural area began to take its form. Second, we energetically made structural adjustments in agriculture and the rural economy. We strived to develop the ecological agriculture with high production, quality and safety, improved the industrial management in agriculture. The transfer of rural labor made new progress. About 700 thousand rural works were newly transferred out. Third, we fully implemented the five changes in rural area. The average rural burden was reduced by 61 yuan, due to the adjustments in policies, another 4.31 million farmers benefited from changes to water conservancy projects , 41 thousand households of thatched cottages in danger were upgraded, 18 thousand kilometers of rural roads open for traffic was newly constructed and 34 million farmers joined the new type of cooperative medical insurance project which covered 70 percent of the whole rural population and reflected an evident betterment of rural living conditions.

(II) Implementing and putting into practice the measures for macro-regulation, and achieve new development in adjustments.

We decently implemented the Central Government’s policies and measures for macro-regulation, and adhered closely to the principle of dealing with different sectors individually, expanding some of them while contracting others and instructing in accordance with different categories. Our work focused on accelerating economic restructuring and change in the pattern of economic growth, raising the quality and interests of economic growth. We straightened out the projects of fixed assets investment and the low-level redundant construction. Investments in industries that badly needed rectification such as steel and cement were effectively curbed. We took measures and rectified order in the land market, focusing on straightening out and rectifying the development zones.
 
We took a series of measures in improving the intensive use of land, raising the subsidy standard for expropriation of land, clearing up overdue payments owed to farmers as compensation for expropriation of land, carried out on a trial basis the system guaranteeing a minimum standard of living for farmers whose land being expropriated and reining the scale of demolition of housing, all of which turned out good results. We tried all means to alleviate shortages of coal, electricity, petroleum and transportation. We accelerated the constructions of power station and networks, paying special attention on their management. Needs of electricity usage of people’s lives and key enterprises and governmental agencies were ensured to meet. We actively restructured the credit mechanism and maintained a steady financial status. The timing and magnitude of market price was appropriately handled and a notable fall after rise in price had been appeared ever since September. The annual consuming price went up 4.1 percent compared with that of the previous year.

We energetically carried out economic restructure. We adhered to integrate the construction of modern industrial bases and development of service industry, to integrate the development of hi-tech industries and reconstruction and upgrade of the traditional ones, to integrate the adjustment of industrial distributions and advancement of the regional mutual development. We endeavored to raise the overall economic quality and the comprehensive competency. The value-added of provincial industrial enterprises of a certain scale increased by 644.7 billion yuan, up 23.4 percent, while value of hi-tech industries went up by 42.3 percent, which covered a range of 23.2 percent of the industries of a certain scale, up 2 percent. The value-added in building industry reached about 0.1 trillion yuan. Efforts were energetically made to help key enterprises and groups grow bigger and stronger. There were 11 new enterprises in the list of enterprises with annual revenue over 10 billion yuan, enlarging the number of such enterprises to 33. The service industry was also developing in a faster pace, for the total retail of social consumption reached 415.97 billion yuan, up 16.6 percent.

We vigorously strengthened the construction of infrastructures and key projects. The total fixed assets investment was up to 682.8 billion yuan, up 28 percent. The newly constructed express way stretched out to 421 kilometers. Ning-Hang, Yan Jiang and Tong-Qi Expressways were completed and open to traffic; the continuation constructions of Run Yang and Su Tong Bridges, Nanjing Yangtze River Bridge III and Hu Ning Expressway were in good progress; and Nanjing-Yangzhou sect of Ning-Qi Railway started to operate as well. The constructions of a 100 thousand-ton berth and a 5th generation of container terminals in Lian Yungang were completed and put into production. The project of Tai Cang Port, Phase II, was under an accelerated construction. The newly increased electricity capacity reached 4360 MW，and grand electricity transmission projects such as the Jiangyin 500 kV Cross Yangtze River Project began to yield the returns on investment. The water transmission from south to north in eastern part of Jiangsu, phrase I was accelerated to accomplish, moreover, the rebuild project along Huai River after flood almost completed.   

（III）Seizing every opportunity to promote reform and opening up, accelerating the innovation of system and mechanism.

We conscientiously implemented each task assigned in the year of promoting the reform, including deepening the reform of state-owned enterprises, establishing provincial and municipal institutions for oversight for state assets, further separating the functions of government from those of enterprises, institutions and state assets management authorities. The digression of functions between the provincial governmental departments and the enterprises that are under their authorities was almost realized. The reform and reorganization of the provincial and the large-scaled state-owned enterprises achieved significant results. The 43 large-scaled state-owned enterprises that are key targets of provincial supervision gained a 22.8 percent increase in profit. Twenty-two policies and measures were come on to vigorously develop the private economy, aiming at strengthening the magnitude of and further implementing the policies and measures. As a result, there were 110 thousand new-born private enterprises, meanwhile, the paid-in–capital of private enterprises amounted up to 535.1 billion yuan, up 47.3 percent. In accordance with the principal of classified orientation, separate management and respective reform, governmental agencies were under a positive and steady reform. The reform of manufactural governmental agencies has brought about staggered fruits, and the reform of social service and administrative governmental agencies was in an orderly development. 

We endeavored to open even wider to the outside world so as to respond to the new trend of a globalized economy and the new change of the macro-economical environment. The annual consultative foreign capital for registration reached USD 36 billion, up 18 percent; and we maintained to set the pace all round the country with an effective registered foreign capital of USD 12 billion. Twenty-one big projects of investments over USD 0.1 billion have been newly examined and approved. The significant events of economy and trade such as the “Suzhou-Hong Kong Cooperation Promotion Week” and the “Jiangsu-Macao Week” achieved plentiful and substantial results. We vigorously implemented the policies for tax refund, resulting in a continuous increase in large degree in exporting volume in foreign trade. The export mix was further improved. The exporting proportion of mechanical and electrical products and hi-tech products reached 66.3 and 41 percent respectively. We concluded from the success of Suzhou Industrial Zone and enlarged its positive influence to other areas, hoping to improve the construction of developing zones and to emphasize the functions of those zones being rallying, innovative and radiant points for advanced enterprises. We energetically put into practice the “go global” strategy. Both the total sum of newly assigned foreign work contracts and the realized volume of turnover amounted over USD 2 billion, and an evident increase in investment in foreign countries was shown.

(IV) Implementing the requirement of planning as a whole to development and improving the harmonious development.

During the process of accelerating economic growth, the provincial government paid closer attention than before to the comprehensive development of the society, and strengthened the weak links in economy and society. First, the provincial government made great efforts in the development of all social undertakings. All of 10 key projects of enhancing social undertakings went smoothly and covered a total investment of 4.3 billion yuan. Investment in science and education was enlarged in that the three kinds of expenses in science and technology increased by 20 percent. A special fund amounted to 300 million yuan was established to promote the industrial application of scientific advances, and 25 billion yuan altogether was invested in science and technology from both the enterprises and other social walks. With the financial support from the provincial government of 6.69 billion yuan, a 31.2 percent increase, all kinds and levels of education were improved, among which compulsory education in rural areas, vocational education, and high education gained remarkable development. The numbers of on-school college students and vocational school students respectively reached 1.06 and 1.25 million, both ranking the first place in a national scope. There was a flourishing development of cultural undertakings, and the investment in public cultural facilities was increased by a large margin. The systematic transformations in Xin Hua Publishing Group and Jiangsu Performance Group, as two pilot projects, both proceeded smoothly. The province witnessed its native performers gain good marks in such important cultural activities as the Seventh National Art Festival, and successfully hosted the 28th World Heritage Conference. All social undertakings including press, publication, radio, television, movie, literature, art, philosophy, and other social sciences enjoyed all-round advances. The efforts in constructing a prevention and control system to deal in urgency with sudden public health events were strengthened, covering a total investment of 1.29 billion yuan. The provincial reputation in sports was newly increased in that 4 native athletes gained gold medals in the Athens Olympic Games. The preparative work for the Tenth National Games went smoothly, and the constructions of a series of important sports facilities, such as Nanjing Olympic Center, were almost completed. Second, the provincial government further promoted the regional aggregate development. A new round of the exploitation along the Yangtze River started, as well as the construction of an industry belt along the Long-Hai Rail Line. The central and northern areas of the province developed rapidly with the support of the provincial government who significantly transferred social resources to the target areas in the aspects of finance, industries, science and technology, and labor force. The transfer payments and special subsidies out of provincial finance to these areas altogether reached 8.77 billion yuan, 47.9 percent more than the previous year. 1893 projects, up 12.2 percent, which individually involved at least a 5-million -yuan investment and in total covered 64.1 billion yuan, increase of 81.8 percent, were transferred from other areas of Jiangsu Province to the northern part. Third, the provincial government facilitated the development of population, resources, environment, and economy in harmony. A master plan of building a green Jiangsu with high ecologic quality and an advanced recycling sector of economy was formulated while the implementing measures were carried out. The number of national exemplary cities for environmental control increased from 10 to 15 in the province, and the forest coverage went up by 105 thousand square kilometers. Pilot projects of the recycling sector of economy were actively managed, and progress was made in clean production. The prevention and treatment of water pollution in key river areas were seriously implemented, and as a result the water quality in those areas improved. Along with the social awareness of practicing economy in the use of land, electricity, and water, the measures of intensive use of resources took new effects. The efforts in population control and family plan were strengthened. The pilot policy of awarding and aiding family plan in part of the rural areas was smoothly carried on. Fourth, the provincial government worked hard to develop spiritual civilization, democracy, and the legal system. The public intensively undertook mass activities to boost spiritual civilization, improved the moral education of children, and finally upgraded the morality of the whole society. During the construction of a safe Jiangsu under lawful regulation, all facets of public security were improved at a steady pace, the market economy was regulated fundamentally in order, the safety in production was kept stable, and the social stability was ensured. The militia and reserve forces were strengthened. Preferential treatment was given to families of services personnel and martyrs, and military personnel were urged to support government and respect civilians. Ethnic, religious, and foreign affairs, as well as the affairs concerning Taiwan and nationals living abroad, all gained new achievements. The undertakings for women, children, senior citizens, and the disabled were also speeded up.

（V）Strengthening the work on employment and social security, and focusing on improving people’s lives.

The provincial government kept emphasizing the policy of enriching the people in such vigorous efforts as encouraging private startups and widening the approaches to increasing income, therefore, both the urban and rural residents cheerfully witnessed the increases of their income at similar pace. First, the provincial government increased efforts in employment and reemployment work. Positive employment policies were conscientiously implemented, vocational trainings were improved, and the reemployment aiding system was strengthened. These efforts brought to a better situation of social employment than the previous year. Second, the provincial government strived to expand the social security system’s coverage. The achievements out of “Three Guarantees” and of the subsistence guarantee system were further consolidated, and the personal old-age pension was raised. The subsidies as old-age pension funds delivered to the townships in need reached 1.04 billion yuan, up 19.5 percent. Totally 383 thousand urban residents in real need were guaranteed the minimum living standard, and so were 443 thousand farmers all over Jiangsu. Third, the provincial government resolved in practice the living problems of people in difficulty. The targets of the improved aiding system included low-income families, the unemployed, and farmers with land expropriated, as well as residents with house temporarily demolished, and poor families. More and more children from poor families received education. The total amount of college scholarship financed by the provincial government was enlarged from 10 million to 49.25 million yuan. A special fund of 150 million yuan supported vocational schools where 10 thousand poor students from rural areas received education. Textbooks worth 11 million yuan were sent to 50 thousand poor students from rural areas for free. A large quantity of defaulted construction fee and of defaulted salary for workers from rural areas was paid off. The work on assisting the poor and aiding people in accident was improved. 110 thousand rural families directly benefited from the small-size discount government loans totaling 130 million yuan.

(VI) Carrying forward the spirit of “seeking truth with practical style” and intensifying the government’s self development.

Following the principle of “serving the people, being practical and being honest and upright”, we strengthened the government’s self development in an all-round way and improved the government’s working capacity. Firstly, we promoted the government’s administrative innovation centering on building a service-oriented government. We adopted a scientific outlook on development and a correct outlook on the achievements in our official career, strengthened our sense of serving the people, accelerated the speed of transforming government’s function and put forward the new round of reform of government institutions. We enhanced the development of building an electronic government and improved our service and the administrative efficiency. We carried out our work with the spirit of seeking truth with practical style and categorized the main tasks set by the Provincial People’s Congress into 35 specific projects. We had specific people to be responsible for each of the projects and these projected were carried out vigorously and cooperatively. Secondly, we made efforts in improving our ability of administration in accordance with law. We made the rules for government work under the principle of scientific and democratic policy-making, resolute implementation and transparent supervision. We improved the legislative work, the work of administration in accordance with law and the system of administrative supervision. We implemented the administration permit law, deepened the reform of administrative examination and approval system and promoted the standardization, systemization and legalization of government’s work. Thirdly, we focused on building a clean government and adopted a strict supervision policy inside the government. Taking the characteristics of government’s work into consideration, leaders of the Provincial Government made five commitments in accordance with the requirements for leaders and cadres of being honest and self-contained put forward by CPC Central Committee and CPC Provincial Committee. We issued regulations on the administration of welfare (except salary) of employees of provincial level governmental organs. We deepened our work in combating corruption and building a clean government, advanced the work of making government affairs public, and organized the activity of assessing the work of provincial-level governmental organs by the public. We intensified the supervision and restraint of administrative power and great achievements has been made in the construction of good governmental conduct.

The development and achievements we made in the past year evidently proved that the scientific outlook on development is not only the guiding ideology that we should adhere to for a long period of time in our modernization drive, but also a basic principle that we should follow to solve various complicated problems currently. Adhering to the scientific outlook on development is a necessity for Jiangsu to seize strategic opportunities, accelerate the speed of enrich the people and make the province stronger and to push forward the drive of “two leads”. The past year’s practice made us more active and resolute in adopting the scientific outlook on development, provided us with experience in overcoming difficulties and meeting challenges and improved our ability of managing the market economy and making overall and coordinated planning for development.

The achievements we made in the past year are the result of the CPC Central Committee with Comrade Hu Jintao as general secretary providing correct leadership. They are also the result of the people of the province working together as one and tenaciously striving to succeed. People from all walks of life did a great deal of work actively. On behalf of the Provincial Government, I would like to express our great respect and sincere gratitude to people working and doing contributions in different fields and at different positions. I would like to extend our heartfelt thanks to delegates of Provincial People’s Congress, members of CPPCC Provincial Committee, all democratic parties, chamber of commerce, mass organizations and people from all walks of life who supervise and give support to our work. I would like to express our sincere gratitude to the members of People’s Liberation Army, the armed police in Jiangsu and the public security police, departments and units at the central level and other provinces, municipalities and regions that care about and give support to our work. I would also like to extend our heartfelt thanks to all our compatriots in the Hong Kong Special Administrative Region, the Macao Special Administrative Region, Taiwan as well as overseas Chinese and to our friends in other countries who care about and support Jiangsu’s modernization drive.

Fellow deputies, last year’s work has laid a good foundation for this year’s development, but we are fully aware of the many difficulties and problems on our way forward. There are some prominent problems in current social and economic activities. Firstly, we can not underestimate the difficulty of continuing increasing rural incomes. Though the rural economy develops well, the overall agricultural production capacity does not expand fast enough, prices of agricultural production means rise rapidly and a long-term mechanism to increase grain output and rural income have not been formed. Secondly, we can not neglect the pressure of price rise.  The price rise in resources, energy, and raw materials will gradually have an impact on the costs of downstream products and the price rise in costs will finally result in the price rise in goods. Thirdly, the factors of energy, resources and environment will intensify their constraint on economic development. Constraint of resources, environmental pressure and short supply of some essential factors of production are important factors than restricted economic development. Fourthly, the structural problems in economy are still prominent. Economic growth depends too much on investment, service industry develops too slowly and we are in urgent need to upgrade and optimize economic structure. Fifthly, we have weak links in social and economic development. Especially the educational, cultural and sanitary undertakings in rural areas need to be improved. In government’s work, we have a very few staff members abuse their administrative power and are not honest and self-contained enough. Some departments and units of the government do not provide services efficiently enough and they failed to take certain administrative actions that should have taken. We pay great attentions to these problems that will take strong measures to solve them.

2. Main tasks in 2005

This year is of decisive importance for fulfilling all tasks of the 10th Five-Year Plan and laying a solid foundation for the development during the 11th Five-Year Plan, as well as an important year for our province to accelerate our work of “two leads” and to build a moderately prosperous society. The government’s work is as follows: to uphold Deng Xiaoping Theory and the important thought of Three Represents as our guide; to conscientiously put into practice the guidelines of the 16th National Congress of the CPC and the third and fourth plenary sessions of the 16th CPC Central Committee; to adopt a scientific outlook on development in an all-round way; to actively meet the new requirements of macro-regulation; to put forward economic restructuring focusing on enriching the people, building the province stronger and “two leads”; to accelerate the speed of changing the pattern of economic growth; to strongly put forward the work of reform and opening to the outside world; to develop social undertakings in an all-round way; to improve people’s lives concretely; to build a harmonious society; to advance the all-round, coordinated and sustainable development; and to ensure the smooth development of building a moderately prosperous society.

The main goals of social and economic development are: the GDP growth of the province will be about 11 percent; the growth of budget income of local finance will be over 12 percent; the rise in consumer price index will be no more than 4 percent; the export volume will increase by 15percent; the disposable income of urban residents will increase by 8 percent and rural net income will increase by 6 percent; and the registered urban unemployment rate will be within 4.5 percent.

By analyzing the macro situation and taking various factors into consideration, we set the above-mentioned goals under the principle of be active and practical as well as allowing some room for reconsideration. Taking both domestic and international situation into consideration, we are at an important strategic period with opportunities that we should seize and thus to make more achievements. Global economy and trade volume keep growing and general international environment is favorable to our development. Domestic economy is going upward in the new round of growth and the macro environment is improved. Our province has entered a golden development period during which industrialization, urbanization and economic internationalization benefit each other and develop together, the self-growth capacity of economy is increasing and the foundation for rapid development is solidified. Meanwhile, we are aware that there are some uncertain factors in world economy, new eventualities and changes are emerging in economic development and there are some deep-rooted problems to be solved in provincial economy. We will keep sober-minded, turn challenges into opportunities and transfer pressure into driving force, inspire ourselves with enthusiasm, progress in the face of difficulties, make progress with pioneering spirit, put forward our work in real earnest and spare no effort to seek good and rapid development.

To do a good job in achieving the above-mentioned goals, we have to: guide the overall development by a scientific outlook on development and implement this kind of outlook in all aspects of our modernization drive and in all links of government work; protect, guide and give full play to people’s enthusiasms; try every means to overcome difficulties emerged in the process of development; actively meet various challenges; unit all forces to accelerate development; and explore a new era of   development guided by a scientific outlook and the development of “two leads” with energetic and promising spirits, a development idea advancing with times as well as concrete and effective measures.

In this year’s work, we have to do well in the following five aspects;

----To strive to change the pattern of economic growth. To press ahead the undertaking of rejuvenating the province with science and education; to stick to the way of new industrialization; to accelerate the strategic restructuring of economy; to break the bottleneck restrictions of resources, energy and environment with scientific, technological and systematic innovation; to improve intensive development; and to promote the economic development whose speed, structure, quality and efficiency are balanced and coordinated.

----To strive to improve balanced development. Following the requirements of “five balances”, we will put more emphasis on the work of agriculture, rural areas and farmers, advance the development of social undertakings and ecological construction, help accelerate the development in areas with weak economy, promote the coordinated development of economy and society, urban areas and rural areas as well as different regions, and improve our ability of achieving sustainable development.

----To strive to push forward systematic and structural innovation. We will seek the current opportunity of good momentum of economic development and increasing awareness of reform in various aspects, solve systematic and structural problems that have negative effects on development with reform and innovation, and to seek new breakthroughs in the reform of sate-owned enterprises, private economy development, reform of public institutions, reform of administration system and the construction of modern market system.

----To strive to build a harmonious society. We will insist on putting people first and taking “improving people’s lives and protecting people’s interests” as the starting point and goal of government’s work. We will actively expand employment, improve social security system and accelerate the speed of enriching the people. We will also strengthen the construction of socialist spiritual civilization, balance reform, development and stability, balance the interests of different social groups, make good arrangements for needy people for their work and living, press ahead the development of building a Jiangsu with the rule of law as well as building a safe Jiangsu, and to maintain social harmony and stability.

----To strive to improve government’s administrative capacity. We will further transform the government’s functions, improve the way of economic administration, strengthen social administration and put forward the work of administration according to law. We will deepened the campaign of combating corruption and building a clean government, do a good job in the construction of good governmental conduct, advance the work of making government affairs public, improve the transparency of government work, improve administrative efficiency, enhance the government’s public credibility, and build a government that can win the people’s satisfaction.

3. To strive to achieve rapid and sound development

To seize the important strategic period of opportunities and to unswervingly adhere to rapid and sound development tops the government’s agenda and is a good example of implementing the scientific outlook on development. We have to size up the overall situation, make overall plans by taking all factors into consideration, put emphasis on priorities, advance the overall work coordinately and accelerate the balanced development at a higher level.

(I) Intensifying the work of agriculture, rural areas and farmers and keeping a good momentum of agricultural development and development in rural areas.

The work of agriculture, rural areas and farmers remains a top priority of our work. With increasing rural incomes as our central task and improving overall agricultural production capacity as the key point, we will implement the policy of “giving it more, getting less from it and adopting flexible measures”, implement the principle of industry nurturing agriculture and cities supporting the countryside, accelerate the construction a grain security system, a long-term system to increase rural incomes and a development system that balances urban and rural development, and thus to put forward rural social and economic development in an all-round way.

We will stabilize, improve and strengthen supporting policies for agriculture. The agricultural tax in the province will be exempted this year and we will continue to implement the supporting and preferential policies for agriculture and farmers as well as expand direct subsidies to grain producers, and subsidies to farmers to purchase improved crop strains and agricultural machinery and tools. The Provincial Government will allocate RMB3.03 billion for agricultural tax exemption and the above-mentioned subsidies, an increase of 78.2percent. 15percent of the land rent will be invested in the development of agricultural land. We will guide social capital to invest in agriculture, protect the rights and interests of farmers who contract the land, pay great attention to the development of village-level economy and continue to follow a policy of minimum purchase prices for key grain varieties.

We will improve the overall agricultural production capacity. We will strictly protect primary farmland, improve the quality of arable land and intensify the development of rural infrastructure especially the irrigation and water conservancy projects. We will improve the comprehensive development of agriculture and upgrade 1.2 million mu (15 mu=1 hectare) low-and medium-yield farmland. We will also improve agricultural mechanization, deepen the reform of the service system of spreading agricultural technology, strengthen its function of serving the public, and take more flexible measures on agricultural businesses. The agricultural restructuring will be intensified and the industrialization of agriculture will be accelerated. We will expand and strengthen 16 major agricultural industries such as high-quality rice, vigorously develop the animal husbandry industry, gardening industry and fishery industry, and spare no effort in developing pollution-free farm produce and green and organic food. We will accelerate the development of farm produce processing and give special support to key enterprises that boast strong competitiveness, cover large areas and are closely linked to farmers’ interests. We will cultivate various kinds of rural cooperative economic organizations and improve the coordinated agricultural production and businesses.

We will expand channels to increase rural incomes. We will accelerate the development of non-agricultural industries and continue the export of labor and 500,000 more labor force in the province will be exported this year. The Provincial Government will allocate RMB50 million for the vocational training of rural labor force. We will continue to put equal emphasis on providing more job opportunities and encouraging people to set up new businesses, increase farmers’ incomes that come from their salaries, social security, properties and investment and increase the proportion of non-agricultural incomes in their total incomes.

We will continue to do a good job in the following five pieces of work in rural areas: to continue to alleviate farmers’ burden; to build or upgrade 13,000 kilometers more roads in rural areas; to help 1.7 million more people benefit from the drinking water improving project and the clean drinking water coverage rate will amount to over 95percent; to implement a new system of rural cooperative medical and health care services featuring comprehensive arrangement for serious disease and the coverage rate of this system will be over 80percent; and to finish the work of upgrading thatched cottages and dilapidated buildings. We will also appropriately improve the standards of subsidies to poor areas and1.32 billion yuan more will go to these areas as compared with last year.

（II） Focusing on economic restructuring and accelerating efforts to change the pattern of economic growth.

We will make great efforts to improve and upgrade industrial structure. The focus should be attached on “Four Improvements”. First, we should improve new and hi-tech industries by deeply implementing “Double Increase” plan of hi-tech industries, mainly developing favorable sectors such as e-information, biology and medicine, new materials and so on, actively bettering modern equipment manufacturing, as well as attempting to put hi-tech production value over 1/4 of overall industries. We also should accelerate the software development, support to research and development of products with our own copyright, as well as energetically promote software farming-out production and export, with the realization of spanning development. Second, the competitiveness of traditional industries should be enhanced, by adopting advanced, new and high technologies, as a result of enhancing mechanism, textile, metallurgy and petrochemical development, as well as increasing manufacturing increment rate. We also should make great efforts for the building industry. Third, we will try to increase the proportion of service industry in economic development. We should insist in developing manufacturing and living service industries, both modern and traditional service industries, as well as modern finance, information service, modern logistics, commodity circulation, tourism and community service. We also will make greater efforts in innovation, improve layout, put more emphasis on politic guide and support, as well as make service industry develop faster and better. Fourth, we need to boost intensive development. The new-style industrialization, agricultural industrialization and urbanization should develop in an intensive way. We also expect that enterprises are centralized in industrial zones, population in urban towns and inhabitation in communities, and to make intensive utilization of agglomerated enterprises, industries and resources. The strategy of developing large enterprises and groups should be carried out continuously, and all factors need to put into the favorable industries and companies.

The relationship between investment and consumption should be adjusted positively. We are expected to consolidate and development macro-regulation results, adjust and improve investment structure, as well as prevent low-level and repeating construction. The expected increase of overall investment in social fixed assets reaches 15 percent. Thus, we should continue to invest more in infrastructure, agriculture and service, hi-tech industries, technological reconstruction and the comprehensive resources usage, as well as in science, education, culture, sanitation and human resources, with paying enough attention on 110 major projects. Another electricity capacity of 7000 MW is going to be put into operation to alleviate the shortage of electric power. In addition to the construction of 330 km expressway, key projects such as Run Yang Bridge, Yan-Tong and Su-Huai Expressways, Ning-Qi Railway Phase I, Nanjing Metro Line I, integration of Yangtze-BASF, Tian Wai nuclear power station Phase I, etc are guaranteed to complete in due time; the continuation constructions of Nanjing Yangtze River Bridge III and the eight-lane Hu-Ning Expressway are expected to joining up. We will continue to promote the construction of key projects such as Su-Tong Bridge, the new round of Huai River Regulation, the water transmission from south to north in eastern part of Jiangsu, phrase I, etc. Moreover, we will strengthen the role of consumption in stimulating the economy, improve the consumption environment, enlarge the demand of consumption and upgrade the structure of consumption. Increase in supply of common commercial residential housing and practical, affordable housing will be encouraged. We will also enhance a rapid growth in consumptions of traveling, information service, culture and entertainment, non-compulsory education and province-wide body-building, and take efforts in expanding rural market as well. We will develop the consumer credit service in an energetic and steady way.

（III）Keeping deepening the various reformation and enhancing social development vigor.

Further enhance the reformation of state enterprises. First is to speed up the distribution and reconstruction of state economy. According to the principle of keeping the superior and eliminating the inferior as well as gradually centralizing, we will promote to gather state capital into crucial industries and domains so as to strengthen and enlarge the important corporations. Second is to enhance the reformation of joint-stock system. We will speed up the reformation of province-owned and state-owned enterprises by various means such as reconstructing companies coming into the market, strategically bringing about investors to carry out increment and stripped-down so as to realize all-round development of the investing main body and the mixed ownership economy. Enterprise reformation and recombination should obey the law, be openly run, attach importance to the role of staff and worker’s representative congress, and stick up for the legal rights and interests of employees and investors. Those reconstructed companies must optimize the share structure and expedite the establishment of modern corporation system. Third is to perfect the system of state-owned enterprises. That is to enhance the supervision of the crucial investment decision and income distribution, improve company leaders examining system and take up the responsibility of corporation’s development and retaining and increasing the state-owned capital.

Put more emphasis on privately owned economy. We should carry out various principles and measures so as to provide privately owned economy with a fair market, a fair policy and law environment to compete with others, that is a development environment in which the government  try to encourage carve out, the society should sustain carve out and the people carve out themselves. We should improve government's service and management to solve the difficulty and problems in privately owned economy development. Also, we should deepen the finance support to help those able private companies to come into the market and financing; we should support companies of science and technology, of extroversion, those can provide more jobs and farm produce processing companies to develop faster and promote them to become professional and excellent, strong and large; we also should direct privately owned companies to enhance management innovation and construction of the talent team, which can speed up the improvement of technology and company's quality.
Further enhance the reformation of social career. Continue to take the principle of sorted orientation, separated management, perspective reformation so as to go on with the reformation of career enterprises. Speed up the reformation of career enterprises of producing and management, change the management system, and realize social investment, marketing operation and industrial development. Carry through the reformation among career enterprises of commonweal and administration actively and reliably. 
Further improve the reform of administration system. All governmental departments should change their notions, functions and working-styles, create administration methods, enhance the administrative efficiency, decrease the cost of administration, as well as establish a more effective administration and operation system. There is also a demand on making efforts for every association, and boosting the organizing function of social agencies. On the basis of accomplishing the reform of city and county structures, we should further improve the reform of village and town structures, implement the integration of simpler administration, less personnel and expenses and more motivated villages and towns, which not only solves the problem of overstaffed organs, but also strengthens the basic regime.

Speed up the construction of modern market system. We should put great efforts in developing stock, insurance and enlarge bond market actively; further improve the construction of property right market and promote capital market's further open and regular development. While developing production essential, we should speed up the development of goods trading market and professional market. Go on to neaten the market economy system, strengthen food quality supervision, and strike guilty activities in economic filed. Also, we must promote the construction of honest Jiangsu, perfect credit supervision and credit service system to improve the whole society's credit level.

We should deepen the reformation of finance and revenue programs .According to the requirement of coordinating development ,we should play the public financial function ,increase the investment on the problems facing agriculture, rural areas ,farmers and social projects, support the development of the weak economic areas and arrange the production and life of people who have difficult. The financial budget of this year payout 14.29 billions on the each project of the problems facing agriculture, rural areas ,farmers arrangement which increase 26.2 percent, investing 9.98 billions on science and education which increase 28.5 percent, outlay 6.4 billions on social protection and subsidy for the people who have difficulty in produce and life which increase 20.5 percent. We should adjust the financial management system of countries and towns, set promoting system of increasing income and saving expense, adopt the comprehensive measurements of decreasing personnel and increase transfer payment, emphasis on solving country finance difficulty. We also should pay more attention on increasing income and save expense and strengthen the revenue levy and management according to the law, promote the system reform of investment capital, play the role of market system better, set performance evaluation for government invested projects, deepen the finance system reform, promote the finance anti-risk capability. Country credit organization reform emphasizes on solving property right system problem strengthening the controlling and supervising power of market price, making sure that the total level of price is within the budget target.

(IV) Responding to the new state of opening up, advancing the open economy

We should try our best in the transitional work after the entry of WTO, develop the opening up, and create larger space and more advantaged conditions for the development of the open economy.

While keeping on enlarge the utilization of the gross of foreign capital, we should make great efforts in improve the quality of the utilization of foreign capital. We should insist in combining the utilization of foreign capital with the adjustment and optimization of industry structure, and encourage foreign merchants to invest in the high-technology industry, advanced manufacturing, modern service industries, agriculture and environmental protection industry. We should fetch in those top and basal programs with high association, long manufacturing chains and high added value, multinational researching and developing institutions and district distribution centers, and advanced technology, modern managing experience and high-level talents. Deepen the Jiangsu-Hongkong and Jiangsu-Macao cooperation. Expand the opening of service industries, and support the qualified enterprises to undertake international service exportation. Conform the resources in exploiting districts, upgrade the development, expand the bonded zones and export-machining zones, and reinforce the radiant drive.

We should promote the transformation of the increase of foreign trade to the standard of pursuing qualities. Promote the optimization of export structure and the upgrade of machining trade transformation, cultivate export brands, and increase the technique content and added value of export commodities. We should confirm and develop traditional markets, and emphasize the development of rising markets. Make arduous efforts in the port construction and improve the custom transit abilities. We should also establish an effective system of transacting international trade conflicts, and maintain the steady increase of exportation.

We should step out the “Go Global” policies; summarize the experience, consummate policies, and support more qualified enterprises to develop the external investment and multinational administration on the purpose of cooperate in resource exploitation. We should also develop the border project job and cooperation in labor services, and improve the external economic and technologic cooperation.

(V) Penetrating into the strategy of regional corporate development, and promoting the whole prosperity of South, Middle and North Jiangsu

We should keep on enlarging our support to the development of North Jiangsu. Seize the favorable opportunities of the promotion and adjustment of industry structure in Yangtze River Delta, impulse the transfer of industries in South and North Jiangsu, establish an industrial belt along the Long-Hai Rail Line and coastal economy zone as soon as possible, develop the resource machining and labor-intensive industries, cultivate and expand the preponderant industries, and push forward the industrialization of North Jiangsu. In this year, the provincial finance plans to transfer payment and special assistance at the number of 11.85 billion yuan to the depressed area, increasing by 36.4 percent. We should constantly work to promote the step-by-step transfer of rural labor force, transfer the science and technology in three aspects, such as intelligence, scientific and technologic achievements and carrier construction, and strengthen the poor-assistance to reinforce the internal motive and energy of the development of North Jiangsu, and realize faster and better development.

We should more upgrade the development of South Jiangsu, and speed the grow-up of Middle Jiangsu. Promote a new round of along-Yangtze River exploitation, develop the fundamental industries, modern manufacturing, modern circulation industries on a higher start point, and create new advantages of centralization of industries. We should speed the match of fundamental establishments of traffic, electricity, water conservancy, and communication in along-Yangtze River areas, and promote the multi-river linkage exploitation. Conform the resources of ports along-River, program as a whole, distribute reasonably, upgrade the dimensionization, specialization and intensification, and establish the modernized port system and modern circulation industries. Promote the development of high-tech industry zone along Shanghai-Nanjing line, and improve the core competition abilities and radiant drive with the emphases of electronic information industry. Reinforce the process of economic integration in Yangtze River Delta with Shanghai as the lead, strengthen the economic cooperation with provinces and cities in above and middle reaches of Yangtze River and surrounded, participate in the China Western Development and reconstruction of old industry bases in Northeast China, and make arrangements to provide assistance.

We should insist on both importance of the interaction of industrialization and urbanization, steadily promote the urbanization, and take a suitable way of urbanization for Jiangsu Province with scientific programming and intensive development. Plan the programming of urban construction and industrial development as a whole, improve the modernization of cities, especially of the big ones, and reinforce the integrated strength and serving functions, radiant drive over the surrounding areas, and the ability of absorbing the rural employment. We should carefully program the regional town system, establish the own characteristic and comparative advantages of small cities, and promote the sharing of regional fundamental facilities.

(VI) We will keep on pushing the strategy of people oriented and strengthening the ability of hi-tech innovation.

Accelerate the systematic construction of technological innovation. The enterprises should be recognized as the principal status of the science and technology input, technical development and commercialization of research findings. As the carriers, the new-and high-tech enterprises and the industrial development zone as well as the science and technology development zone of universities will provide the stage for implementing scientific research projects and try to make new breakthrough. Beside, in order to boost innovation fruits, we also should strengthen the build-up of the public service platform and the carriers for technological innovation.

Open the distribution of the science and technology resources. The integration of introduction and innovation of the technology will facilitate the update of the industries as well as the self- innovation. Also it will boost the grow-up of the enterprise with core competitive and its own brands. The reinforce of the cooperation among local and academic collages or research institutes as well as the introduction of international original research center will make good use of science and technology resources. We can cultivate our own innovative ability through the important programs.   

Speed up the process of commercialization of research findings. We shall promote the combination of the industries, study and research as well as the combination of the military, industry and civilian industries with great efforts. We shall enhance the innovative ability and develop the key technology with independent intellectual property. The fund for the commercialization of research findings increased form 300 million in last year to 500 million this year. The implementation of a series of significant commercialization program accelerates the process of industrialization.

Reinforce the construction of human resources. We will build up the various kinds of talented people with innovative and strengthen the specialists especially the leaders in technology as well as the construction of the creative teams. The cultivation of the managers of enterprises and the entrepreneurs should be attached great importance. We will reinforce the professional skill training and focus on the build-up on the people with high ability. Besides, we will attract more international intellectuals and oversea-study people back to Jiangsu and start their own business.
 
(VII) Adhering to a master plan and fully developing social undertakings.

We will give priority to education development in order to boost the provincial education work for quantity into for quality. The provincial finance arrangement for all education expense is 8.49 billion this year, at a growth of 26.9 percent. We will improve the compulsory education in rural areas and accelerate the diffuseness of education in high school level. We will put 1.2 billion focusing on resolving the problems of providing the provincial standard allowance for the rural teachers in hardness areas as well as 6500 million to improve conditions in primary and middle schools in rural areas.  We will vigorously develop the vocational education of technology; accelerate the cultivation of imperative skilled person for the development of economic society; plan the special funds to construct the key training bases of vocational education. We will modulate and optimize the overall arrangement and the structure of the universities; construct the universities at high levels; support the “211” Project and “985” Project; reinforce the construction of the key subjects and the key laboratory; buildup the ministrant power for the development of economic society. We will fully implement the competence-oriented education; improve teacher training; enhance the quality of education.

We will promote the construction of a Culture Province within booming the culture undertakings at one hand and developing the cultural industry at the other hand. We will increase the input of culture undertakings and construct and optimize the public cultural infrastructure as well as speed up the construction of key projects such as the new buildings of Nanjing Library and the Provincial Art Gallery. We will enhance the work at the primary level. We will accelerate the conformity of the broadcasting and television network and improve the cover rate of the cable televisions in the rural areas especially in the countries in the north part of Jiangsu Province. We will deepen the reform of culture systems and implement the policy of cultural industry as well as foster the main part at the culture market. We will promote the development of cultural industry and the prosperity in the press, publications, broadcastings, film producing, television producing, culture and arts in order to produce more elaborate works and cultivate more elites as well as to increase the social and economic benefits. Persevering in both natural science and social science, we will sufficiently bring the social science in philosophy into an important play in the development of economic society. We will improve the management system of the cultural market and fight unremittingly against pornographic and illegal publications. We will protect the historic relics and cultural heritages well and educate the masses concerning the knowledge of science, carrying forward scientific thinking and initiating scientific inspirits.

We must strengthen the construction of health care in both urban and rural areas. According to the objectives on schedule, we will generally establish the prevention and control system of diseases and basically establish the medical treatment and cure system of outburst problems of public health care. We will accelerate the extension project of the People’s Hospital of Jiangsu Province and Jiangsu Provincial Hospital of traditional Chinese Medicine. Encouraging the conformity of high-graded resources in all medical treatment institutions, we will establish a diversified input mechanism and reinforce the construction of health care clinics in townships and towns and community health care service centers. We will improve the services of prevention and health care as well as the basic medical treatment. We must develop the patriotic sanitation campaign abroad and improve the environment in both urban and rural areas.

The 10th National Games will come off in our province this October. This is the biggest activity which is undertaken by our province since the establishment of New China. To organize the 10th National Games well is the corporate obligation of the whole province so that the whole province must work together with one mind to accomplish the construction assignment of all arenas in high quality and finish the preparation work of the competition participation at high standard as well as pay close attention to the competition organization at high level. Meanwhile we must persevere in running the 10th National Games in an economy way. In the opportunity of welcoming the 10th National Games, we must impulse all the work and sufficiently bring forth the new achievement in economic development of our province, the new image of the construction in both urban and rural area, the new scene of the spiritual civilization in order to insure the undertaking work of the 10th National Games in a complete success.

(VIII) Elevating the provincial ecosystem construction and promoting the sustainable development.

We will implement a thorough strategy of sustainable development and continue enhancing the environment protection and ecosystem construction. We must endeavor to improve the environment quality and construct the best housing condition as well as persevere in the civil developing way of progressing manufacture, affluence life and good zoology.

We will reinforce environment improvement and implement a thorough water environment improvement of key drainage areas in all facets. We will advance the straightening-out of the water quality in Huai River, the drainage areas of Tai Lake and Jiangsu Reach of the Yangtze River as well as insure the security of the water resources and the ecosystem of waterways. We must consolidate the achievements in cleaning up the headstreams of industrial pollutions in order to endeavor the persistent growth of economy and the gradual drop of the pollutions. We will enhance the job of developing the city's environmental infrastructure and push the sewage treatment as well as improve the city’s watercourses and the air quality. We will put much enthusiasm in the jobs of improving the rural environment and dredging the rivers so as to really alleviate the pollutions of agriculture.

We will vigorously develop the recycling sector of the economy and promote clean production in order to cut the volume of pollutants and make all resources use more efficient. We will entirely develop the jobs of saving energy, saving water, saving land and saving resources to build a conservation-minded city. We must control the increased land for construction use and exactly use the inventoried land in order to elevate the investment intensity of every land and the output benefit. We really have to seek the development through saving resources, protecting environment and promoting the recycling sector of the economy.

We will accelerate the construction of Green Jiangsu and continue to improve reforestation efforts. We will carry out the obligation of greening projects of the government at all levels and related department in order to mobilize the whole province from the government officials to the civilians for unremittingly endeavor to construct a delightful Green Jiangsu with constant green mountains and waters, blue sky and white clouds.

We will exactly develop the work on population control and family planning so as to stabilize the procreation at a low level and control the rate of natural population growth within four millesimal. We will work hard to improve the quality of our born population and keep the rising tendency of the gender ratio among the born babies within limits. At the same time, we will put much enthusiasm in facing the rising ratio of senior citizens among the population and accelerate the construction of welfare and service system for the senior citizens as well as elevate the life quality and healthy level of the senior citizens.

Fellow Deputies, in addition to complete the Tenth Five-Year Plan, we have another important task this year. That is to formulate the Eleventh Five-Year Plan and the long-range objectives through the Year 2020. We must update the idea of planning, renovate the thought of development, fully develop the spirit of democracy and scientifically chart the future, according to the requirement of scientific outlook on development and the aim of “Two First”. We will step up efforts to promote the plan’s function of forecast, guidance and is operable. We will make the Eleventh Five-Year Plan and the long-range objectives through the Year 2020 to be a magnificent blueprint that sticks to putting people first, incarnates “five balances” and promotes all-round, balanced and sustainable development of society.

4. Accelerating efforts to build a harmonious socialistic society

To live in peace and contentment and to work in a harmonious society is the collective hope of our Chinese people, which is also the objective our government strives to achieve. Starting from the stature of putting the important thought of Three Represents into practice, the overall situation of achieving lasting political stability and the request of accelerating Two Lead, we will put the work of making the harmonious socialist community in a prominent place and endeavor to form a community aspect that each does his best, each is properly provided for as well as each lives harmoniously.

(I) We will employ all available means to improve our people’s life.

We will construct the harmonious society on the basis of accelerating people getting rich. We will continuously adhere to the policy that respecting laboring, knowledge, talents and creativity, and spare no effort to ensure that all the enthusiasm is roused, all the wealth is created and people can get more benefit from the reform development. First is to carry out proactive employment policy. We will strive to create employment for 700,000 urban residents this year. We will persevere in the integration of encouraging individuals to starting own business and promoting employment as well as persist that individuals starting businesses drive and advance the employment. We are making efforts to form an economic framework and the increase mode that is in favor of promoting employment so as to make a new way of increase in both economy and employment. We will conscientiously implement every policy and measures of encouraging employment and carry out all policies of supporting reemployment such as finance input, loan in little volume, free training and reduction of tax and administrative charges, as well as improve the condition of employment and individuals starting businesses. We will accelerate the cultivation and development of the labor market balancing the urban and rural areas, and develop diversified channels of employment. We also have to appropriately distribute and settle the employees working in enterprises that are bankrupted and closed as well as reorganized and transformed.  We must pay close attention to the employment of graduates and overall plan the employment of not only the new labor force in townships and towns but also the surplus labor force in the countries. Meanwhile we will develop the settlement work of the ex-servicemen and the transferred servicemen. Second is to try to increase incomes of the residents in both urban and rural areas in various ways. We will encourage and support our people to get rich via individuals starting businesses, and increase the income occurred from operation, assets and other legal ways. A sound mechanism which is adaptive to economic development will be completed for income increase. As a result, the income of employees working in enterprises will appropriately rise according to the increase of benefit, the income of employees working in government or public institutions will appropriately rise according to the increase of local government’s financial strength and the basic pension of retirees will appropriately rise according to the increase of incumbent employees’ income. Third is to regulate the social distribution rationally. We will pay attention to social justice and standardize the distribution method, focusing on enhancing the regulatory distribution of incomes and raising the income level of low-income residents, as well as extending the proportion of middle-income residents. We also have to promote the standardized management of the welfare and treatment of department officials, and strictly implement the lowest payment criterion, as well as strictly prohibit the wage arrears for countrymen, so as to protect the legitimate rights and interests of migrant rural workers.

(II) We will improve the social security system. 

Based on consolidating “two guarantees” [guaranteeing that the living allowances for workers laid off from state-owned enterprises and that the pensions of retirees are paid on time and in full], we will continue to improve the social security system, which is adaptive to the level of economic development, and make efforts to realize that all the elder are cared, all the poor are relieved and all the sick are cured. We will expand coverage of social insurance, focusing on boosting participation of self-employed individuals, private businesses and other non-public enterprises. We will improve the ways of participation for people who do not work at regular jobs and continue to work unceasingly on encouraging participation of people who work in township business. The continuative work of social insurance must be well taken after the transformation of productive and operative institutional unit as well as the medical security problem of retirees working in the enterprises that were closed or went bankrupt. We will fully carry forward the system of basic subsistence allowances for the rural residents whose farming land has been expropriated. With the establishment of personal old-age pension accounts, we will improve the basic old-age insurance system with the integration of overall social planning and personal accounts. We will also work hard on extending the methods for funding social insurance and strengthening its function to social security so that to complete a social security system with social insurance, social assistance, social welfare and charitable corporation connected.

(III)  We will devote a great deal of effort to help people in need in solving their problems in life and work.

Governments of all levels should pay close attention to and take timely care of people in need, with the focus on unemployed workers, farmers with land expropriated, and residents with their house temporarily demolished, let alone poor families. Besides such living necessities as food, clothing, and housing, these people in need will be assured of their convenience at receiving medical care and of their children’s right to education. Every disadvantaged family will be guaranteed a minimum standard of living and no student will drop out of school for poverty.

This year’s plan includes six key projects. First, we will establish a subsistence maintenance system covering both the urban and rural areas. Along with further implementation in cities and township, the system will also involve every rural area all over the province and benefit every farmer in need. Second, we will enlarge the total credit of small-size discount loans to alleviate poor rural families’ poverty. Third, we will improve efforts in the assistance and aid to laid-off workers with strengthened subsidies. Fourth, we will take effective measures to secure poor students’ right to education in that an education sponsoring system will be established and improved with the initiative of governments, the cooperation of schools, and the participation of the whole society. During the compulsive education phase, students in need should be exempt from tuition and fees, and boarders be favored by living subsidies. Scholarships in vocational schools will be increased, so are college scholarships and discount stipend loans. As a general goal, we will ensure every poor child’s chance to receiving education, and support every enrolled college student against poverty. Fifth, a promotion and reward policy will be extensively carried out to encourage population control and family plan in rural areas. Sixth, we will improve and centralize the supply of living necessities to the rural households enjoying “Five Guarantees”. The provincial government will finance the above six projects with 970 million yuan. Furthermore, government almsgiving will be combined with the charities involving all social organizations and members, and regular “Heart Warming” activities to alleviate poverty will be incorporated into a coordinating system which is still under construction to solve the life and work problems for people in need.

(IV) We will strengthen the constructions of spiritual civilization, democracy and legal system.

We penetrated with the development of propaganda and education of the important thought of Three Represents and the scientific outlook on development, carried forward energetically the spirit of creating career, innovation and excellence, and agglomerated people’s enthusiasm and creativities to the striving objectives of prosper people’s life and the whole province and “Two Leads”. We deepened patriotism, collectivism and socialism education, and strengthened the construction of social morality, professional morality and family virtue. We established and consummated the long-term mechanism of the under-age’s morality construction and undergraduates’ political education. We widely developed the establishment of civilized cities, civilized villages and small towns, civilized communities and civilized industries. We consolidated and extended the grand roots democracy, and consummated the villager autonomy, democratic management in communities and enterprises. Thoroughly developed the propaganda and education of legal system and strengthened citizens’ legal consciousness, we also strengthened the education of national defense, finished the mobilization of national defense and militia and reserve forces, deeply developed the “double acclamations and constructions”, and strengthened the affinity of army-politics and army-civilian.

(V) We will try our best to protect social stabilization.

We consummated the social administration systems, policies, and statutes to create a safe, stable and harmonious social environment. We dealt with people’s interior conflicts properly, developed channels for complaints and demands from citizens, guided people to appeal for their benefit in rational and legal ways, and promoted the harmonious relationship among people. Making overall plans and considering all factors for different social colonies’ benefit, we corrected those activities damaging people’s benefit, protected social justice, and promoted the harmony of benefit relations. We deeply advanced the safety construction of Jiangsu, perfected intercession mechanism, and actively prevented all kinds of aggregative affairs. We established the pattern of macroscopical defense and domination, advanced synthetic management of social police, and stroke all kinds of crimes according to laws. We established and perfected all sorts of emergency systems to improve our abilities of maintaining public safety and social stabilization. We strengthened management of production security to reduce and prevent fatal accidents. We fulfilled completely every measure of maintaining stabilization, and made great efforts to establish the stable society and secure environment.

5. Constructing a government with which people are satisfied.

The government’s ultimate tenet is to serve people all heartedly. It is the ultimate task for government to meet people’s increasing demand for substance and culture. The ultimate standard for evaluating government’s work is whether people are satisfied with, whether people support and approve of our government. Each grade of government should strengthen self-construction, improve administrative abilities, and serve people according to the demand of “performing for the sake of people, dealing with concrete matters relating to work, and being incorruptible”, in order to take charge for people, take supervision from people and make people satisfied.

(I) We should put people first and diligently reign for people.

All government stuff should earnestly learn the important thought of Three Represents, and substantially establish the conception of serving people all heartedly, the scientific outlook on development and right value on achievement in their post. We should take the realization, maintenance and development of people’s benefit as the start and stand point of our work. We should insist that the key point of the acceleration of development is the practical effort without malarkey, and pursue the substantial results instead of reclame, immerge and work hard instead of self-satisfy or stink. We should also do as much as we could those benefiting people, making foundation, and making long-term effect, and ensure that we govern for people, concern about people and bring benefits to people.

(II) We should innovate administration and rule according to law.

We should combine the transformation of government functions and administration innovation together, and improve the government’s abilities of administration. We should fulfill the government functions completely, and pay more attention to strengthening the social management and public service while improving economic adjustment and market supervision; pay more attention to constructing a government inclined to serving people while strengthening and improving government manage. We should deal with the relation between management and service correctly, with power contacting with responsibility and disengaged from benefit, and try our best to establish an administration system with standardized behavior, harmonious operation, justness and transparence, probity and high efficiency. We should try our best to establish our government based on law according to the demand of establishing Jiangsu based on law, impenetrate the government administration according to law in the whole process of decision-making, execution and supervision. The government should function strictly according to law, and be accomplished in administrating social affairs according to law, adjust all kinds of social and beneficial relations with law and statutes, and solve all kinds of conflicts and problems in the orbit of law system. The government should also persist in the strict, just, and civilized law execution, ensure that rights correspond with responsibilities, power using should be supervised, misfeasors should be investigated, tort liability must be realized, and improve the level of administration according to law of government of all levels.

(III) We should pursue truth and administrate scientifically.

We should start from facts, and consolidate the passion of development, scientific attitude and practical mind to ensure that each work can withstand the inspection of practice, people and history. We should insist on the mass line, perfect the rule and program of important decision-making, widely consult people’s opinions on, fully negotiate and correspond the important affairs about the whole economic and social development. Government should organize the argumentation, technology consultation, and evaluation on decision-making about some important affairs more technical and professional. Government should also carry out the system of hearing of witnesses etc. on the affairs closely contacted with people’s benefit, and let more people participate in these affairs to make the decisions more approaching to the facts, and accord with people’s benefit more. The department style should also be improved to solve the partition of government, disjointedness between responsibilities and rights, orders from different departments and buck-passing, etc. The establishment of electronic government affair should be strengthened to reduce the cost of administration, increase administration efficiency and make the operation of departments more standardized, make work more justifiable and convenient with higher efficiency.

(IV) We should keep a rigorous administration system and uncorrupted government staff.

We should carry out the Implement Program of Establishing Integrated System of Punishing and Preventing Corruption with Education, Policies, and Supervision enacted by central government, and deeply advances the combat against corruption. We should establish a primary-anti-corruption system combined with administration examination and approval, finance of tax, investment system, and control over state assets, and policies on human resources. We should strengthen the construction of policies to constrain government stuff’s political activities with policies and laws. The push of opening government affairs guarantees people’s rights of knowing the inside affairs, participating, choosing and supervising. We should strengthen the audit of economic responsibilities and administration supervision, and ensure that the power operates under the open environment. To correct the activities damaging people’s benefit should due to the settle of extrusive problems reflected by people. We should strictly enforce thrifty and hard work, strictly avoid the waste, and oppose the extravagance. Fixing “Two Musts”, government stuff, especially leaders and cadres, should erect right view of power, status, and benefit, and comply strictly with every rule of probity and self-discipline, accept the supervision from People’s Congress, People’s Congress Standing Committee, the Chinese People's Political Consultative Conference, news consensus and the public, and hear the opinions from democracy clans, business association, non-Party personages and demos teams. We should improve conduct of government officials, stick to the principles, take strict management, criticize falsities, and establish a civilian team that should be with stable political quality, probity and excellent styles, and should be accomplished in their operations.

Fellow deputies, the coming year is full of hope and challenges, while new tasks will be more difficult and onerous. Let us rally closely around the Party Central Committee with Comrade Hu Jintao as General Secretary, take Deng Xiaoping Theory and the important thought of Three Represents as our guide, comprehensively put into practice the scientific outlook on development, under the leadership of Jiangsu Provincial Committee of CPC, liberate the ideology, make progress in a pioneering spirit, keep up our confidence, hold together and strive hard, accelerate the step of “Two Leads”, establish a more flourishing future for Jiangsu!