China's "Getting Electricity" Rises to the 12th

China's "Getting Electricity" Rises to the 12th

On 24th October, the World Bank released Doing Business 2020. The global ranking of China's business environment rises from the 46th to the 31st, gaining its position among the top 40. China was listed one of the top ten economies in optimizing business environment for two consecutive years. The report shows that the total score of China's business environment is 77.9, 4.26 higher than the previous year. The score of the indicator "Getting Electricity" is 95.4 with an increase of 3.4 compared with that of last year; and the ranking rises from the 14th to the 12th. Besides "Performing Contract", "Getting Electricity" is the indicator with the highest individual ranking.

Doing Business 2020 comments that China's "Getting Electricity", by optimizing the application procedure, is growing continuously. Such growth can also be seen in the transparency in changes of tariff in China. These improvements take place in Beijing and Shanghai.

By comparing the reports released this year and last year, we see remarkable progress in the indicator "Getting Electricity". In the procedures of power transaction for small- and micro-enterprises, China ranks as the best worldwide with two steps this year, far fewer than the average 4.2 steps of East Asian and Pacific economies, and the average 4.4 of OECD (Organization for Economic Cooperation and Development) countries. In the report last year, the number for China was 3.

As for the time of getting power access, it takes 32 days in China while averages 63.2 days in East Asian and Pacific economies and 74.8 days in OECD countries. The number for China last year was 34.

In terms of expense and cost, the number for small- and micro-enterprises in China is 0, which means totally free of charge, while the average cost takes 594.6% of per capita income in East Asian and Pacific economies and 61.0% in OECD countries. The indicator is 0 in China, Japan and UAE only.

Regarding the index of power supply reliability and transparency of electricity tariff, China has a score of 7 points out of 8, while economies in East Asian and Pacific regions have 4 points on average.

In the Doing Business report released annually by the World Bank, 190 economies in the world are evaluated, and small- and micro-enterprises are taken as the subjects. A total of 10 Level-one indicators are included, such as "Starting Business", "Dealing with Construction Permits", "Getting Electricity", "Registering Property", "Getting Credit", "Protecting Minority Investors", etc. The World Bank, in the evaluation indicators toward China, launched its assessment in Beijing and Shanghai, which accounts for 45% and 55%, respectively.