BEIJING, May 13 (Xinhua) -- China's production capacity of calcium carbide has exceeded two times of the domestic demand at present, according to the National Development and Reform Commission (NDRC).

    The commission issued a document to regulate the sector on Thursday, which urges that the supply and demand of calcium carbide should be basically balanced in the coming three years.

    According to the document, calcium carbide furnaces with a capacity under 5,000 kilovolt-ampere should be eliminated completely. High-emission furnaces will also be washed out.

    New projects of the sector will be strictly controlled. Only those applying modern, large-scale equipment will be approved, said the document.

    Besides, contamination emission of the energy-consuming and high-pollution sector will be checked termly.

    The NDRC will also take economic measures to curb the development of the sector, including to raise the tax rate and the electricity price for the sector.

    Attracted by short-term profit, some local companies have begun to expand calcium carbide production since 2003 at the cost the environment and resources. Some companies in the east moved their backward equipment to the west. Enditem