Members listen to the report delivered by Jia Qinglin, chairman of the National Committee of the 10th Chinese People's Political Consultative Conference, at the fifth session of the CPPCC in the Great Hall of the People in Beijing March 3, 2007. [Xinhua]

China on Saturday begins its annual parliamentary session with the widening income divide and environmental degradation topping the agenda of the world's most populous country and also the major booming economy.

The Chinese People's Political Consultative Conference (CPPCC), an official advisory body, opens its 12-day session on Saturday afternoon at the Great Hall of the People in Beijing. The 2,200-member CPPCC is expected to underline key concerns of the government ahead of Monday's full kick-off of the main legislative body, the National People's Congress (NPC).

China, led by charismatic leaders including President Hu Jintao and Premier Wen Jiabao, is vowing to build up what they call a harmonious society, amid an unprecedented economic boom in human history, that has seen record years of double-digit economic growth, but at the same time brought income disparity and air and water pollution, that is affecting the health of many in the country.

It is reported that the State Council, the cabinet led by Wen, will begin this year to institute a new policy in which the government will provide "minimum living allowance" to all rural farming households, whose monthly income falls below a government-set level.

Some reports even say the government is considering funding a universal medical insurance scheme to cover China's 800 million farmers.

During the NPC session in 2005, Wen announced to cancel the agriculture tax, officially ending a 2,000-year Chinese practice, a move welcomed by the farmers. During the 2006 session, Wen declared the governmet would fund rural children education from Grade 1 to Grade 9.

It is believed that the annual NPC and CPPCC sessions will provide a forum for the deputies to air their opinions and policy suggestions, while the government to lay out its major goals for the following year. The 3,000-delegate NPC will approve a work report by Wen Jiabao that underlines the drive for a continuing economic growth and social harmony.

"All government departments must be highly attentive to the problems concerning the people's daily lives," the Xinhua news agency cited Wen as saying last month as he prepared the report. "The government must improve social welfare work and ensure the basic necessities for people in poverty."

The parliament is expected to pass a long-awaited property law offering equal protection for the public and private sector, and another that will utilize the corporate income tax, bringing foreign-invested enterprises in same line with domestic firms at a unified 25 percent rate.

Wen is also expected to set an economic growth target for this year of "about eight percent", government officials that have helped prepare the report said.

Similar targets have been exceeded in the past but the officials said Wen would outline more forceful measures including possible structural reforms this year to rein in excessive growth.

"Efforts should be made to restructure the economy and change the economic growth pattern, enhance energy efficiency and environmental protection," Wen said in comments reported in the press.

Editor: Donald