| After China's entry into WTO, its natural monopoly industries have been drawn into the wave of global economic integration. With the gradually loss of the policy's protection and the development trend of fair competition, Chinese natural monopoly industries urgently need to change for eliminating stubborn problems and meeting its new life. The key of the natural monopoly industry's healthy development is the perfection of the supervisory institution. The perfection of the supervisory institution in legal ways is a focus of Chinese law study in recent years.The supervisory institution's reform of Chinese natural monopoly industries have had a brilliant success during past several decades. The more independent supervisory institutions have been established early or late and the separation of enterprise from administration have been reached at a preliminary stage in telecommunication industry, electric power industry, post industry, etc.. Nevertheless, there are still many problems, i.e. the lag of the supervisory legislation, the mix up of enterprise and administration, the decentralization of the functions of supervisory institution, the neglect of the supervisory institution's functions, the inadequacy of the supervisory institution's supervision system, etc. These problems strictly have restricted the industrial development, affected social justice and obstructed the protection of enterprise's right of free competition and consumer's right of fair consumption.The supervisory institution of nation's natural monopoly industries need to be reasonably adjusted with legal system and be constructed in a new form. The supervisory institution's pattern of all nations is a dynamic stages of development, the selection of the pattern should not only conform to its own nation's political and economic system but also hinge on the industry's current stage. Moreover, the pattern is continuously developed in accordance with development, integration and enhancement of the industry. Learning from other countries and starting in the light of its national situation, Chinese supervisory institution must choose the development pattern unique to its own situation. The premise of the supervisory institution's reform is to guarantee it the certain legal position and function by legislation; the foundation of the reform is to establish independent organization structure by the separation of enterprise from administration; the core of the reform is to perfect the power function of supervisory institution; the key is to improve the supervisory system of the supervisory institution. |