But the biggest question facing policy makers now is how to deal with job losses brought about by scrapping the road tolls. But however thorny the issue is, the government will seriously address it and clear the way for the tax reform to go through, said Li Shenglin, Minister of Transport, in a statement. The ministry recently set up a special team to take charge of the reemployment of laid-off toll collectors and reportedly has proposed a program to the State Council for endorsement.

The program consists of three proposals. First, those who are 50 years of age or older can retire early on voluntary basis. Second, some of them can be admitted into local tax departments as civil servants through regular recruitment examinations. Last, some of these workers can be moved to other positions in local transportation departments, such as traffic police and highway toll stations.

The proposed program still needs some improvements and time to materialize, but will result in a flexible and acceptable one in line with local realities, Li said.

Although uncertainties over the tax shake-up remain, it is believed that the government's effort to perfect its retail oil pricing system will not end with the recently lowered retail oil prices.

Speculation about the government's next move has been roaring as the NDRC recently pledged to make the pricing system better reflect international market fluctuations. For years, the country has been adhering to a more or less rigid pricing scheme to which the government makes irregular and infrequent changes.

Among the few details clarified by the NDRC, the pricing mechanism will react more swiftly to international markets within a managed price range, while also taking account of changes in domestic supply and demand.

"We will also factor in consumers' abilities and the national drive of energy conservation and environment protection," the NDRC said in a statement.

"A more flexible pricing regime is, after all, more beneficial for market competition in the long term," said Chen Fengying, a senior economist at the China Institute of Contemporary International Relations, in a statement. "The domestic retail price of refined oil may see another modest drop at the beginning of this year given that the international crude price has dipped to a new low."