A timely cap on oil prices

The cuts in the retail prices of gasoline and diesel from Thursday might be unlikely to appease those Chinese drivers who have complained that the prices of domestic refined oil products fail to reflect the sharp fall in international crude oil prices.

But China's decision to put a floor and ceiling on gasoline prices is a needed attempt to help cushion Chinese oil companies against the extraordinary volatility of international oil prices, which could hurt not only the country's energy security but also its efforts to reduce its dependence on fossil fuels for greener growth.

The National Development and Reform Commission, the nation's top economic planner, cut domestic pump prices on Wednesday and made $40 and $130 the limits between which domestic prices will be regularly adjusted in line with changing global crude oil prices.