There were two encouraging developments in Beijing over the weekend: the removal of discriminatory policies against the use of small-engine cars and development of private business.

These are things that the government has now found it should support.

As always, the moves by Beijing's local government will send ripples through the rest of the country.

On Saturday, small-engine cars, which have been prohibited from running down Chang'an Avenue, or the Avenue of Eternal Peace, since 1998, regained their right to use this famous road.

Eighty-four Chinese cities adopted measures against small-engine cars in the past decade. Authorities used to say that unfavourable policies towards small-engine cars were based on their inferiority in terms of speed, quality and appearance.

However, all these aspects can be improved.

As energy conservation became a national imperative, small cars' advantage of energy efficiency has gradually made them desirable to the government. This, in turn, made discriminatory measures against them unreasonable.

In January, six departments of the central government related to the development of the car industry jointly issued a document calling for local governments to do away with policies that discourage people from using small-engine cars.

Shanghai was the first to take action, lifting its ban on small-engine cars earlier in February.

However, Beijing's move was more symbolic in the light of its status and that of Chang'an Avenue, considered by some to be the nation's "No 1 Street."

The majority of the 84 cities took a wait-and-see attitude after the central government policy directive.

The moves by Beijing and Shanghai, the two most influential cities on the mainland, should spur them to follow suit.

Similarly, the capital city's decision to abolish administrative fees levied specifically on private businesses, announced on Friday, also sets a good example for places where non-State companies remain subject to special charges.

Beijing's annulment of the fees represented the local government's latest step to offer level ground for non-State companies.

Discrimination against private business, which was rooted in the old planned economy, has long been an outdated practice.

Over the decades, private businesses have proved to be a dynamic force driving the economy in many parts of the country. Local governments have realized that.

Many of them, including Beijing, have been reviewing their policies and practices and have demolished or modified many aspects unfavourable to private enterprises.

However, discriminatory practices, implicit or explicit, still exist in terms of market access and funding.

In addition to good examples, some pushing and assistance from the central government is needed to remove the final obstacles.

(For more biz stories, please visit Industry Updates)