Hving looked it up and knowing very well how the funding system of the PLA works I know that the proposals put forward are in reality nothing more than suggestions.
Maybe you are looking in the wrong place?
Here is a snipet from Xinhua new.
http://news.xinhuanet.com/mil/2007-03/05/content_5800738.htm
廖锡龙指出，当今世界并不太平，为了维护国家安全稳定和领土完整，必须适度加大对军队现代化建设的投入，适度增强装备和战场配套建设经费，逐步增加人民解放军信息化条件下防卫作战的能力。适应人民解放军大抓军事训练的需要，今年的国防费安排，还将围绕首长机关指挥和谋略训练、诸军兵种联合训练、新装备训练、专业技术训练、院校教育等重点，进一步加大经费投入，特别是优先保障复杂电磁环境下训练保障条件建设和各项演练活动需要。部队战备训练强度不断加大对士兵体能提出了新的要求。为了保障士兵能够吃饱、吃好、吃的有营养，同时抵消物价上涨对士兵伙食带来的影响，今年还将再次提高全军士兵的伙食费标准，确保士兵的营养水平稳中有升，以充沛的精力和体能投入到战备训练中。
The article is in chinese but is a interview by general Liao Xi Long after the announcement of budget increase (member of CMC, head of PLA Logistics currently attending national congress in Beijing)
He commented the major uses of the increase of funding which included increase standard of living, benefits, pay for troops, increase the level of infomization and IT within force structure, increase level of training, joint force exercises, National defence university funding, training uder EW conditions etc. (more likely NCO, officer training and more exercises ala NTC style brigade,regiment tactical training).
I would also add increases in fuel costs also take a significant amount out of the funding so much so that a few days ago PLA was ordered to conserve fuel to save costs.
When looking at PRC military budget people usually only focus on equipement puchase but military spending include much more than that. PLA need new equpement but not as much as it need to update its war fighting skills that is still to seperate it self from the Mao era peoples war docterine. Such transformations cost much more in the long run than procuring new fighter jets or new ships. It needs funding for not only a new command structure but a whole new logistics chain.
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