NDRC: Non-compliant Construction Projects Shall Not Commence

2021-07-07 1308 0人评论

To further strengthen the management of infrastructure construction projects and uphold the principle of quality first, the National Development and Reform Commission (NDRC) has issued the Notice of the National Development and Reform Commission on Strengthening the Management of Infrastructure Construction Projects to Ensure Engineering Safety and Quality (hereinafter referred to as the Notice).

The Notice requires that project approval (verification, filing) procedures be carried out in a standardized manner. Investment project approval (verification, filing) procedures shall be performed in strict accordance with relevant provisions such as the Government Investment Regulations and the Regulations on the Administration of Verification and Filing of Enterprise Investment Projects. For government investment projects, project proposals, feasibility study reports, and preliminary designs shall be submitted for approval in accordance with relevant national provisions. For enterprise investment projects, verification or filing procedures shall be completed in accordance with relevant provisions such as the Catalogue of Investment Projects Subject to Government Verification. Projects that have not undergone approval (verification, filing) procedures as required or that do not meet the prescribed construction conditions shall not commence construction.

Strict control shall be exercised over the review of super-high-rise buildings. For buildings over 100 meters, the seismic fortification approval system for out-of-code high-rise building projects shall be strictly implemented, and such buildings shall be appropriate to the city's scale and spatial dimensions and matched to fire rescue capabilities; new buildings over 250 meters shall be strictly restricted, and where construction is truly necessary, the building design scheme shall be reviewed in conjunction with special demonstrations such as fire protection and filed with the Ministry of Housing and Urban-Rural Development; no new super-high-rise buildings over 500 meters shall be constructed.

The Notice also requires strict implementation of the "four project systems." The project legal person responsibility system shall be implemented, with project entities and their legal representatives bearing overall responsibility for the safety and quality of project construction. The bidding and tendering system shall be implemented, with project bidding and tendering work carried out in accordance with the requirements of the Bidding Law, the Regulations on Engineering Projects Subject to Mandatory Bidding, and the Regulations on the Scope of Infrastructure and Public Utility Projects Subject to Mandatory Bidding, and mandatory safety and quality standards shall be treated as substantive requirements and conditions of the bidding documents. The engineering supervision system shall be implemented, with supervision entities earnestly performing their supervision duties, especially strengthening supervision and inspection of key processes, important parts, and concealed works. The contract management system shall be implemented, with contracts lawfully concluded for survey and design, construction, equipment and material procurement, and engineering supervision of construction projects, and safety and quality requirements as well as liability for breach of contract shall be clearly specified.

In terms of supervision, it is required to strengthen the implementation of the Government Investment Regulations and the Regulations on the Administration of Verification and Filing of Enterprise Investment Projects, strengthen ongoing and ex-post supervision of investment projects in the region, especially projects subject to filing, and make whether projects are constructed in accordance with the approved (verified, filed) construction location, construction scale, and construction content a key focus of verification.

The full text of the Notice is as follows

Notice of the National Development and Reform Commission on Strengthening the Management of Infrastructure Construction Projects to Ensure Engineering Safety and Quality

 Fa Gai Tou Zi Gui [2021] No. 910

To the development and reform commissions of all provinces, autonomous regions, municipalities directly under the Central Government, cities with independent planning status, and the Xinjiang Production and Construction Corps:

In recent years, all localities have continuously strengthened the management of construction projects in infrastructure and other fields, and the level of engineering safety and quality has continued to improve. However, some projects are still loosely managed, and relevant management provisions are not fully implemented, resulting in decreased engineering quality and increased safety hazards. To further strengthen the management of infrastructure construction projects, uphold the principle of quality first, and safeguard the lives and property of the people, the relevant matters are hereby notified as follows:

I. Strengthen project review and control

(1) Carry out project approval (verification, filing) procedures in a standardized manner. Investment project approval (verification, filing) procedures shall be performed in strict accordance with relevant provisions such as the Government Investment Regulations and the Regulations on the Administration of Verification and Filing of Enterprise Investment Projects. For government investment projects, project proposals, feasibility study reports, and preliminary designs shall be submitted for approval in accordance with relevant national provisions. For enterprise investment projects, verification or filing procedures shall be completed in accordance with relevant provisions such as the Catalogue of Investment Projects Subject to Government Verification. Projects that have not undergone approval (verification, filing) procedures as required or that do not meet the prescribed construction conditions shall not commence construction.

(2) Further strengthen engineering quality management in the preliminary work stage. Project entities shall improve the quality of preliminary project work and ensure that documents such as project proposals, feasibility study reports, preliminary designs, and project application reports reach the depth required by the provisions. In the site selection stage, project site selection schemes shall be optimized to avoid sensitive areas with relatively high risks as much as possible. Feasibility study reports shall conduct in-depth analysis and evaluation of major issues involving engineering safety and quality and propose response plans. Preliminary designs shall strictly implement mandatory engineering construction standards, propose safety and quality protection measures, and set corresponding requirements for construction schemes.

(3) Strictly control the review of super-high-rise buildings. The Notice of the Ministry of Housing and Urban-Rural Development and the National Development and Reform Commission on Further Strengthening the Management of Urban and Architectural Features shall be strictly implemented, and super-large-volume public buildings, super-high-rise buildings, and buildings in key locations shall be managed as major urban construction projects. Among them, for buildings over 100 meters, the seismic fortification approval system for out-of-code high-rise building projects shall be strictly implemented, and such buildings shall be appropriate to the city's scale and spatial dimensions and matched to fire rescue capabilities; new buildings over 250 meters shall be strictly restricted, and where construction is truly necessary, the building design scheme shall be reviewed in conjunction with special demonstrations such as fire protection and filed with the Ministry of Housing and Urban-Rural Development; no new super-high-rise buildings over 500 meters shall be constructed.

(4) Implement the project decision-making consultation and evaluation system. Where project approval (verification) departments are required by relevant provisions to entrust consultation and evaluation when approving (verifying) projects, they must first complete the entrusted consultation and evaluation procedures before making approval (verification) decisions. Evaluation agencies shall strengthen evaluation of engineering safety and quality and bear responsibility for the evaluation and demonstration opinions they issue, and investment authorities shall strengthen management of evaluation quality assessment.

II. Strictly implement project management systems and procedures

(1) Strictly implement the "four project systems." The project legal person responsibility system shall be implemented, with project entities and their legal representatives bearing overall responsibility for the safety and quality of project construction. The bidding and tendering system shall be implemented, with project bidding and tendering work carried out in accordance with the requirements of the Bidding Law, the Regulations on Engineering Projects Subject to Mandatory Bidding, and the Regulations on the Scope of Infrastructure and Public Utility Projects Subject to Mandatory Bidding, and mandatory safety and quality standards shall be treated as substantive requirements and conditions of the bidding documents. The engineering supervision system shall be implemented, with supervision entities earnestly performing their supervision duties, especially strengthening supervision and inspection of key processes, important parts, and concealed works. The contract management system shall be implemented, with contracts lawfully concluded for survey and design, construction, equipment and material procurement, and engineering supervision of construction projects, and safety and quality requirements as well as liability for breach of contract shall be clearly specified.

(2) Scientifically determine and strictly implement reasonable construction periods. In accordance with relevant national provisions, reasonable construction periods shall be scientifically determined on the basis of full evaluation and demonstration to prevent survey, design, and construction from proceeding simultaneously. Construction periods shall be strictly implemented, and no unit or individual may illegally interfere with or arbitrarily compress reasonable construction periods. Where adjustment of the construction period is truly necessary, it must undergo full demonstration, and corresponding measures shall be taken, such as optimizing construction organization, to ensure engineering safety and quality.

(3) Strictly manage project costs and construction funds. The winning bid price determined through project bidding and tendering shall reflect reasonable cost requirements, and safety and quality problems caused by excessively low costs shall be eliminated. Funds required for government investment projects shall be ensured in place in accordance with relevant national provisions; construction units shall not be allowed to advance funds for construction, and the investment scale specified in government investment plans shall not be arbitrarily reduced. Transfer, misappropriation, and embezzlement of government investment funds are strictly prohibited.

(4) Strictly organize project completion acceptance. After projects are completed, completion acceptance shall be organized in accordance with relevant national provisions, with engineering quality as an important part of completion acceptance. Projects may pass completion acceptance only when engineering quality meets the prescribed requirements; where engineering quality does not meet the requirements, timely rectification shall be carried out, and delivery for use may occur only after the relevant acceptance standards for engineering quality are met.

(5) Strictly carry out project archiving work. Project entities shall be urged to strengthen project archive management in accordance with relevant national provisions and to properly collect, organize, archive, and transfer documents and materials related to all stages, including project approval, implementation, and completion acceptance, so as to ensure that materials are free of omissions and gaps.

III. Strengthen ongoing and ex-post supervision of project implementation

(1) Strengthen enforcement of investment laws and regulations. The implementation of the Government Investment Regulations and the Regulations on the Administration of Verification and Filing of Enterprise Investment Projects shall be strengthened, ongoing and ex-post supervision of investment projects in the region, especially projects subject to filing, shall be strengthened, and whether projects are constructed in accordance with the approved (verified, filed) construction location, construction scale, and construction content shall be made a key focus of verification.

(2) Strengthen supervision of projects invested under the central budget. The units directly responsible for routine supervision of central-budget investment projects shall conduct regular or irregular inspections of project entities; when the supervision responsible persons in the units directly responsible for routine supervision make "three on-site visits," and when development and reform departments at all levels organize ongoing and ex-post supervision of central-budget investment projects, engineering safety and quality shall be an important part of supervision, and discovered engineering safety and quality problems shall be promptly rectified. Government investments arranged by local authorities shall also strengthen engineering safety and quality supervision with reference to the above requirements.

(3) Give play to the supervisory role of auditing, inspection, and other oversight. Actively cooperate with auditing, inspection, and other oversight concerning infrastructure construction projects and government investment management. For discovered problems such as engineering safety and quality issues, relevant local authorities and units shall be urged to rectify within a time limit.

(4) Strengthen social supervision. In accordance with relevant provisions, information disclosure for infrastructure construction projects and on-site publicity at construction sites shall be carried out well, and social supervision shall be actively accepted. Engineering safety and quality problems reported by relevant units, individuals, and news media shall be seriously verified and handled in accordance with the provisions.

IV. Strengthen punishment and accountability for engineering safety and quality problems

(1) Strengthen punishment and accountability for major safety and quality accidents. Where major safety and quality accidents occur in infrastructure construction projects, relevant departments shall, in accordance with relevant national provisions, lawfully pursue the legal liability of project entities, supervision-responsible units, survey and design, construction, and supervision units, and relevant personnel.

(2) Strengthen punishment and accountability for engineering quality problems in central-budget investment projects. For central-budget investment projects with major engineering quality problems, in addition to lawfully pursuing the legal liability of relevant units and personnel, development and reform departments at all levels shall, in accordance with relevant provisions such as the Government Investment Regulations, the Measures for the Administration of Central Budget Investment Subsidy and Discount Projects, and the Measures for the Administration of Central Budget Direct Investment Projects, adopt measures such as circulating criticism, suspending allocation of central budget investment, no longer accepting the project entity's funding application reports within a certain period and scope, and incorporating relevant information into the national credit information sharing platform for joint punishment, so as to punish the relevant units and personnel.

Development and reform departments at all levels shall attach great importance to the safety and quality of infrastructure construction projects, adopt an attitude of being highly responsible to the people, strengthen organizational leadership, intensify work efforts,压实 responsibilities at every level, effectively strengthen the management of infrastructure construction projects, continuously improve the quality of infrastructure projects, and ensure engineering safety.

This Notice shall take effect as of the date of issuance.

National Development and Reform Commission

June 19, 2021

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