Government refreshes policies to reduce filing costs for private builders

Beijing has reformed its approval system for construction projects funded by non-government enterprises, according to the Beijing Municipal Commission of Urban Planning, Land and Resources.

The commission and other related government departments issued a policy on further optimizing the city's business environment and reforming its administrative approval process for construction projects on March 15.

The policy aims to provide construction companies with more convenient administrative services and charge them less, as well as ensure more effective quality control on construction projects through innovative mechanisms.

Category-based management will be adopted in the streamlined approval process for construction projects, focusing on internal refurbishment, reconstruction of existing buildings and new construction.

As a result of the streamlining, the handling period for administrative procedures involving construction companies and government departments has been reduced to 29-44 working days, down from 109.

The reform helps builders to reduce their costs, as they are no longer required to submit bids for construction projects nor provide a proof of funds as before, and thanks to the one-stop working model, they don't have to visit multiple departments, according to Wang Wei, deputy director of the commission.

Through the whole-process supervision and regulation, from the acquisition of a construction project to planning permits, approval and completion, the government has changed its work style from previous passive acceptance to proactive and coordinated service, Wang added.

In addition, Beijing is further promoting the use of the internet in its administrative services for online reviews and registration approvals. The government hopes that the entire process can be completed online in the future.

Additionally, there are plans to set up an internet plus real estate registration system, appointment-making facilities on mobile devices and more expansive online inquiries.

In order to carry out the reform as smoothly as possible, Xiamen University's China Business Environment Research Center has been appointed as a third-party evaluator.

Xiong Yingzi, a senior researcher at the center, said that they have visited enterprises and administrative office halls in Beijing so as to provide objective and independent opinions on the reform.

"In the past, enterprises were plagued by long processing time, redundant formalities and plenty of materials," Xiong said. "The new policy can solve these problems and provides a fair, transparent and stable business environment for businesses."

Liu Zongbao, general manager of China Architecture Design Group Construction Engineering Consult Co, said that in the past builders had to visit many different government departments for approval, handing over project reports and records.

"But now, the new system the Beijing government is developing benefits construction companies, and involves creating a specific department to deal with application processes and greater interdepartmental cooperation," Liu said.

To ensure the quality of construction projects, professionals and senior examiners will cooperate with the government to set up a joint oversight mechanism to ensure quality construction, a local government official said.

In addition, a credit management mechanism for the local design industry will be established. The government will recommend organizations with high-level professional services and intensify scrutiny of designers offering poor services, officials said.

caoyingying@chinadaily.com.cn

(China Daily 03/23/2018 page7)