DALIAN CHINA DALIAN CHINA
Interpretation of the Policy Document of Details of Implementation Regulations for Industrial Development
2018-05-29

The relevant situations formulated in the Details of Implementation Regulations for Industrial Development of Implementation of Industrial Land Use in Dalian City (hereinafter referred to as the detailed rules) are hereby interpreted as follows:

  1. Background for the drafting of the detailed rules

In order to implement the overall requirements of the Party Central Committee and the State Council to revitalize the decision-making and deployment of old industrial bases in the northeast and reduce the cost of the real economy, the municipal Party committee and the municipal government proposed to reduce the cost and factor supply by developing the entry point for the real economy. At present, there are shortcomings in the city, such as inadequate support for the development of industrial land use policies, insufficient accuracy in ensuring the implementation of key projects, and financial pressure on the small and medium-sized enterprises in the early stage of business startup. In order to boost the transformation and upgrading of the industrial economy of our city, to protect the demand for land for the real economy and to reduce the cost of land for enterprises, the municipal government organizes the State Land and Resources Bureau to study and formulate land-use policies that support industrial development.

  1. Development of the detailed rules

In order to guarantee the innovativeness, practicality, and operability of the newly issued Implementation Regulations, we have combed and classified and summarized the 114 land use policy documents supporting the development of industries that have been promulgated by the state and the province since 2007. In accordance with the requirements of the Municipal Party Committee's learning and discussion activities with the theme of Learning speech, Taking Shanghai as standard, Emancipating the mind, and Doing real things, multiple studies and investigations in the advanced regions of Shanghai, Guangzhou, Shenzhen, etc. to extensively collect and study good experiences across the country, the detailed rules are drafted in light of the innovative thinking of the actual situation in our city. The detailed rules for the implementation were examined and approved by the 8th Standing Committee of the 16th Dalian Municipal People's Government and officially issued and implemented on April 23.

  1. The main content of the detailed rules

The detailed rules consist of five chapters, including general principles, land supply methods, land supply years and prices, supervision and services, and by-laws. The main contents are:

  1. Adopt a variety of flexible land supply methods and land supply policies to promote the efficient use of land resources and effectively reduce the cost of industrial land.

Through extensive investigations and studies, the life cycle of China's industrial enterprises is currently around 20 years. At present, the industrial land supply period is generally 50 years. After 20 years of operation, due to the fact that the industrial structure does not meet market requirements, land use efficiency is low. At the same time, there are obstacles to land resumption, trading, and transfer. Therefore, we have formulated the land use policy of flexible annual assignment, first lease and then assignment, in which the first assignment or lease period of industrial land is set at 20 years. Through measures such as shortening the service life of land, the cost of land for enterprises can be reduced by about 30 %. When the land acquired through the above policy expires, if the enterprise is well run and can be renewed for use, the land transfer price for renewal at the time of renewal can enjoy the policy based on the original transfer price; If the enterprise is not well managed, the government can recover the land in time.

  1. Ensure the accurate landing of key industrial projects and promote the transformation and upgrading of traditional industries.

Since land use is generally divided into residential, commercial, and industrial industries, such as the use of industrial land for industrial use, it will not be able to guarantee the landing of key projects. In order to optimize the city's business environment and enhance the city's competitiveness in investment promotion, key industrial projects are used to supply land in the form of “industry projects”. That is, when key industrial land is listed and traded, land is listed and sold with specific construction conditions and production requirements of specific industrial projects, so as to ensure the accurate landing of key industrial projects.

  1. Encourage the construction of standard factory buildings, and promote popular entrepreneurship and innovation.

The practice of dividing the rental, transfer, and registration of standard workshop property rights can reduce the investment pressures of small and medium-sized micro enterprises in the initial stage and eliminate the complicated procedures for independent establishment of factories, and reduce the cost of upfront ventures, including time and cost, and promote the industry, especially the emerging ones. Industrial development and entrepreneurship have the purpose of attracting and invigorating industrial capital and fostering the development of new industries and new industries.

  1. Encourage enterprises to use their own land to increase the volume ratio.

Where existing industrial enterprises use their own land to increase the volume ratio, they will no longer levy land price and apply for approval of land use, and may directly go through the formalities for registration of property rights. It not only ensures the land demand for enterprise development, but also effectively improves the efficiency of land use and achieves the effect of saving and intensive land use.

  1. Formulate related regulatory service measures and fully implement the reform policy of streamlining administration and institute decentralization, delegating power and strengthening regulation and optimizing services

The purpose of the proposed industrial land use encouragement policy is to rationally determine the period of transfer, improve the efficiency of land use and ensure the accurate landing of key industrial projects. In order to give play to the guiding and encouraging role of policies, it is necessary to strengthen the monitoring of the use of policies during and after the event. Therefore, the principle of “who proposed, who examined, and who supervised” was put forward. That is, one should be responsible for the examination and supervision of the land use and production and operation conditions as he proposed. It is necessary to establish a multi-sectoral coordination and linkage supervision mechanism, clarify the main body of supervision, refine the division of responsibilities to ensure that there are people in charge and people responsible.

Services should be strengthened and an exit mechanism for industrial land should be established. If the enterprise cannot develop, construct or operate for its own reasons, the enterprise may apply for the cancellation of the land supply contract. If the assessment meets the requirements, the land transfer price for the remaining years will be returned according to the agreement and the contract will be dissolved, which can effectively reduce the investment losses of enterprises and avoid idle waste of land resources.