SCIO briefing on administrative approval system reform
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E-mail China.org.cn, September 10, 2014
Ta Kung Pao:
Previous reports said the coordination and transformation work following the abolition and delegation of some examination and approval items was inadequate, so what measures will the State Council take to improve the work, especially regulation work?
Li Zhangze:
The transformation of government functions, and streamlining administration and delegating power are equally important, and cannot exist without each other. How to strengthen and regulate the pre- and post-approval system is a significant challenge as well as a major test for the government in shifting management concepts and means. The State Council and its leaders have paid a lot of attention to that. Since we are still searching for solutions, we should work together to focus on four things.
First, policies and measures that have been introduced should be implemented. As we know, the State Council has issued a handful of documents, including the No. 20 Document, the “Several Opinions on Promoting Market Fair Competition and Maintaining Market Order,” “Planning Outlines on the Establishment of Social Credit System,” and the “Interim Regulations on Information Disclosure.” The No. 20 Document, among others, has itemized 27 detailed reform measures for seven aspects such as loosening limitations on market access and improving regulations on market behavior. The task division concerning the 27 measures has been defined among departments. Those documents and policies have provided institutional protection for building an open, orderly, honest, lawful and regulated market regulation system. The following step that will be taken is to implement those reform measures according to the requirements of the State Council and the remit of departments.
Second, as the government examination and approval reform proceeds, the research on abolishing and delegating items should tie in with regulation measures for the pre- and post-approval system, and synchronous implementation. This is a demand mandated by the State Council, and a principle that has been abided by when we considered revoking and delegating items over the past year. With the advancement of reform, this work should be strengthened. We have required that, for instance, the recent abolition and delegation of the 87 items should be completed with practical regulation measures for the pre- and post-approval system, synchronous follow-up and implementation. In August, the executive meeting of the State Council examined and approved the revocation and delegation of 87 items, and in the meantime formulated regulation measures for the pre- and post-approval system. For example, the State Administration of Taxation abolished an item regarding the clearance of favorable income tax enjoyed by venture capital investment enterprises. Following the abolition, the administration ordered the formulation of the “Regulation on Documentation of Enterprise Income Tax Preferential Policy,” the publication of a directory list of income tax preferences, qualifications, documents needed and management procedures.
Third, we should pay attention to coordinated advancement. We have more than 20 items that authorities and experts have identified as revocable and suitable for delegation. But because of a lack of clear regulation measures for pre- and post-approval, as well as a lack of detailed and feasible measures, we have postponed the revocation and delegation until the departments concerned come up with targeted and feasible regulation measures for another round of review at the executive meeting of the State Council.
Fourth, we will further clearly define the regulation responsibilities of pre- and post-approval system among departments and local governments. Each regulation measure for the pre- and post-approval system should be tracked in a timely way and well implemented. The State Council demands that the abolition and delegation of each item should have detailed requirements, and be facilitated by publications, training and seminars to ensure that it is implemented. Thank you.
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