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OPINIONS OF THE MINISTRY OF SCIENCE AND TECHNOLOGY CONCERNING THE REFORM AND INNOVATION OF THE ADMINISTRATION SYSTEM OF THE NATIONAL DEVELOPMENT ZONES FOR NEW AND HIGH TECHNOLOGY INDUSTRIES
 
(No. 61 [2002] of the Ministry of Science and Technology promulgated on March 8, 2002)
     
     
SUBJECT : NATIONAL DEVELOPMENT ZONES FOR NEW AND HIGH TECHNOLOGY INDUSTRIES
ISSUING DEPARTMENT : MINISTRY OF SCIENCE AND TECHNOLOGY OF THE PEOPLE'S REPUBLIC OF CHINA
ISSUE DATE : 03/08/2002
IMPLEMENT DATE : 03/08/2002
LENGTH : 3,262 words
TEXT :
After over ten years' rapid development, the national development zones for high and new technology industries of our country (hereinafter refer to high-and-new-tech zones) have contributed greatly to aspects such as fostering the high and new technology industries, radiating and bringing along the regional economic development, seeking for new types of administration system and operational mechanism, and training and bringing up excellent enterprise leaders. After entering into the new century, under the incentive of all kinds of policies of the State, the high- and new-tech zones have stridden into the development phases of business-starting for the second time. Meanwhile, with the acceleration of the process of economic globalization, and our country's entry into World Trade Organization (hereafter refer to WTO), participating in the international competition entirely, the high and new technology enterprises of our country will face new development opportunities and severe challenges. This has made it urgent for the high- and new-tech zones to further push the system reform and the mechanism innovation, upgrade the management and service functions entirely in light of the new requirements for tackling the challenges of economic globalization, further strengthen the fostering, support and guidance to the high and new technology enterprises, ensuring that they retain a rapid and healthy development continuously in the bitter international competition. We therefore bring forward the following opinions upon the issues concerning the reform and the innovation of the administration system, in accordance with the spirit of the Decisions of the Central Committee of the Chinese Communist Party and the State Council on Strengthening the Technology Innovation, Developing High Technology, and Realizing the Industrialization, and the general requirements that "economic development and restructuring must depend on system innovation and science and technology innovation" as put forward in the Compendium on the Tenth Five-Year plan of the National Economy and the Social Development.


I. MAIN TARGETS AND BASIC PRINCIPLES OF THE REFORM AND INNOVATION OF THE ADMINISTRATION SYSTEM IN THE HIGH- AND NEW-TECH ZONES

1. The main targets of the reform and innovation of the administration system in the high- and new-tech zones are: the administration system and the running mechanism, which shall accommodate to the requirements of the socialist market economy and the rules for the development of the high and new technology industries, as well as in conformity with the WTO rules, shall be set up primarily during the period of the tenth five-year plan; and a simplified, uniform and high efficiency administration system and a market-oriented service system, as well as the policy and regulation environment which may inspire farthest the enthusiasm of the science and technology personnel on innovation and business-starting, and effectively regulate the subjects of the market, shall be established. The advantages of the system innovation and the technology innovation of the high- and new-tech zones shall be taken of, the status of the high- and new-tech zones as the important bases for the industrialization and internationalization of the high and new technology shall be improved, so as to provide systemic safeguard for accelerating the development of high and new technology industries in the new century.

2. The principles of liberating people's minds, and being practical and realistic, shall be adhered to in pushing the reform and innovation of the administration system in the high- and new-tech zones, as well as advancing with the times and innovating continuously, so as to fully embody the direction of the reform on the construction of the socialist market economy system and the accommodation to the globalization of the economy; to make every effort to meet the requirements of the advanced productivity development; to try every means to meet the needs of the restructuring of industries and the harmonious development of science and technology, economy as well as the society in which the new- and high- tech zones are located; to fully respect and use the successful international practices for reference, seek for actual effect, deepen the reform step by step, and prevent reverting to the old system. All the economic affairs that can be solved through market mechanisms, shall be settled through market mechanisms.


II. PERFECTING THE ADMINISTRATION SYSTEM AND THE OPERATIONAL MECHANISM IN THE HIGH- AND NEW-TECH ZONES

3. The administration institutions in the high- and new-tech zones shall advance the alteration of the functions continuously in light of the principle of "simplified, high efficiency, and high quality". At the same time of striving for necessary self-determination rights, the administrative institutions shall condense administrative levels, cut down the items for examination and approval, and streamline the procedures for handling affairs, put an end to the phenomenon of "making different handling procedures for different people", "establishing different institutions for different people", be firm in withdrawing and incorporating departments and institutions that don't need to be set up independently, implement such centralized administration pattern as "working in one building", "one-stop services", and "one external window", and the administrative bylaws which are normative, scientific and convenient for the supervision of the general public. For the functions of examination and approval invested by the local government, the systems of "publicity of the government affairs", "unification of rights and obligations" and "handling within the limited time", in order to ensure that the enterprises receive whole-course, convenient, and high quality services and administration within the high- and new-tech zones. For the items that need to be examined and approved by other departments, the administrative institutions shall make coordination and communication between the enterprises and the departments for examination and approval, handle them on the commission basis and assist the enterprises to handle those items so as to have the enterprises truly devote their minds to research and development, and the production and administration activities of themselves.

4. The administrative institutions in the high and new technology zones shall implement the "system of consultation on administrative decisions" under the precondition of ensuring high efficiency, and organize experts of all kinds and intermediary service institutions to participate in the decision making and research activities, in order to support the decision making work on the administration of the high- and new-tech zones. For the major decisions and administration act of the high- and new-tech zones, the decisions on the major problems shall be made after consultation. The key projects shall be established after argumentation; the important work shall be subject to check and acceptance after evaluation. The system of hearing on important decisions and the system of publicity of information on the government affairs should be tried in the zones, wholly advancing scientific and democratic decision-making.

5. To reform the employment system, and improve the administrative leaders' qualifications on ideology and operation in the high- and new-tech zones. The administrative institutions in the high- and new-tech zones shall implement systems such as all employees be employed under contracts, and the target personal responsibility on work post, establish and perfect the system of post examination and appraisal, make every effort to push the employment mechanism of "public invitation of job applications, competition for posts, annual appraisal, and elimination of the last one", which is beneficial for people to exert their ability to the greatest extent, and continuously improve the quality and the level of the administrative teams. The working style shall be further modified, the consciousness of service shall be established, the spirit of devotion and dedication to duty be carried forward, and the good ethos of having the courage to innovation, being brave in doing what others dare not do, being good at practice, being tolerant to failure, encouraging competition, advocating cooperation, attaching importance to career, and not fishing for fame and wealth, shall be advocated, so as to form the dense atmosphere of advanced culture in the high- and new-tech zones. The construction of ideology and culture shall be combined with the perfection of the stimulation mechanism as an organic whole, and the experiment and implementation of new types of distribution measures shall be permitted in the high- and new-tech zones at the same time of accelerating the development of high and new technology industries.

The on-the-job training system for administrative leaders shall be established and perfected in the high and new technology zones, and the contents and ways of training, as well as the training plans shall be made correspondingly in accordance with the requirements of different posts for the knowledge, ability and ideology of the personnel holding the post, and every person shall take part in the corresponding training at least one week each year. The pre-work training must be done to the employees who are going to work and those who will change a post, in order to ensure the quality of the administrative personnel in the high and new technology zones to be improved continuously.

6. To make every effort to strengthen and improve the administration and services of the communities. With the increase of the enterprises and the practicing personnel in the high- and new-tech zones, all the high- and new-tech zones must lay much stress on the creation of excellent community environments. The old path of "the society managed by the government" shall be avoided, and the community service system shall be established by adjusting measures to local conditions under the support of the local government. The high- and new-tech zones established within the city zone shall make full use of local community service systems such as the environment, sanitation, medical treatment, culture and education, and "the purpose is not for possession, but for utilization". The level of community service shall be improved by way of co-construction within and outside the high- and new-tech zones. For the newly established communities within the high- and new-tech zones, an overall programming shall be made for them, and necessary input shall be granted, meanwhile, the market mechanism shall be introduced by way of bidding in the construction and administration of the community so as to quicken the construction step.


III. ESTABLISHMENT OF THE INTERMEDIARY SERVICE SYSTEM OF THE SOCIETY, AND BRING INTO FULL PLAY THE IMPORTANT ROLE OF THE INTERMEDIARY SERVICE INSTITUTIONS IN THE HIGH- AND NEW-TECH ZONES

7. The establishment and perfection of the intermediary service system are important bases for the high- and new-tech zones to realize high-efficiency administration and high quality services. The systemic innovation and the innovation of science and technology shall be strengthened, committing to the creation of better business-starting environments for attracting high and new technology and investment. Governments at all levels, departments on the administration of science and technology, as well as the high- and new-tech zones shall further support the construction of all kinds of incubation organs of science and technology enterprises, and put relevant policies into effect. Most importantly, lasting and steady-going collaborations shall be established between incubation organs of science and technology and the various intermediary service institutions, turning the incubation organs of science and technology enterprises into a bridge and tache for the various intermediary institutions to find out the service demands of the enterprises and provide all kinds of services to the enterprises. In regions where conditions are permitted, universities, science and technology institutions and enterprises shall be relied on to initiate the incubation organs with special technology, the science and technology gardens of the universities, the software science and technology gardens, the business-starting gardens for the personnel with overseas higher education background, as well as the international incubation organs for enterprises, which can provide the business-starting personnel the platform services for the development of shared technology. Social powers as high and new technology enterprises or nongovernmental science and technology enterprises are encouraged to set up all kinds of incubation organs, and necessary guidance and support should be given to them. Meanwhile, every possible effort shall be made to support the construction of intermediary institutions in terms of financing, focusing on promoting the combination of intelligent elements and capital elements.

8. The role of intermediary service institutions shall be brought into full play. All kinds of intermediary service institutions shall be attracted, organized and coordinated within and outside the high- and new-tech zones for the purpose of providing the high and new technology enterprises services such as management, technology, marketing, information, talents, finance, banking, and law, so as to turn them into an effective extension of the service functions of the high- and new-tech zones, and considerably improve the level of specialization, industrialization and internationalization of all kinds of services. Social powers are encouraged and supported to set up intermediary service institutions so as to promote the development of nongovernmental institutions such as nongovernmental non-enterprise entities of science and technology, and enlarge the group of science and technology intermediary service institutions. Close contact shall be set up between the high and new technology enterprises and the internal and external production element markets through the intermediary service system, for the purpose of quickening the collection of all sorts of resources so as to accelerate the development of the high and new technology industries.

9. The high- and new-tech zones shall attach importance to and strengthen the protection of intellectual property rights, as well as strengthen the construction of the system for supervising intellectual property rights, and that of protection ability and the service system. Measures shall be taken to support the development of special institutions for protecting intellectual property rights such as patent offices, trade mark firms, copyright agency centers, and law firms, in order to boost the effective protection and widely use of the intellectual property rights within the high- and new-tech zones, and promote the development of the intermediary service institutions that are engaged in the legal affairs of intellectual property rights. Meanwhile, the establishments of all kinds of self-disciplinary and right protection social organizations by high and new technology enterprises shall be encouraged and supported, which aims at protecting intellectual property rights, so as to gradually form specialized or regional organizations for protecting intellectual property rights, and improve the capability of self-protection and administration.

10. To take the lead in perfecting the policy environments for the intermediary institutions of the high- and new-tech zones. Relative policies which can mobilize social powers to initiate intermediary service institutions, the qualification standards and the measures on the administration of all kinds of practitioners of the intermediary service institutions, as well as relevant systems on implementing the consultation of administrative decision-making, shall be formulated and implemented, so as to provide an open, fair and just external environment for the development of the intermediary service institutions. At the same time, every effort shall be made to strengthen the role of the scientific and technological agencies in promoting the high and new technology industries, with the focus on publicizing successful cases such as enhancing the competitiveness of enterprises, science and research institutions, and the higher educational institutions by relying on science and technology agencies, the avoidance of the wrong decision-making of the high- and new-tech zones by relying on science and technology agencies, so as to have the science and technology agencies understood and supported by society, and gradually form such market environments as trusting and depending on science and technology agencies.


IV. ESTABLISHING A MULTIPLE INVESTING AND FINANCING SYSTEM, AND PERFECT THE INVESTMENT ENVIRONMENT OF THE HIGH- AND NEW-TECH ZONES

11. To foster the capital market, establish a multiple investing and financing system, encourage all kinds of investment subjects of the society to participate in the construction and development of the high- and new-tech zones. The venture investment mechanism shall be set up gradually, and the venture investment companies and venture investment funds shall be developed, and a multi-level and multi-channel venture investment withdrawal mechanism shall be established after investigation and research, the experiment of stock-based incentives shall be pushed forward according to the relevant provisions of the State, and the support for the growing high and new technology enterprises shall be increased significantly. The establishment of the venture investment institutions, which are funded by internal and external nongovernmental capital, shall be encouraged in the high- and new-tech zones.

12. The system on the administration of public finance shall be established and perfected in the high- and new-tech zones, the investment on the development of the infrastructure and public projects such as the science and technology, education shall be increased significantly in the high- and new-tech zones, in order to have the investment environments perfected gradually. For the projects which have obvious economic benefits, and with an active investment of nongovernmental capital, shall be invested mainly by society, with the investment of the financial capital of the government as supplement; the competition mechanism shall be introduced to the construction of infrastructure of the high- and new-tech zones, and social powers shall be guided and mobilized to plough into the construction of the development zones.

13. The ability of direct financing of the high and new technology enterprises shall be improved, and the financing made by them in accordance with the relevant provisions shall be encouraged.


V. STRENGTHENING THE SUPPORT AND GUIDANCE TO THE REFORM AND INNOVATION OF THE ADMINISTRATION SYSTEM OF THE HIGH- AND NEW-TECH ZONES

14. The reform and innovation of the administration system in the high- and new-tech zones are the basic motivation and protection for the realization of the remarkable development of the high- and new-tech zones, as well as the important precondition on taking advantages of the system of the high- and new-tech zones. The people's governments at all levels shall further strengthen guidance, and support the reform and innovation of the administration system of the high- and new-tech zones. The minds in all the high- and new-tech zones shall be further unified, being pioneering and enterprising, and continuously seeking for the patterns for the development of the high- and new-tech zones, which fit in with the requirements of the socialist market economy system, and great efforts shall be made to build an environment that is beneficial to the development of the high and new technology industries, so as to make great contributions to the development of science and technology, economy and society of our country.

15. The municipal governments where the high- and new-tech zones are located shall strengthen guidance to the high- and new-tech zones, and put into effect the purview on the administration of the high- and new-tech zones in aspects such as finance, land, planning, labor and employment, foreign affairs, as well as the examination and approval of projects, in light of the local conditions so as to improve the administrative efficiency of the high- and new-tech zones. The administrative institutions of the high- and new-tech zones shall be set up scientifically and reasonably according to the actual requirements of the development of the high and new technology industries, no requirements of matching between the upper level institutions and those of the lower level. The detached agencies, which are set up by relevant departments within the development zones shall further perfect the administration and service institutions and earnestly promote the reform and development of the high- and new-tech zones.

16. The work for the formulation of relative regulations such as the regulation on the administration of the high- and new-tech zones shall be pushed forward. The legislation and policy making work of the people's congresses and governments at all levels shall be supported, and the legal status of the high- and new-tech zones shall be nailed down, so as to adjust the behaviors of all kinds of subjects such as the administration, institutions and enterprises within the high- and new-tech zones, protect the legitimate rights and interests of all kinds of subjects, as well as further improve the innovation and business-starting environment, ensuring that high- and new-tech zones develop in a legalized and standardized way.
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