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* Takes place simultaneously with another procedure.
Requirement Details
Procedure 1.
Request and obtain approval of the project proposal from the Municipal Development and Reform Commission
Time to complete:
21 days
Cost to complete:
no charge
Name of Agency:
Municipal Development and Reform Commission
Comment:
To request approval of the project proposal, BuildCo must submit the following documents to the Municipal Development and Reform Commission: - Letter of application. - Project proposal, with feasibility study report compiled according to government specifications. - Land use right. - Construction location map. - Business certificate.
The commission will consult with the municipal authorities overseeing land use, planning, and other governmental functions: education, transportation, fire safety, health and sanitation, relics preservation, landscape planning, people's defense, energy efficiency, seismic monitoring, and water irrigation and management. The commission deals with all departments internally.
The feasibility study report, issued by this agency, is required for project investments worth over CNY 10 million. Thus, the report does not apply in the case considered here.
There is no unified time limit for examining and approving the project conducted by the Municipal Development and Reform Commission. For this procedure, the time frame is determined by the particulars of each project. The time frame may vary between 2 to 4 weeks.
Procedure 2.
Request and obtain the Approval of Request of Construction Project Planning and Design from the Municipal Commission of Urban Planning
Time to complete:
28 days
Cost to complete:
no charge
Name of Agency:
Municipal Commission of Urban Planning
Comment:
The Municipal Commission of Urban Planning evaluates the project impact on city planning. Inspection and mapping may be conducted before the commission issues an opinion letter on location selection and enquiry forms for the authorities that the commission deems necessary to be consulted.
To request approval for construction on self-owned land, BuildCo must submit the following documents: - Attestation on land use rights, which may be one of these three documents (a) land use certificate of state-owned land (国有土地使用证); (b) planning permit for using land for construction purposes （建设用地规划许可); and (c) certificate of collectively owned land use rights (集体土地使用证). - A completed application form (planning permission of construction project) stamped with BuildCo’s seal. - Introduction of the planned project, including zone area, construction purpose, project feature, and so forth. - Planning drawings (including major technical indicators). - Basic cadastral map with designed construction location marked out. - Topographic map (地形图). - Title certificate of the land and its attached drawing.
Ensuring that planned construction complies with city requirements planning, the commission examines the documents and proposes design requests.
As a result of this procedure, the relevant municipal construction commission will give the applicant an identification number that allows the applicant to track the progress made on the application (an IC card) when the applicant submit reports on the approved construction project; this occurs after Procedure 2. If the applicant submits the required documents, the IC card will be issued immediately, free of charge. The commission requires the IC card.
Procedure 3.
Request and obtain the Approval on Planning and Design Project for Construction (建设工程规划设计方案批复) and the Notification on the Review of the Design Plan (审定设计方案通知书) from the Municipal Commission of Urban Planning (市规划委员会)
Time to complete:
28 days
Cost to complete:
no charge
Name of Agency:
Municipal Commission of Urban Planning
Comment:
After obtaining the approval of planning request, BuildCo should apply with the Planning Bureau for the approval of the construction planning and design project (建设工程规划设计方案批复). The following documents are required for apply this approval: - Application form, Planning and design project for construction. - Topographical map（地形图）. - Ichnographic map（平面图）. - Scheme drawing (方案图）and instruction of design. - Form, Area of layers (分层面积表). - Approval of the feasibility study report or other relevant approval. - Approval of request of construction project planning and design (建设工程规划设计要求通知单). - Other relevant documents and drawings required in the notice of request for construction project planning and design.
The time line is 28 days. There is no charge for this approval.
Procedure 4.
Request and obtain the Planning Permit of Using Land for Construction Purposes
Time to complete:
60 days
Cost to complete:
no charge
Name of Agency:
Shanghai District Urban Planning Administration Bureau
Comment:
To request a land-use planning permit, the documents to be filed include - Application for project planning permit (form sealed by BuildCo). - Planning opinion and attached map. - Project proposal, including feasibility report and other documents approved by the municipal planning authority. - Notice of opinion on construction location and affixed maps or, otherwise, the agreement of the transfer of right for state-owned land and affixed maps. - Cadastral map. - Approval of construction design and maps, if the plan has been approved.
The authority should notify the applicant whether revisions are needed within 5 days. The time for this procedure is 40 working days. This procedure occurs after the “notification of the review of design plans” is issued by the municipality.
Procedure 5.
Request and obtain the land using permit for construction from State Land, Resources, and Housing Agency
Time to complete:
10 days
Cost to complete:
no charge
Name of Agency:
State Land, Resources, and Housing Agency
Comment:
The Shanghai Housing, Land, and Resource Administration Bureau reviews requests for the land-use construction permit (建设用地批准书), including the following documentation: - Land use planning permit for construction purposes (建设用地规划许可证). - Pole setting notice (用地钉桩成果通知单) - Plan of building progress. - Application for land-use permit.
Procedure 6.
Request and obtain an environmental evaluation
Time to complete:
30 days
Cost to complete:
no charge
Name of Agency:
Comment:
In the case considered here, BuildCo must submit an environmental impact assessment (环境影响报告表). Effective January 1, 2006, the approval of environmental evaluation form can be obtained at no cost in 30 days.
Procedure 7.
Request and obtain construction procject planning permit
Time to complete:
35 days
Cost to complete:
CNY 1,319
Name of Agency:
Municipal Planning Authority
Comment:
Documents needed for construction on the self-owned land include the following: - Construction plan documents, approved by the Municipal Development and Reform Commission (not required for new buildings less than 300 sq. m. and renovation projects less than 3,000 sq. m.). - Application form (planning permission for a construction project), stamped with BuildCo seal. - Notice on the review of the design plan, and the attached drawings. - Building design drawings. - Agreements and documents required by the Notice on the review of the design plan. - Topographic map (地形图). - Ichnographic map (平面图). - Construction map (建筑施工图). - Groundwork construction ichnographic map (基础施工平面图), groundwork detail drawing（基础详图及), and piling plan drawing（桩位平面布置图）. - Ichnographic sketch map used for public purposes. - Approval documents on primary proposal of the construction project. - Title certificate of the land and its attached drawing. - Construction budget plan.
The authority issues the permit of project planning or a notice of revision on building drawings. Cost is calculated at 0.1%–0.3% of estimated construction value, and the percentage is smaller if the building cost is larger.
Procedure 8.
Request and obtain Certificate of Safety Operation on Construction Project at the Safety and Quality Supervision Office of the Municipal Construction Commission
Time to complete:
1 day
Cost to complete:
CNY 20
Name of Agency:
Municipal Construction Commission (Safety and Quality Supervision Office)
Comment:
All project construction companies must obtain the certificate of safety operation. To obtain it, BuildCo must file the annual building plan and the construction planning permit with the Safety and Quality Supervision Office of the Municipal Construction Commission. This requirement is set by the Notice on Strengthening the Approval of Certificate of Safety Operation on Construction Project, issued by the Department of Construction, effective June 24, 2005.
The time line to complete this procedure is 45 days after filing. The cost is CNY 20. According to the Implementation Regulations for Construction Project Building Permits of Safety Operation of Shanghai (No. 161, dated March 2006), (《上海市建筑施工企业安全生产许可证管理实施细则》), companies can apply through the Commission’s Web site. The request is processed in 10 working days.
Procedure 9.
Request and obtain evidence of capital from bank
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Commercial Bank
Comment:
Procedure 10.
Register construction drawings at the People’s Defense office
Time to complete:
1 day
Cost to complete:
CNY 78,036
Name of Agency:
People’s Defense Office
Comment:
In the case considered by the report, the construction drawings will not be subject to review by the People's Defense Office because the warehouse is not related to their facilities. However, the office will impose a registration fee of CNY 60 per sq. m. This documentation must be submitted to the People's Defense Office for registration and filing.
Procedure 11.
Review of construction drawings by Shanghai City Appearance & Environmental Sanitation Administration Bureau
Time to complete:
10 days
Cost to complete:
no charge
Name of Agency:
Shanghai City Appearance & Environmental Sanitation Administration Bureau
Comment:
Procedure 12.
Review of construction drawings by Fire Protection Bureau
Time to complete:
20 days
Cost to complete:
no charge
Name of Agency:
Fire Protection Bureau
Comment:
Procedure 13.
Review of construction drawings by Shanghai Police and Traffic Police General Team
Time to complete:
25 days
Cost to complete:
no charge
Name of Agency:
Shanghai Police and Traffic Police General Team
Comment:
Procedure 14.
Receive review of building drawings by a building drawing examiner authorized by the Planning Committee and obtain a letter of notice
Time to complete:
20 days
Cost to complete:
no charge
Name of Agency:
Planning Committee
Comment:
The building drawing review and fee collection occur simultaneously with the issuance of the construction project planning permit.
Procedure 15.
Hire an authorized supervision agency
Time to complete:
2 days
Cost to complete:
CNY 48,021
Name of Agency:
Authorized Supervision Agency
Comment:
There is no uniform price for hiring a supervisor, but the government will normally impose a cap rate or price range. The cost should be calculated as follows: 1. Designing step: if the budgetary estimate of the project design is less than CNY 5,000,000, the cost is calculated as 0.44 % (1,319,017.93 x 0.44%= CNY 5,803.6) of the budgetary estimate of the project design. 2. Building and repairing step: if the budgetary estimate of the project building and repairing is less than CNY 5,000,000, the cost is calculated as 3.3% (1,319,017.93 x 3.3% = CNY 43,527.59CNY) of the budgetary estimate. The new value is CNY 43,527.59 + CNY 5,803.6 = CNY 49 331.19.
These calculations are according to the Notice on the Standard of Industry-directed Price for the Construction Supervision Agency Fees of Shanghai’ (Hu Jiang Jiang Xiezi [2001], No.20, effective January 1, 2002).
Procedure 16.
Register for direct contracting of construction with the Municipal Tendering Office
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Municipal Tendering Office
Comment:
Procedure 17.
Have the building contractor and supervisor seal the application form
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Building Contractor and Supervisor
Comment:
Procedure 18.
Pay the fees for funds of concrete (散装水泥基金) and energy-saving wall materials (节能墙体材料) with the Office of Building Materials of the Municipal Construction Commission
Time to complete:
8 days
Cost to complete:
no charge
Name of Agency:
Municipal Construction Commission (Office of Building Materials)
Comment:
The fee for the concrete fund is CYN 4 per ton. The fee for the new energy-saving wall material fund depends on the type of construction: - Civil: CYN 8 per sq. m. - Industrial: CYN 10 per sq. m.
There is no charge for filing an application. BuildCo does not need to pay the fund for the new energy-saving wall material. After BuildCo completes construction, the Office of Building Materials charges for the clay brick funds, according to the size and number of clay bricks used in construction: - 24 centimeter clay brick: CNY 0.085 per brick. - 20 centimeter clay brick: CNY 0.060 per brick.
Fee schedule for concrete fund: - 500 tons or under: CNY 3 per ton. - More than 500 tons: CYN 2 per ton.
The time line is 1 day for concrete and 7 days for energy-saving wall materials.
Procedure 19.
Enter the project into the Municipal Statistics Bureau’s record
Time to complete:
1 day
Cost to complete:
CNY 20
Name of Agency:
Municipal Statistics Bureau
Comment:
To enter the project into the Municipal Statistics Bureau’s record, BuildCo should submit a copy of the business license and the organization code certificate. The fee is CNY 20.
Procedure 20.
Request and obtain building permit
Time to complete:
21 days
Cost to complete:
CNY 4,552
Name of Agency:
Municipality
Comment:
To request a building permit, BuildCo must file the following documents: - Land-use permit for construction purpose (建设用地许可证). - Planning permit for the construction project (建设工程规划许可证). - Building contract. - Building drawings and examination documents (施工图设计文件审查通知书和施工图纸). - Building organization plan (施工组织设计), with the opinion from the general supervisor or the lead project technician. - Notification of qualify monitoring and safety monitoring (质量监督通知书、安全监督通知书). - Contract of supervision (监理合同). - Evidence of capital. - Building permit applications (建筑工程施工许可申请表) (two copies). - Building plan for the year (年度施工计划). - Filing notice with the People's Defense Office. - Evidence of payment of fees (四源费统一收费证明). - Evidence of payment of concrete fund and energy-saving fund (建筑节能与发展新型墙体材料转项用费、散装水泥转项基金). - Registration notice from the Municipal Statistics Bureau (统计局注册登记通知书). - IC card for construction project. - Construction contract and anticorruption agreement (form agreement between the owner and the contractor for certain anticorruption commitments) (copy).
The office registers on BuildCo’s behalf for quality and safety monitoring and issues a notice. The statutory time limit for this procedure is 15 working days.
Procedure 21.
Receive on-site inspection by the Construction Commission
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Construction Commission
Comment:
No time limits apply for inspections. The approximate waiting time is 5 days.
Procedure 22.
Receive "Four-Party" Inspection
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Comment:
This procedure is called a four-party inspection（四方验收). The four parties include the site inspector, the designer, the builder, and the supervisor.
Procedure 23.
Request and receive inspection of the completed construction from the planning department
Time to complete:
10 days
Cost to complete:
no charge
Name of Agency:
Planning Department
Comment:
To request a final inspection, BuildCo must file the following documents: - Application form for building construction permit. - Planning permit for the construction project (建设工程规划许可证). - Bank attestation on capital (资金入账凭证). - Evidence of water connection, power connection, road access, and ground unknited (三通一平). - Construction contract with contractor and probity agreement (廉洁协议). - Supervising contract. - Certificate of quality and safety operation. - Bid winning award notice for exploration, design, and construction. - Approval of construction drawings and examination of design documents.
Procedure 24.
Request and receive fire department inspection upon building completion
Time to complete:
15 days
Cost to complete:
no charge
Name of Agency:
Fire Department
Comment:
Procedure 25.
Request opinion on whether construction project is lightning-proof
Time to complete:
14 days
Cost to complete:
no charge
Name of Agency:
Fire Department
Comment:
To obtain an opinion, BuildCo must file the following with the fire department: - Application for fire department inspection of the completed construction. - Inspection report of fire control establishment, if any.
Procedure 26.
Request and obtain certificate of the completed construction from the fire department
Time to complete:
15 days
Cost to complete:
no charge
Name of Agency:
Fire Department
Comment:
The time limit is 17 working days from the receipt of application (according to Web site information for the Public Security and Fire Prevention Authority). In practice, the application process takes longer.
Procedure 27.
Request and receive inspection of the completed construction from the environmental protection department
Time to complete:
30 days
Cost to complete:
no charge
Name of Agency:
Environmental Protection Department
Comment:
To receive a final environmental inspection, BuildCo must submit these required documents: - Supervisory report from the completed construction inspection. - Application for completed construction inspection. - Approval of trial production. - Approval of evaluation on environmental impact.
The time limit is 30 days from the receipt of application, according to the Environment Protection Bureau Web site.
Procedure 28.
Request and receive inspection on construction completion (竣工备案) and inspection from the Municipal Construction Committee
Time to complete:
7 days
Cost to complete:
no charge
Name of Agency:
Municipal Construction Committee
Comment:
Within 15 days after the building passes inspection, BuildCo must file the following documents with the Municipal Construction Commission: - Filing form for inspection of completed construction. - Inspection report of the completed construction (including all project information and acknowledgments of design, building, and supervisory parties). - Occupation permits, issued by the planning, police and fire, and environmental departments. - Acknowledgment of the city construction dossier department. - Permit, issued by the People's Defense Office. - Quality warranty, issued by the builder. - Completion inspection report, IC card of construction project, and use permit (issued respectively by the Urban Planning Authority, Public Security Authority, Fire Prevention Authority, Environmental Protection Bureau, Antithunder Center), concrete fund settlement application, and documents on quality auditing fare settlement.
This procedure must be completed on the day of application, provided that the documents required for submission are complete. There is no charge for this procedure.
Procedure 29.
Request and obtain certificate of completion and certificate of fiinal inspection from the Municipal Construction Commission
Time to complete:
21 days
Cost to complete:
no charge
Name of Agency:
Municipal Construction Committee
Comment:
Within 15 days after the building passes the inspection, BuildCo must file the following documents with the Municipal Construction Commission: - Filing form of inspected completed construction. - Inspection report of the completed construction (including all project information and acknowledgment of the design, building, and supervisory parties). - Occupation permits, issued by the planning, police and fire, and environmental departments. - Acknowledgment of the city construction dossier department. - Permit, issued by the People's Defense Office. - Quality warranty, issued by the builder. - Opinion on inspection and acceptance of lightning-proof construction project (建设项目防雷工程验收意见书). - Application form for fund of concrete (散装水泥专项基金结算申请表). - Relevant documents of paid fees of quality supervising (有关质监费结算的资料). - IC card of construction project. - Completion inspection report, IC card of construction project, use permit (issued respectively by Urban Planning Authority, Public Security Authority, Fire Prevention Authority, Environmental Protection Bureau, Antithunder Center), concrete fund settlement application, and documents on quality auditing fare settlement.
This procedure must be completed on the day of application, provided that the documents required for submission are complete. There is no charge for this procedure. The statutory time limit for this procedure is 15 working days.
Procedure 30.
Request electricity connection
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Shanghai Power Corp.
Comment:
Shanghai Power Corp. will levy BuildCo’s power supply construction charges, which include a financial charge, temporary facility charge, construction supervision charge, and basic preparation charge. The power supply construction charge will be determined mainly by the conditions of the premises and the surrounding areas of the warehouse. Thus the information assumed for this case study is insufficient to determine the specific charge. The power company indicates that the connection facilities must be finished within 3 months; an itemized bill will be provided afterward.
Procedure 31.
Receive electricity inspection
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Shanghai Power Corp.
Comment:
The on-site pre-inspection is needed to determine power connection feasibility in this specific site. If feasible, they BuildCo must develop a cost budget for power connection, depending on the construction material price and quantity.
Procedure 32.
Connect to electricity
Time to complete:
57 days
Cost to complete:
no charge
Name of Agency:
Shanghai Power Corp.
Comment:
Procedure 33.
Request water and sewage connection
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Municipal Water Bureau
Comment:
The water and sewage connection fee depends on the actual project size (including the price of labor and materials). A budget is a must.
The application procedure lasts at least 1–2 months and usually takes 3–4 months.
Procedure 34.
Receive water and sewage inspection
Time to complete:
1 day
Cost to complete:
no charge
Name of Agency:
Municipal Water Bureau
Comment:
Upon receiving the water supply application, the water service crew conducts on-site surveys within 7 days. The completion of water supply is determined by construction conditions. As for sewage licensing, the Municipal Water Bureau needs 20 days after BuildCo submits the project approval and other documents on the sewage facility design to conduct a preliminary inspection. After completing the inspection and trial operation, the bureau requires 20 days to examine the results of the facility and grant approval.
Procedure 35.
Receive connection to water and sewage services
Time to complete:
49 days
Cost to complete:
no charge
Name of Agency:
Municipal Water Bureau
Comment:
Procedure 36.
Request and receive connection to telephone
Time to complete:
14 days
Cost to complete:
CNY 200
Name of Agency:
Shanghai Telecom Co., Ltd.
Comment:
The charge may vary between CNY 140 and CNY 310.
Procedure 37.
Register building with Real Estate Registry
Time to complete:
30 days
Cost to complete:
CNY 550
Name of Agency:
Real Estate Registry
Comment:
The warehouse considered here should fall into the category of nonresidential real property, in which case the registry procedure will take 20 days from receipt of the application. The cost is calculated according to the actual property value. In this case, considering the assumption that the value exceeds 1 million, the registry fee rate should be 0.03%, or about CNY 384. Before selling the building, the property must be registered and the certificate obtained.
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