Changes to The Provisions of The Negative List For Market Access (2022 version) On Lightning Protect

On March 12, 2022, the National Development and Reform Commission and the Ministry of Commerce issued the "Negative List for Market Access (2022 version)", which will take effect from the date of release, and the "Negative List for Market Access (2020 version)" issued on December 10, 2020 (Development Reform and Reform Regulations (2020) No. 1880) will be repealed simultaneously. Compared with the "2020 version", in addition to some minor adjustments in wording and classification, the "2022 version" has a number of more substantial changes, including lightning protection: (14) In the water conservancy, environment, and public facilities management industry, the old version of "without obtaining permission or qualification, shall not carry out lightning protection device construction in the limited field, shall not engage in lightning protection device testing work." What does this mean? Welcome message interpretation.

The implementation of the negative list system for market access is a major decision and deployment made by the Party Central Committee and The State Council and an important institutional arrangement for accelerating the improvement of the socialist market economy system. Approved by the CPC Central Committee and The State Council, the Negative List for Market Access (2022 edition) (hereinafter referred to as the List (2022 edition)) was jointly issued by the National Development and Reform Commission and the Ministry of Commerce. The requirements are set out below.

#1. Types of negative list itemsfor market access and access requirements. The negative list for market accessis divided into prohibited and permitted items. For items prohibited fromentry, market entities shall not enter, and administrative organs shall notexamine and approve or go through relevant formalities; Licensing matters,including the requirements and procedures of relevant qualifications, technicalstandards, and licensing requirements, may be submitted by market entities, andthe administrative organ shall make a decision on whether to grant accessaccording to law and regulations, or the market entities shall comply with theaccess conditions and access methods prescribed by the government; Forindustries, sectors, and businesses that are not on the negative list formarket access, all types of market entities can have equal access according to law.The List (2022 edition) has 6 prohibited access items and 111 permitted accessitems, totaling 117 items, which is 6 fewer than the Negative List for MarketAccess (2020 edition).

#2. Scopeof application of negative list management measures for market access. Thenegative list for market access lists, in accordance with the law, industries,sectors, and businesses that are prohibited or permitted to invest and operatewithin the territory of the People's Republic of China. Management measures fornon-investment business activities, post-access management measures, archivalmanagement measures, vocational qualification management measures, managementmeasures only for overseas market players, and management measures forecological protection red lines, natural protection areas, drinking watersource reserves and other specific geographical areas, Spaces, etc., are notincluded in the negative list of market access, from its relevant provisions.

#3. Legalbasis for negative list management measures for market access. Market accessmanagement measures included in the list shall be established by laws,administrative regulations, decisions of The State Council or localregulations, and provisional market access management measures may beestablished by rules of the people's governments at the provincial level. Wherethe specific implementation measures for market access matter in places notdirectly listed in the negative list of market access and the legal basis issufficient, the provisions thereof shall be implemented. In the implementationof the list, temporary access management measures need to be taken due tospecial reasons, with the consent of The State Council, which can be includedin the list in real-time. In order to protect public morality and safeguardpublic interests, relevant departments fulfill their responsibilities foradjusting and regulating market access policies in the cultural field and newculture-related industries according to the law.

#4. Marketaccess negative list consistency requirements. By the requirements of the PartyCentral Committee and The State Council, involving the industry, field,regional, and other aspects, need to use negative list management to introducerelevant measures, that should be included in the national unified negativelist of market access. The catalog for the guidance of industrial restructuringand the catalog of investment projects approved by the government are includedin the negative list for market access, and where local authorities have detailedprovisions on the two catalogs, their provisions shall be followed. Thenegative list (or list of prohibited restrictions) for industrial access inlocal key ecological functional zones and major agricultural production areasand the list of prohibited access for local industrial structures formulated bylocal governments by the requirements of the Party Central Committee and TheState Council shall be uniformly included in the negative list for marketaccess. All regions and departments shall not separately formulate a negativelist of the nature of market access.

#5.Relationship between the negative list for market access and other accessprovisions. In the implementation of the negative list for market access, ifthere are other provisions in international conventions to which China hasparticipated, bilateral and multilateral treaties signed with other countries,and relevant arrangements reached with Hong Kong, Macao and Taiwan, etc., therelevant provisions shall be implemented; To solicit opinions from foreignaffairs departments on major water conservancy projects, hydropower stations,cross-border power grid projects, cross-border gas pipeline networks and othercross-border matters involving the allocation and adjustment of cross-border riverwater resources, as well as boundary river projects and foreign-related Marinescientific research.

#6. Marketaccess negative list credit commitments and compliance requirements. If themarket subject obtains the license by informing the commitment but fails tofulfill the credit commitment, the original license shall be revoked, theperformance and performance of the contract shall be fully included in thecredit record and shared with the national credit information sharing platform,and the punishment for breach of trust shall be carried out according to lawand regulations. Market players and their responsible persons who refuse toimplement judicial decisions or administrative punishment decisions, fail tochange repeatedly, and cause heavy losses shall be banned from entering marketsand industries within a certain period by laws and regulations.

#7.Comprehensive negative list supervision system for market access. To betterplay the role of the government, strictly implement laws and regulations andthe "three sets" of clear regulatory responsibilities, laws andregulations and "three sets" of provisions do not clarify regulatoryresponsibilities, in accordance with the principle of "who approves, whosupervises, who is in charge, who supervises", comprehensively consolidateregulatory responsibilities, implement the combination of discharge andsupervision, and resolutely correct the "batch management" and"no approval regardless" problems. Prevent a regulatory vacuum. It isnecessary to improve regulatory rules, innovate regulatory methods, achievewhole-chain and whole-field supervision before and after the event, and improvethe accuracy and effectiveness of supervision. We will strengthen anti-monopolysupervision to prevent disorderly expansion, wild growth, and illegalspeculation of capital, which will affect the order of economic and socialdevelopment. Establish a collection and notification system for negative listcases of violations of market access, carry out market access efficiencyassessment, unblock feedback channels for market entities, collect cases ofviolations of list requirements in various ways, improve the handling andresponse mechanism and report regularly, and publicize relevant information onthe portal website of the National Development and Reform Commission and the"Credit China" website.

Thenegative list for market access shall be interpreted by the NationalDevelopment and Reform Commission, the Ministry of Commerce, and other relevantdepartments.

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