Opinions of the State Council on Further Implementing the Strategy of Revitalizing the Old Industrial Bases Including Northeast China (2)
Source: MOFCOM View: 551 Date: 2011-05-16

II. Speed up the technological advancement of enterprises and fully improve their independent innovation capability

7. Strengthen technical transformation of enterprises. Technical transformation of enterprises is an important content of adjustment and reconstruction of the old industrial base and critical experience for obtaining achievements on revitalization. More supports shall be given to technical transformation: the fund for adjustment and reconstruction of the old industrial bases including Northeast China shall be appropriated from the current relevant special investment funds and the investment from Central Government budget will be increased to support technical transformation of enterprises in the old industrial bases including Northeast Region, mainly for a batch of recently-selected projects. The share of the budget of the Central Government for operation of state-owned assets for state-owned enterprises in the old industrial bases including Northeast Region shall be increased. The investment fund for equipment manufacturing industry shall be established as soon as possible, mainly supporting the technical transformation and merger and restructuring of equipment manufacturing enterprises in northeast area.

8. Improve independent innovation capability. The old industrial bases including Northeast Region shall give play to the human resource advantage and establish a sound system to encourage independent innovation. In the major development fields in the old industrial base, based on leading enterprises and major projects, a batch of technical innovation and hi-tech industrialization projects with strong leading power and influence and quicker returns shall be carried out. The scientific research and industrial advantages of the old industrial bases including Northeast Region shall be fully utilized. Through major national scientific and technical special projects and special projects of building innovation ability, a batch of project research centers, engineering labs and enterprise technical centers shall be established and breakthroughs on core technologies and key generic ones may be made. Enterprises are supported to effectively utilize internationally innovation resources to improve their abilities of creation and recreation based upon introduction and absorption. The old industrial base is supported to attract talents and teams of entrepreneurship and R&D ones in urgent need in some major industries. The national projects of “introduction of one thousand talents” and “introduction of one hundred talents shall mainly support introduction of overseas talents to the old industrial bases including Northeast China. Flexible policies and measures such as share participation by means of technology and option incentives are encouraged to be taken so as to create good environment for high-end talents to put their abilities to use.

9. Promote industrial application of the results of independent innovation. All efforts shall be made to promote the application of the results of independent innovation so as to transform such results into advanced productivity and culture new economic growth powerhouses. More supports shall be given to application of independent innovative results in hi-tech fields including new energy, new materials, biology, IT, aviation and high-speed railway. Vigorous endeavors shall be made to promote combination of efforts of enterprises, universities and research institutions and encourage institutions of higher learning and scientific and research institutions to transfer their independently innovative results to enterprises and more scientific and technical personnel to found scientific and technical enterprises. Scientific and technical enterprises that satisfy requirements are under prior support to be listed in the second board to raise funds. Special funds for hi-tech industry development in the old industrial bases including Northeast Region shall continue to exist, mainly supporting construction of national hi-tech industrial bases in the old industrial bases including Northeast Region, application of results of independent innovation and innovation ability. The local governments concerned shall formulate policies to support the application of the results of independent innovation to production in the old industrial base.

III Speed up the development of modern agriculture and reinforce its fundamental position

10. Vigorously develop modern agriculture. The Northeast Region is of advantaged conditions to develop modern agriculture. Governments in the region shall focus on improving land productivity, resources utilization rate and labor productivity and launch policies and measures to boost development of modern agriculture in Northeast Region. Those governments shall take into consideration of the plan for newly increase of 100bn grain production across the country to enhance grain production in the region and build the region a steady national strategic grain base. More efforts shall be made on implementation of the scientific and technical program for increase of grain production and promotion of new technologies for high yield, superior quality, cost saving and efficient improvement. The structure of agricultural machinery shall be optimized and the mechanical level of agriculture shall be improved. Efforts shall be heightened on construction of storage yards for agricultural machinery and tractor roads. The subsidies for agricultural machinery operation in important links such as deep scarification shall be studied. Research shall be made on a long-term system for stabilizing production of corns and soybeans. The policy of national collection and storage of corns and soybeans produced in Northeast Region shall continue to be executed at proper time. The state-owned farms shall continue to play its positive role in developing modern agriculture and safeguard national food safety. The program of “co-development of large state-owned farms and counties” shall be promoted to provide demonstration and socialization services for local agriculture development. Agricultural cooperation between Northeast Region and the outside shall be enhanced and the enterprises that meet requirements are supported to undertake agricultural cooperation and development in neighboring countries and regions.

11. Strengthen infrastructure construction in agriculture and rural areas. Basic agricultural infrastructure with focus on water conservancy facilities and infrastructure in rural areas with focus on water, power, road and gas shall be built. The construction of major water conservancy projects including diverting Nenjiang River to Baicheng and to irrigation areas of the Sanjiang (Songhua River, Heilong River and Wusuli River) Plain, the downstream of Nierji Reservoir, the downstream of Chuole hydro complex and Da’an, and renewal and reconstruction of large irritation drainage pump stations. The reservoirs with potential dangerous conditions shall be reinforced and the projects of water-efficient irritation demonstration and small farm water conservancy shall be carried out. The special campaign of disseminating knowledge of scientific storage of grains shall be conducted and the technologies for scientific storage of grains shall be promoted. The development of new grain inventory and circulation businesses such as grain bank is under support. Nonstop transport of bulk grains by railway to other regions in China shall be promoted, the through transport by water and railway shall be more used and large grain logistics bases, transfer stations and load stations with strategic significance as well as grain warehousing and drying facilities shall be built. Active efforts shall be made to promote IT-based agriculture, establish a sound system of providing scientific, technical and socialized services and improve services. The development of urban and rural areas shall be planed in a comprehensive way and the development of small towns and central villages shall be quickened by combining the construction of new socialistic countries. The conditions of living and production of people in rural areas shall be ameliorated. The drinking water safety issue existed in rural areas shall be solved as soon as possible. The support funds of governments at the county level or below for construction projects for the pubic benefits in rural areas shall be cancelled.

IV Strengthen infrastructure construction and create conditions for overall revitalization

12. Accelerate the building of a comprehensive transport system. The special railway lines from Beijing to Shenyang, from Shenyang to Dandong and from Harbin to Qiqihar and the railways from Jilin to Tumen, from Dalan to Dandong, from Harbin to Mudan River and from Harbin to Jiamusi shall be started to build. The reconstruction of the existing railways including Mudan River-Suifenhe and the construction of the following railways shall be promoted: the northeast border railway, the Yiershi-Arihashate railway, the Baiyinhua-Chifeng-Jinzhou port coal special line, Tongjiang River Railway Bridge and the coastal railway. The main and feeder airports shall be constructed under a comprehensive plan. Efforts shall be made to improve the layout of airports in Northeast Region, advance the expansion and relocation of some airports in the region during the “11th Five-Year Plan” period, and do good job on preparations for the expansion and relocation of some other airports to be expanded and relocated in the “12th Five-Year Plan” period. Since the development of highway is relatively backward in Northeast Region, more investment shall be made in building highways and rural roads in Heilongjiang, Jilin and Inner Mongolia by consideration of the features of extremely cold in winter of the region. The team for coordination and promotion of transport infrastructure in Northeast Region shall be set up to coordinate, guide and facilitate building of transport facilities in the region and formulate a comprehensive transport plan for the region.

13. Optimize energy structure. The following two projects shall be started to build: two 10mn kilowatt wind power bases in the east area of Inner Mongolia and northeast China, and the channels for transport of coal-based power from the east area of Inner Mongolia and Heilongjiang to the outside. The first-stage works for the Liaoning Hongyan River Project Phase II and Xudapu and Jilin nuclear power project. The construction of grids in northeast area shall be enhanced and the reconstruction of the existing grids shall be promoted, so as to improve the power transmission ability of major grids. Efforts shall be heightened on reconstruction of grids in rural areas, especially major grain production areas, and forest regions. The issues concerning grid interconnection of small power resources including wind power shall be solved. Intellectual grid construction pilots may be made on the northeast grid.

V. Take initiatives to promote the transition of resource-oriented cities to facilitate sustainable development

14. Nurture and empower substitute and alternative industries. To develop substitute and alternative industries is the ultimate solution to economic transformation of cities that have exhausted resources. Efforts shall be made to implement the special plan for resource-based cities to create jobs, comprehensively use resources and develop substitute and alternative industries, and support and guide such cities to form their new dominant industries as soon as possible. Development banks and other financial institutions are encouraged to enhance their efforts to support the sustainable development of the said cities. For those cities, supports shall be given on aspect of layout of industries, examination and approval of projects, land use, loans and financing, technical development and market access. Those cities are encouraged to built parks for substitute and alternative industries and actively take transferred industries. The plan for development of substitute and alternative industries in the resource-based cities shall be formulated and implemented.

15. Establish a long-term sustainable development system. The system of reserves for sustainable development of resource-based cities shall be launched as soon as possible and the government-supported section of the special reserve fund shall be used to solve problems concerning environmental treatment in resource-based cities. Sustainable development pilots may be conducted in resource-based cities where resources exploitation is at growth or maturity stage. The formulation of the Regulations for Sustainable Development of Resource-based Cities shall be expedited. The people’s governments at the provincial level shall full perform their duties to launch policies and measures to support the sustainable development of those cities and make the works on transformation of development mode as one element of the system for assessing the major officials of the people’s governments of resource-based cities.

16. Give more financial policy supports. More guidance shall be given on transformation of development mode of cities that have exhausted their resources and the effectiveness of use of fiscal transfer payment by the said cities shall be improved. The central budget shall give more funds for treatment of extremely large mining pits and deep gobs in resource-based cities. On appropriation of the special fund for finding alternative resources instead of exhausting mines, more supports shall be given to the cities that have exhausted resources in the old industrial base in northwest China. The resource-based enterprises in the above-said cities are supported to develop and utilize resources outside the region and China.

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