The development and reform committees of provinces, autonomous regions, municipalities directly under the Central Government and cities with separate plans, Xinjiang Production and Construction Corps, the housing and urban-rural construction departments of provinces and autonomous regions, the housing and urban-rural construction (management) committees of municipalities directly under the Central Government, the Beijing Planning and Natural Resources Committee, the Housing and Urban-Rural Construction Bureau of Xinjiang Production and Construction Corps:

In order to deepen the reform of investment and financing system, improve the scientific level of fixed asset investment decision-making, further improve the organizational model of engineering construction, improve investment efficiency, project construction quality and operational efficiency, according to the spirit of the Central City Work Conference and the “Opinions of Central Committee of the State Council on Deepening the Investment and Financing System Reform” (NDRC File No. 18 [2016] ), and “Opinions of the General Office of the State Council on Promoting the Sustainable and Healthy Development of the Construction Industry” (GOSC File No. 19 [2017] ), etc., the following opinions are put forward on promoting the development of the whole-process engineering consulting service in the field of housing construction and municipal infrastructure.

I. Fully Understanding the Significance of Promoting the Development of the Whole-process Engineering Consulting Services

Since the reform and opening-up, the market-oriented development of engineering consulting services in China has developed rapidly, and the specialized consulting services such as investment consulting, bidding agent, survey, design, supervision, cost and project management have been formed. Some professional consulting services have established a system of professional access, which has promoted the professional level of engineering consulting services in China. With the gradual improvement of the construction level of fixed assets investment projects in China, in order to better realize the intention of investment and construction, investors or construction units are increasingly demanding comprehensive, cross-stage and integrated consulting services in the process of decision-making, construction and operation of fixed assets investment projects. The contradiction between this demand and the single service supply mode caused by the current system has become increasingly prominent.

In order to thoroughly implement Xi Jinping’s socialist ideology with Chinese characteristics in the new era and the spirit of the Nineteenth National Congress of the CPC, deepen the structural reform of the supply side of consulting services in the field of engineering, and solve the contradiction between supply and demand in the engineering consulting market, we must improve policies and measures, innovate the implementation methods of consulting service organizations, and vigorously develop market-oriented and meet needs of the whole-process engineering consulting service mode of the client’s diversified needs. Especially in accordance with the objective requirements of the project cycle and construction procedure, in the two stages of project decision-making and construction implementation, efforts should be made to break down the institutional obstacles, focusing on fostering comprehensive consultation for investment decision-making and the whole-process engineering consulting service, and providing high-quality intellectual and technical services for fixed assets investment and project construction activities, therefore to comprehensively improve investment efficiency, construction quality and operation efficiency, and promote high-quality development.

II. Promoting Scientific Investment Decision-making by Comprehensive Consultation of Investment Decision-making

(1) Vigorously improve the level of comprehensive consultation for investment decision-making. Investment decision-making plays a leading role in the project construction process, which is essential for the smooth implementation of the project, effective control and efficient use of investment. Investors are encouraged to entrust engineering consulting units to provide comprehensive consulting services in the investment decision-making process, take into account all factors affecting the feasibility of the project as a whole, and enhance the coordination of decision-making demonstration. The comprehensive engineering consulting unit is entrusted by investors to carry out a comprehensive project consultation on the factors affecting the feasibility of the investment project, such as market, technology, economy, ecological environment, energy, resources and security, in combination with national, regional and industrial development plans and relevant major special construction plans, industrial policies, technical standards and relevant approval requirements for analytical research and demonstration to provide decision-making basis and suggestions for investors.

(2) Standardizing the mode of comprehensive advisory services for investment decision-making. The comprehensive advisory services for investment decision-making can be provided by engineering advisory units in the form of market cooperation and entrusted professional services, or jointly with qualified service institutions. Institutions that take the lead in providing comprehensive advisory services for investment decision-making shall assume overall responsibility for service results in accordance with the contractual agreement; and those that jointly provide comprehensive advisory services for investment decision-making shall assume corresponding responsibilities respectively. Engineering consulting units incorporated into the self-regulatory management system of relevant industries are encouraged to give full play to their investment opportunities and project feasibility studies and carry out comprehensive consulting services. The role of consultant engineer (investment) should be brought into full play in the comprehensive consultation of investment decision-making, and it should be encouraged to act as the person in charge of the comprehensive consultation project, so as to improve the overall level of service.

(3) Give full play to the supporting role of comprehensive investment decision-making consultation in promoting high-quality investment development and the reform of investment approval system. Implementing the decision-making autonomy and main responsibility of the project unit, encouraging the project unit to strengthen feasibility study, and integrating the special evaluation and evaluation required in national laws and regulations, industrial policies and administrative approval into the overall feasibility study, so as to improve the scientific decision-making and promote the development of high-quality investment. The conclusions of individual evaluation should be consistent with the relevant contents of feasibility study reports. The examining and approving departments should strengthen the coordination of review requirements and standards to avoid conflicts between the management requirements of the same matters. Encourage project units to adopt comprehensive consultation for investment decision-making, reduce decentralized special evaluation and evaluation, and avoid fragmentation of feasibility study demonstration. All localities should establish parallel approval and joint approval mechanisms to improve the efficiency of approval, and improve the operability of parallel approval and joint approval through general comprehensive consultation results and review of a set of comprehensive declaration materials.

(4) Government investment projects should give priority to comprehensive consultation. In order to enhance the scientificity of government investment decision-making and improve the efficiency of government investment, government investment projects should give priority to comprehensive advisory services. Government investment projects should focus on the feasibility study report, fully demonstrate the construction scope and scale, and in accordance with relevant laws, regulations and technical standards, analyze in-depth the factors affecting investment decision-making, forming a special chapter of its impact analysis into the feasibility study report; if the feasibility study report includes the content of the evaluation of other special approval requirements, the relevant approval department may use the feasibility study report as the application materials for review.

III. Promoting the Improvement of Construction Organization Model by Whole-process Consulting

(1) Promote the whole-process consultation with the focus on the project construction. In the construction of housing construction and municipal infrastructure projects, construction units are encouraged to entrust consulting units with the whole-process consulting services such as tendering agent, survey, design, supervision, cost and project management, so as to meet the needs of integrated services of construction units and enhance the synergy of the construction process. The whole process consulting unit shall take the quality and safety of the project as the premise to help the construction unit improve the construction efficiency and save construction funds.

(2) Exploring the implementation of the whole-process consultancy services in engineering construction. The whole-process consulting services in engineering construction should be implemented by a consulting unit with comprehensive ability, or by a united consulting units with different abilities such as bidding agent, survey, design, supervision, cost and project management. If it is implemented jointly by several consulting units, the rights, obligations and responsibilities of the leading unit and of each unit shall be clearly defined. It is necessary to give full play to the role of the exemplary leading role of government investment projects and state-owned enterprises investment projects, and guide a number of influential and exemplary government investment projects and state-owned enterprises investment projects to take the lead in carrying out the whole-process consultation service. The construction units of non-governmental investment projects are encouraged to select excellent teams to carry out whole-process consultation service according to the project scale and characteristics, in line with the principle of credibility, comprehensive ability and efficiency first policy.

(3) Promoting the development of the whole-process consultancy services. When providing survey, design, supervision or cost consulting services, the whole-process consulting unit shall have qualifications appropriate to the scale of the project and the content entrusted. The whole-process consulting service unit shall complete its own business within the scope of its own qualification certificate. On the premise of guaranteeing the integrity of the whole project, it may entrust consulting business outside the scope of its own qualification certificate to those with corresponding qualifications or abilities in accordance with the contract or with the consent of the construction unit, the whole process consulting service unit shall take overall responsibility for the entrusted business of the entrusted units. If a construction entity chooses an entity with the corresponding qualification of engineering investigation, design, supervision or cost consultation to carry out the whole-process consultation service, it may no longer entrust another investigation, design, supervision or cost consultation entity, unless otherwise stipulated by laws and regulations.

(4) Clarify the requirements for the whole-process consulting service personnel. The person in charge of the whole-process consultation shall obtain the qualification of registration and practice in the field of engineering construction and have senior titles in the field of engineering and engineering economy, as well as similar engineering experience. The person in charge of engineering survey, design, supervision or cost consulting in the whole process consulting service shall have the corresponding qualifications prescribed by laws and regulations. The whole-process consulting service unit shall be equipped with professional technicians and managers with corresponding professional competence according to the needs of project management. Design units should give full play to the leading role of architects when they implement the whole-process consultation in civil buildings.

IV. Encouraging the Market-oriented Development of Various Forms of the Whole-process Engineering Consulting Services

(1) Encourage various forms of whole-process engineering consulting services. In addition to the comprehensive consultation of investment decision-making and the whole-process engineering consultation construction, consulting units can carry out cross-stage consulting service portfolio or different types of consulting service portfolio in the same stage from the perspective of investment decision-making, engineering construction, operation and other project life cycle according to market demand. Encourage and support consulting units to innovate the whole-process engineering consulting service mode, and provide diversified services for investors or construction units. There shall be no interest relationship between the the whole-process consulting unit and the EPC, construction, material and equipment supplying unit of the same project .

(2) Innovation of consulting units and personnel management methods. It is necessary to gradually reduce investment decision-making links and qualification permits for employees and personnel in the field of engineering construction, streamline and abolish compulsory intermediary services, break trade barriers and sectoral monopolies, liberalize market access, and accelerate the marketization process of consulting services. The focus of government management should be shifted from pre-qualification certificate issuance to the process and post supervision. A management system with government supervision, credit constraints and industry self-discipline as its main contents should be established to strengthen the supervision of employees and units.

(3) Guide the healthy development of the whole-process engineering consultation services. The whole-process engineering consulting unit should have rich experience in technology, economy, management, law and other aspects. It should also have the service ability suitable for the whole-process engineering consulting business and good reputation. Whole-process engineering consulting units should establish professional departments and organizations suitable for their consulting business, equip reasonably structured professional consultants, enhance their core competitiveness, and cultivate one-stop integrated service capabilities of comprehensive, diversified services and systemic problems. Enterprises such as investment consulting, bidding agency, survey, design, supervision, cost and project management are encouraged to develop the whole-process of engineering consulting by means of joint operation, merger and acquisition and reorganization.

V. Optimizing the Market Environment of Whole-process Engineering Consulting Services

(1) Establishing technical standards and contract system for the whole-process engineering consulting service. Research and establish the technical standard system of comprehensive consultation service for investment decision-making and the whole-process engineering consulting so as to promote the scientificalization, standardization and regularization of the whole-process of engineering consulting service; focusing on service contract management, to speed up the construction of bidding documents and contract demonstration texts suitable for investment decision-making and engineering construction consultation service in China, to scientifically formulate contract terms and promote the performance of both parties. The whole-process engineering consulting unit shall fulfill the obligations stipulated in the contract, undertake corresponding responsibilities, and be responsible for the authenticity, validity and scientificity of the consulting results.

(2) Perfecting the way of calculating remuneration for whole-process engineering consulting services. The remuneration for the whole-process engineering consulting service can be included in the project investment. It can also be paid by the investment consulting, bidding agent, survey, design, supervision, cost, project management and other expenses listed in the project investment according to the specific service items included. If the remuneration for the whole-process engineering consulting service is included in the project investment, the corresponding individual consulting service fee is no longer included. Investors or construction units shall determine service remuneration with the consulting units according to the scale and complexity of the project, the scope, content and duration of the consulting services. The remuneration for the whole-process of engineering consulting service can be calculated by adding the remuneration for each special service and then increasing the corresponding overall management cost, or by adding the remuneration for labor cost. The whole process engineering consulting unit should strive to improve its service ability and level, reflect its own market value by adding value to the construction or operation of the consulting project, and prohibit malicious low-price competition. Investors or construction units are encouraged to reward consultation units according to the amount of investment saved by consultation services.

(3) Establishment of the whole-process engineering consulting service management system. Consulting units should establish their own service technical standards and management standards, constantly improve the quality management system, occupational health safety and environmental management system, and establish their own characteristics of the whole-process engineering consulting service management system and standards by accumulating practical experience of consulting services. Vigorously develop and utilize modern information technology and resources such as BIM, big data, Internet of Things, and strive to improve the level of information management and application, so as to provide guarantee for the whole-process engineering consulting business.

(4) Strengthen the construction of consulting personnel team and international exchanges. Consulting units should attach great importance to the training of project leaders and related professionals in the whole-process engineering consultation, strengthen theoretical knowledge training in technology, economy, management and law, cultivate a group of comprehensive talents who meet the needs of the whole-process engineering consulting service, and provide talent support for developing the whole-process engineering consulting business. Encourage consulting units to cooperate with renowned international engineering consulting companies in various forms to improve their business level and enhance their international competitiveness.

VI. Strengthen Safeguard Measures

(1) Strengthen organizational leadership. The departments in charge of investment of the State Council is responsible for guiding the comprehensive consultation of investment decision-making, and the concerned departments of the Housing and Urban-Rural Construction Development of the State Council is responsible for guiding the whole-process engineering consultation. Investment authorities, housing and urban-rural construction authorities at all levels should attach great importance to the promotion and development of the whole-process engineering consulting service, innovate investment decision-making mechanism and engineering construction management mechanism, improve relevant supporting policies, strengthen guidance and support for the whole-process engineering consulting service activities, and strengthen the communication and coordination with relevant departments such as financial, taxation and auditing ,etc., and effectively solve practical problems in the implementation of the whole-process engineering consulting service.

(2) Promoting demonstration leadership. The concerned government departments at all levels should guide and encourage the decision-making and construction of projects to adopt the whole-process engineering consulting model, gradually cultivate a number of key enterprises of whole-process engineering consulting through the leading role of demonstration projects, improve the quality and capacity of whole-process engineering consultation, and encourage all regions and enterprises to actively explore and carry out the whole-process engineering consulting service, timely summarize and promote the experience, and expand the influence of the whole-process engineering consultation.

(3) Strengthen government supervision and industry self-discipline. Departments concerned should, according to the division of duties and responsibilities, establish a supervision system for the whole-process engineering consulting service, innovate the way of the whole-process supervision, implement comprehensive supervision and linkage supervision, strengthen the punishment of consulting units and employees who violate laws and regulations, establish credit files and publicize information on bad acts, and promote consultation units to effectively improve the quality and efficiency of services. Relevant trade associations should give full play to their professional advantages, assist the government in carrying out relevant policy and standard system research, guide consulting units to enhance the ability of engineering consulting services in the whole process, strengthen the construction of industry integrity and self-discipline system, standardize the market behavior of consulting units and practitioners, and guide the market to compete reasonably.

National Development and Reform Commission of People’s Republic of China

Ministry of Housing, Urban-Rural Construction Development of People’s Republic of China

March 15, 2019