The Department of Soil and Water Conservation of the Ministry of Water Resources ("MWR") has recently drafted and issued the Interim Measures for Management of Credit Information on Water and Soil Conservation for Production and Construction Projects (Draft for Comment) (the "Draft for Comment") for public comment by June 21, 2019.
The Draft for Comment expressly states that all levels of administrative departments of water resources and river basin management agencies shall timely collect and enter credit information in relation to administrative approval, supervisory checks and administrative penalties, into the national or local supervision and administration system for water and soil conservation. Also, the Draft for Comment notes that credit information about market players on the list of closely watched entities shall be disclosed for a period of six months which starts from the date when such credit information is made public, and these market players will be automatically removed from the said list after the end of the six-month period, adding that credit information about market players that are blacklisted for their discreditable behaviors shall be disclosed for a period of one year which starts from the date when the credit information is made public, and they will also be automatically removed from the blacklist after the end of the one-year period. Moreover, the Draft for Comment highlights that the authority preparing the said list or blacklist shall have a talk with the principal of a market player to be placed on the list of closely watched entities, to alert it to its problematic behaviors, or with the principal of a market player to be blacklisted to admonish it for its discreditable behaviors.