Administrative Measures for Tendering and Bidding of Construction Projects

Administrative Measures for Tendering and Bidding of Construction Projects


Administrative Measures for Tendering and Bidding of Construction Projects

Order of the Ministry of Construction No. 23

December 30, 1992

Chapter I General Provisions
 
Article 1 The Measures is formulated to suit the needs of the socialist market economic system, enhance the government's administration on the tendering and bidding for construction projects to ensure that developers and construction entities trade and compete on a fair and equal basis in the construction market, to control the construction schedule, ensure quality of construction, and improve investment efficiency.
 
Article 2 Tendering and bidding shall be required for all construction projects invested by any government department, public-owned enterprise or institution, including those involving new construction, modification, expansion or technological renovation, with the exception of any special projects in which tendering is not suitable.
 
Article 3 Tendering and bidding for construction projects shall be conducted under the principles of fairness, equal value, compensation and good faith, with room for competition based on levels of technology and management, social reputation and reasonable quotation, without any regional or departmental restrictions.
 
Article 4 Tendering and bidding for construction is an economic activity conducted by the parties to construction projects pursuant to law, and shall be governed and bound by the laws and regulations of the state, and any developer meeting the criteria and construction enterprise with relevant qualifications may participate in the process.

Chapter II Organization and Function
 
Article 5 The Ministry of Construction shall be responsible for the administration of tendering and bidding for construction projects all over the country. Its major functions are as follows:
1. to comply with and observe the relevant laws, regulations and policies of the state governing tendering and bidding for construction projects, and formulate the relevant rules and regulations thereof;
2. to direct and inspect tendering and bidding work in each region and department;
3. to summarize and exchange experiences regarding tendering and bidding work, and provide relevant services;
4. to protect national interests and supervise the tendering and bidding activities of all major projects; and
5. to examine and approve the interprovincial agencies for construction tendering and bidding.
 
Article 6 The competent department in charge of construction in the people's government in each province, autonomous region and municipality directly under the Central Government shall be responsible for the administration of tendering and bidding for construction projects within their jurisdiction. Its major functions are as follows:
1. to comply with and observe the relevant regulations and policies of the state governing tendering and bidding for construction projects, and formulate the relevant rules and regulations thereof;
2. to supervise and inspect the relevant tendering and bidding work, and summarize and exchange work experiences;
3. to examine and approve the qualifications of agencies engaged in consulting and construction supervising for construction tendering and bidding;
4. to mediate any disputes arising from tendering and bidding activities; and
5. to veto any bid selection results in violation of the regulations governing tendering and bidding.
 
Article 7 The competent construction department in each province, autonomous region or municipality directly under the Central Government may, with reference to actual conditions and subject to the approval of the people's government on the same level, determine the institutional structure and source of operating funds of the institutions at each level in charge of tendering and bidding.
As authorized by the competent construction department of the people's government at the same level, the institutions at each level shall be specifically responsible for the administration of the tendering and bidding within their jurisdictions. Their major functions are as follows:
1. to examine the qualifications of tendering units;
2. to examine tendering applications and tendering documents;
3. to examine pre-tender estimates;
4. to supervise bid openings, evaluations, selections and negotiations;
5. to mediate any disputes arising from tendering and bidding activities;
6. to veto any bidding results in violation of the regulations governing tendering and bidding;
7. to penalize any act in violation of the regulations governing tendering and bidding; and
8. to supervise the execution and performance of the construction project contract.
 
Article 8 Industrial and communications departments under the State Council shall, in conjunction with the local competent construction departments, complete to the best of their ability the administrative work relevant to the tendering and bidding of any major construction projects invested directly by the department and its affiliated investment company. Its main responsibilities are:
1. to observe the relevant regulations and policies of the state governing tendering and bidding for construction projects;
2.
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