Jiangsu plans to close nine chemical industrial parks, shut down 1,431 chemical enterprises, and upgrade or rectify 4,022 others.

Release Date:

2019-09-24

Recently, the Leading Group for Safety and Environmental Remediation and Upgrading of the Chemical Industry in Jiangsu Province issued a notice setting forth the 2019 work targets and tasks for safety and environmental remediation and upgrading across the province’s chemical industry. The notice stated that, Across the province, a total of 4,022 chemical production enterprises have been identified as subject to remediation. Of these, 1,431 are slated for closure and exit, 267 are required to suspend production for rectification, 1,302 must undergo time‑limited rectification, 77 are to be relocated to new sites, and 945 are undergoing upgrading and improvement. In 2019, the province plans to close or phase out 579 enterprises and to shut down or revoke the designation of nine chemical industrial parks (concentration zones).

The full text is as follows:

To the People’s Governments of all prefecture-level cities:

In accordance with the “Jiangsu Province Plan for the Safety and Environmental Remediation and Upgrading of the Chemical Industry” (Document No. 96 [2019] issued by the General Offices of the Provincial Party Committee and the Provincial Government), all 13 prefecture-level cities in the province have formulated and promulgated implementation plans for the safety and environmental remediation and upgrading of the chemical industry, established working bodies, and put in place operational mechanisms. They have comprehensively organized and carried out a step-by-step survey and assessment of chemical production enterprises and chemical industrial parks (concentration zones), thereby identifying and proposing tailored measures—“one enterprise, one plan” and “one park, one plan”—as well as specific goals and tasks for remediation and upgrading. Across the province, a total of 4,022 chemical production enterprises have been identified as subject to remediation; among these, 1,431 are slated for closure or withdrawal, 267 are required to suspend production for rectification, 1,302 must undergo time‑limited rectification, 77 are to be relocated to new sites, and 945 are to undergo remediation and upgrading. In 2019, the province plans to close or withdraw 579 enterprises and to shut down or revoke the chemical‑industry designation of 9 chemical industrial parks (concentration zones). With the approval of the Provincial Government, the 2019 targets and tasks for the safety and environmental remediation and upgrading of the chemical industry throughout the province are hereby communicated to all localities (see attached table). The progress in achieving these targets will be incorporated into the Provincial Government’s monitoring, evaluation, and performance assessment of high‑quality development for each region in 2019. All prefecture-level cities are requested to earnestly implement and complete these objectives in accordance with the following requirements:

I. Intensify efforts to close and phase out operations, ensuring the full achievement of annual targets.

All localities must earnestly implement and advance this year’s plan to close and phase out enterprises, formulating tailored implementation plans for each enterprise and clearly defining the responsible departments and timelines for oversight and progress. They must also ensure proper resettlement of employees, carry out the “three clearances” (clearing raw materials, products, and equipment), and undertake follow-up measures such as soil remediation, so as to prevent and resolve potential risks and conflicts, thereby guaranteeing the timely completion of closures and relocations and maintaining social stability. Upon completion of the closure and withdrawal process, the people’s governments of all prefecture-level cities shall promptly conduct acceptance inspections. The acceptance criteria and procedures shall be formulated and issued by the Provincial Chemical Industry Governance Office.

II. Strengthen guidance on rectification efforts to ensure that remediation and improvement yield tangible results.

All localities shall, for enterprises designated for production suspension and rectification or subject to time‑limited rectification, urge them to formulate and implement tailored remediation plans on a case‑by‑case basis. In principle, the lead supervisory and promoting authorities shall organize the review of these plans; if a plan is deemed feasible upon review, the relevant authorities shall ensure its prompt implementation. Enterprises whose remediation plans are found infeasible upon review shall, in principle, be required to shut down and exit the market.

Upon completion of corrective measures, the supervising and promoting department shall organize an acceptance inspection; if the inspection results still fail to meet safety and environmental protection standards, the enterprise must be shut down and phased out. For enterprises designated for relocation to a different site, local authorities shall also ensure that they develop and submit implementation plans for relocation to the supervising and promoting department for record‑keeping. Authorities are required to oversee the establishment of the receiving chemical industrial park and the approval and construction of the relocation project, while maintaining robust safety and environmental management at the original site during the relocation period. Upon completion and commissioning of the new facility, the original production units at the former site must be shut down, and appropriate follow‑up measures must be put in place. The Provincial Chemical Industry Governance Office will conduct inspections and spot checks on the implementation plans, review processes, and acceptance procedures for enterprises subject to shutdown and rectification, time‑limited rectification, or off‑site relocation.

III. Thoroughly implement follow-up measures for the closure or de-designation of chemical‑industry‑specific industrial parks.

For industrial parks that have been designated for closure or de‑designation as chemical‑industry hubs, local authorities must ensure thorough follow-up measures are implemented. A tailored implementation plan—“one park, one strategy”—must be developed for each case and put into effect only after approval by the municipal government of the relevant prefecture-level city. No new chemical projects shall be permitted in parks that have been closed or delisted as chemical‑industry sites. As for existing chemical producers within these parks, efforts should be accelerated to formulate and implement site‑specific remediation plans, with a substantial reduction in the number of enterprises.

For a small number of chemical enterprises that are well‑managed, technologically advanced, produce high‑end products, and maintain controllable safety and environmental risks, the governments of the respective prefecture‑level cities may designate them as key monitoring sites for the chemical industry. It is essential to ensure that the entire process of closing or delisting these parks from their chemical‑industry designation proceeds smoothly, safely, and stably. By the end of this year, all relevant prefecture‑level cities are requested to submit to the Provincial Chemical Industry Governance Office for record‑keeping the “one park, one plan” implementation schemes for parks that have been approved for closure or de‑designation.

All localities must strengthen organizational leadership and ensure accountability. Governments at all levels should incorporate the goals and tasks for upgrading and rectifying the chemical industry into their key work‑supervision agendas, and also submit these objectives to the corresponding Party committees for inclusion in their inspection and oversight programs, thereby reinforcing supervision and progress management. Regular inspections and follow‑ups on the rectification and upgrading efforts are required, along with enhanced information reporting: starting from October 2019, the chemical‑industry governance offices of each prefecture‑level city shall submit progress reports on target completion to the provincial chemical‑industry governance office by the 5th of each month, and report on the status of rectification and upgrading activities to the provincial office during the last working week of each quarter; furthermore, within the first working week following the end of each six‑month period, the governments of each prefecture‑level city shall submit a summary of the chemical‑industry rectification and upgrading work to the provincial office. The provincial chemical‑industry governance office will issue regular updates on the progress of target implementation across all localities.

Jiangsu Provincial Leading Group for the Safety and Environmental Protection Rectification and Upgrading of the Chemical Industry

September 20, 2019

Source: WeiLink Chemicals

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