Cleaner Production Promotion Law of China (2012 Amendment)

· Document Number：Order No. 54 of the President of the People’s Republic of China

· Area of Law： Energy Environmental Protection

· Level of Authority： Laws

· Date issued：02-29-2012

· Effective Date：01-01-2003

· Status： Effective

· Issuing Authority： Standing Committee of the National People's Congress

Cleaner Production Promotion Law of China
(Adopted at the 28th Session of the Standing Committee of the Ninth People's Congress on June 29, 2002; and amended in accordance with the Decision on Amending the Cleaner Production Promotion Law of the People's Republic of China adopted at the 25th session of the Standing Committee of the Eleventh National People's Congress of the People's Republic of China on February 29, 2012)
Table of Contents
Chapter I General Provisions 
Chapter II Promotion of Cleaner Production 
Chapter III Implementation of Cleaner Production 
Chapter IV Incentives 
Chapter V Legal Liability 
Chapter VI Supplementary Provision 
Chapter I General Provisions
Article 1 To promote cleaner production, raise the efficiency of utilization of resources, reduce and avoid the generation of pollutants, protect and improve environment, protect human health, and promote the sustainable development of economy and society, this Law is formulated.
Article 2 For the purposes of this Law, “cleaner production” means reducing pollution at the source, raising the efficiency of utilization of resources, and reducing or avoiding the generation and discharge of pollutants during production, service, and use of products by continuously taking measures such as improving designs, using clean energy and raw materials, adopting advanced processes, technologies, and equipment, improving management, and conducting comprehensive utilization to mitigate or eliminate harm to human health and environment.
Article 3 Entities engaging in production and service activities and relevant administrative authorities within the territory of the people's republic of China shall organize and implement cleaner production in accordance with this Law.
Article 4 The state encourages and promotes cleaner production. The State Council and the local people's governments at and above the county level shall include cleaner production promotion in the national economic and social development plans and annual plans as well as the environmental protection, resource utilization, industry development, regional development, and other plans.
Article 5 The general coordination department for cleaner production of the State Council shall be responsible for organizing and coordinating cleaner production promotion throughout the country. The environmental protection, industry, science and technology, finance, and other relevant departments of the State Council shall be responsible for cleaner production promotion within their respective functions.
The local people's governments at and above the county level shall be responsible for leading cleaner production promotion within their respective administrative regions. The general coordination department for cleaner production as determined by a local people's government at or above the county level shall be responsible for organizing and coordinating cleaner production promotion within its administrative region. Other relevant departments of a local people's government at or above the county level shall be responsible for cleaner production promotion within their respective functions.
Article 6 The state encourages the scientific research, technology development, and international cooperation concerning cleaner production, publicity and popularization of cleaner production knowledge, and promotion of cleaner production technologies.
The state encourages social organizations and the general public to participate in cleaner production publicity, education, promotion, implementation, and supervision.
Chapter II Promotion of Cleaner Production
Article 7 The State Council shall formulate financial and taxation policies facilitating the implementation of cleaner production.
The State Council and its relevant departments and the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government shall formulate industry policies and technology development and promotion policies facilitating the implementation of cleaner production.
Article 8 The general coordination department for cleaner production of the State Council shall, in conjunction with the environmental protection, industry, science and technology, and other relevant departments of the State Council, prepare a national cleaner production promotion plan in accordance with the national economic and social development plan and the national requirements for conserving resources, reducing energy consumption, and reducing discharge of major pollutants and publish the plan in a timely manner with the approval of the State Council.
The national cleaner production promotion plan shall cover: the objectives, primary tasks, and safeguards for cleaner production promotion and the key areas, key sectors, and key programs subject to cleaner production determined on the basis of consumption of resources and energy and discharge of pollutants.
The departments for relevant sectors of the State Council shall, in accordance with the national cleaner production promotion plan, determine the key cleaner production projects in their respective sectors, and prepare and organize the implementation of a special-purpose sector cleaner production promotion plan.
The local people's governments at and above the county level shall, in accordance with the national cleaner production promotion plan, the relevant special-purpose sector cleaner production promotion plans, and the requirements for conserving resources, reducing energy consumption, and reducing discharge of major pollutants in their respective regions, determine the key cleaner production projects within their respective regions, and prepare and organize the fulfillment of an implementation plan for cleaner production.
Article 9 The central budget shall allocate more funds for cleaner production promotion, including special-purpose funds from the central treasury for cleaner production and other funds arranged by the central budget for cleaner production, to support the cleaner production and promotion of cleaner production technologies in key areas, key sectors, and key programs as determined in the national cleaner production promotion plan and the implementation of cleaner production projects in ecologically vulnerable areas. The specific measures for the use of funds in the central budget for supporting cleaner production promotion shall be formulated by the finance department and general coordination department for cleaner production of the State Council in conjunction with other relevant departments of the State Council.
The local people's governments at and above the county level shall make overall arrangements on funds allocated by the local treasury for cleaner production promotion and guide social capital in supporting key cleaner production projects.
Article 10 The relevant departments of the State Council and the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government shall organize and support the establishment of information systems and technical consulting service systems for cleaner production to provide the general public with methods and technologies for cleaner production as well as information and services regarding the demand and supply of recyclable waste and cleaner production policies.
Article 11 The general coordination department for cleaner production of the State Council shall, in conjunction with the environmental protection, industry, science and technology, construction, agriculture, and other relevant departments of the State Council, issue guiding catalogues of technologies, processes, equipment, and products for cleaner production on a regular basis.
The general coordination department for cleaner production and the environmental protection department of the State Council and their counterparts of the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government shall, in conjunction with the relevant departments at the same level, organize the preparation of a cleaner production guide for key sectors or areas to provide guidance for the implementation of cleaner production.
Article 12 The state applies an elimination system to outdated production technologies, processes, equipment, and products that waste resources or cause serious environmental pollution. The relevant departments of the State Council shall, within their respective functions, prepare and issue catalogues of production technologies, processes, equipment, and products to be eliminated within a prescribed time limit.
Article 13 The relevant departments of the State Council may, when necessary, approve the creation of energy conservation, water conservation, recycled waste, and other environmental and resource protection signs for products and formulate corresponding standards according to the relevant provisions of the state.
Article 14 The science and technology department and other relevant departments of a people's government at or above the county level shall guide and support the research and development of cleaner production technologies and products facilitating the protection of environment and resources as well as the demonstration and promotion of cleaner production technologies.
Article 15 The education department of the State Council shall include courses of cleaner production technologies and management in the relevant higher education, vocational education, and technical training systems.
The relevant departments of a people's government at or above the county level shall organize and conduct publicity and training concerning cleaner production to raise the cleaner production awareness of state employees, the management of enterprises, and the general public and train cleaner production management and technical personnel.
Press, radio and television, culture, and other entities as well as relevant social organizations shall conduct effective publicity regarding cleaner production by making full use of their respective advantages.
Article 16 The people's government at all levels shall, in their procurement, give priority to products facilitating the protection of environment and resources, such as energy conservation, water conservation, and recycled waste products.
The people's government at all levels shall, by publicity, education, and other measures, encourage the general public to purchase and use products facilitating the protection of environment and resources, such as energy conservation, water conservation, and recycled waste products.
Article 17 The general coordination department for cleaner production and the environmental protection department of the people's government of a province, autonomous region, or municipality directly under the Central Government shall, as needed for cleaner production promotion, publish a list of enterprises which fail to reach the energy consumption control indicators or the major pollutant discharge control indicators on local major media to provide a basis for the general public to oversee the implementation of cleaner production by enterprises.
Enterprises on the list mentioned in the preceding paragraph shall publish information on their energy consumption or generation and discharge of major pollutants as required by the general coordination department for cleaner production and the environmental protection department of the State Council to receive oversight by the general public.
Chapter III Implementation of Cleaner production
Article 18 For a project of new construction, reconstruction, or expansion, an environmental impact assessment shall be conducted, analysis and demonstration shall be conducted in such respects as use of raw materials, consumption of resources, comprehensive utilization of resources, and generation and disposal of pollutants, and cleaner production technologies, processes, and equipment with a high efficiency of resource utilization and generating fewer pollutants shall be adopted in priority.
Article 19 Enterprises shall, in their technical improvement, take the following cleaner production measures:
(1) replacement of highly toxic or highly harmful raw materials with atoxic or harmless raw materials or low-toxicity or low-harm raw materials;
(2) replacement of processes and equipment with a low efficiency of resource utilization and generating more pollutants with processes and equipment with a high resource utilization efficiency and generating fewer pollutants;
(3) comprehensive utilization or recycling of solid waste, waste water, waste heat, and so on generated in the process of production; and
(4) adoption of pollution prevention technologies up to the national or local standards for discharge of pollutants and total volume control indicators for discharge of pollutants.
Article 20 During the design of products and packages, their effects on human health and environment within their service life shall be taken into account, and toxic-free, harm-free, easy degradation, and easy recycling schemes shall be chosen in priority.
Enterprises shall reasonably pack their products and ensure that the material, structure, and cost of packages are appropriate for the quality, specifications, and cost of inside products to reduce generation of packing waste, and excessive packaging shall be prohibited.
Article 21 Enterprises manufacturing large-scale electromechanical equipment, motor-driven vehicles, and other products designated by the industry department of the State Council shall, in accordance with the technical specifications formulated by the standardization department of the State Council or an institution authorized by it, indicate the standard specification for material composition on the main structure of the products.
Article 22 Agricultural producers shall scientifically use chemical fertilizers, pesticides, agricultural films, and feed additives and improve planting and breeding technologies to ensure quality and harmless agricultural products, realize utilization of agricultural production waste as resources, and prevent agricultural environmental pollution.
It shall be prohibited to use toxic or harmful waste as fertilizers or for creating farmland.
Article 23 Catering, entertainment, hospitality, and other service enterprises shall adopt technologies and equipment facilitating environmental protection, such as energy and water conservation technologies and equipment, and reduce or cease the use of consumables that waste resources or pollute environment.
Article 24 In construction projects, architectural design schemes, building and decoration materials, building components and parts, and construction equipment facilitating the protection of environment and resources shall be adopted.
Building and decoration materials must comply with the national standards. It shall be prohibited to produce, sell, and use building and decoration materials containing toxic or harmful substances that fail the national standards.
Article 25 In the exploration and exploitation of mineral resources, exploration and exploitation methods and techniques facilitating the reasonable utilization of resources, environment protection, and prevention of pollution shall be adopted to improve the efficiency of utilization of resources.
Article 26 Where economic and technological conditions permit, enterprises shall independently recycle the solid waste, waste heat, and other waste generated in their production and provision of services or transfer such waste to other qualified enterprises and individuals for recycling.
Article 27 Enterprises shall monitor the consumption of resources and the generation of waste in their production and provision of services and, when necessary, implement cleaner production examination of their production and provision of services.
Under any of the following circumstances, enterprises shall be subject to compulsory cleaner production examination:
(1) discharge pollutants beyond the national or local discharge limits or, though under the national or local discharge limits, beyond the total volume control indicators for discharge of major pollutants;
(2) exceed the limit for energy consumption per unit of products, which constitutes high energy consumption; or
(3) use toxic or harmful raw materials for production or discharge toxic or harmful substances during production..
Enterprises discharging pollutants beyond the national or local discharge limits shall control pollution in accordance with relevant laws regarding environmental protection.
An enterprise subject to compulsory cleaner production examination shall report the examination results to the general coordination department for cleaner production and the environmental protection department of the local people's government at or above the county level and publish the examination results on local major media to receive oversight by the general public, except where trade secrets are involved..
The relevant departments of the local people's governments at and above the county level shall oversee the compulsory cleaner production examination implemented by enterprises and, when necessary, may organize evaluation and acceptance check regarding the effects of enterprises' implementation of cleaner production with relevant expenses included in the government budget at the same level. The departments or entities conducting such evaluation and acceptance check may not charge fees to enterprises under evaluation and acceptance check.
The specific measures for implementing cleaner production examination shall be formulated by the general coordination department for cleaner production and the environmental protection department of the State Council in conjunction with other relevant departments of the State Council.
Article 28 Enterprises other than those as mentioned in paragraph 2, Article 27 of this Law may voluntarily enter into agreements with the general coordination department for cleaner production and the environmental protection department regarding further conserving resources and reducing discharge of pollutants. The general coordination department for cleaner production and the environmental protection department shall publish the names of such enterprises and their results of conserving resources and preventing pollution on local major media.
Article 29 Enterprises may, on a voluntary basis, employ certification institutions recognized by the certification and accreditation supervision and administration department of the State Council for certification according to the state provisions on certification of environmental management systems to improve their cleaner production capabilities.
Chapter IV Incentives
Article 30 The state shall create a cleaner production commendation and award system. The people's governments shall commend and grant awards to outstanding entities and individuals in cleaner production.
Article 31 For cleaner production research, demonstration, and training and for implementation of key national technical improvement projects for cleaner production and technical improvement projects under agreements on voluntarily conserving resources or reducing discharge of pollutants as mentioned in Article 28 of this Law, the people's governments at and above the county level shall provide financial support.
Article 32 In the funds for the development of small- and medium-sized enterprises as established according to the state provisions, an appropriate amount shall be arranged for supporting their implementation of cleaner production as needed.
Article 33 Enterprises producing products by using waste or raw materials reclaimed from waste shall enjoy tax preferences according to the state provisions.
Article 34 The expenses of enterprises for cleaner production examination and training may be recorded as operating costs of enterprises.
Chapter V Legal Liabilities
Article 35 Where a general coordination department for cleaner production or any other relevant department fails to perform its functions in accordance with this Law, the directly responsible chief and other directly liable persons shall be subject to disciplinary actions according to law.
Article 36 Where any enterprise, in violation of paragraph 2, Article 17 of this Law, fails to publish information on its energy consumption or generation and discharge of major pollutants as required, the general coordination department for cleaner production and the environmental protection department of the local people's government at or above the county level shall, within their respective functions, order the enterprise to publish such information and may impose a fine of not more than 100,000 yuan on the enterprise.
Article 37 Where any enterprise, in violation of Article 21 of this Law, fails to indicate or truthfully indicate the material composition of its products, the quality and technology supervision department of the people's government at or above the county level shall order the enterprise to make correction within a prescribed time limit; and, if the enterprise refuses to do so, shall impose a fine of not more than 50,000 yuan on the enterprise.
Article 38 Whoever, in violation of paragraph 2, Article 24 of this Law, produces or sells building or decoration materials containing noxious or harmful substances that fail the national standards shall be subject to administrative, civil, or criminal liability in accordance with the Product Quality Law and related civil and criminal laws.
Article 39 Where any enterprise, in violation of paragraph 2 or 4, Article 27 of this Law, fails to implement compulsory cleaner production examination or fraudulently implements cleaner production examination, or where an enterprise subject to compulsory cleaner production examination fails to report or truthfully report the examination results, the general coordination department for cleaner production and the environmental protection department of the local people's government at or above the county level shall, within their respective functions, order the enterprise to make correction within a prescribed time limit; and, if the enterprise refuses to do so, impose a fine of not less than 50,000 yuan but not more than 500,000 yuan on the enterprise.
Where a department or entity conducting evaluation and acceptance check or any staff member thereof, in violation of paragraph 5, Article 27 of this Law, charges fees to enterprises under evaluation and acceptance check, fails to sufficiently conduct evaluation and acceptance check, fraudulently conducts evaluation and acceptance check, or seeks any benefit by taking advantage of his or her position, the directly responsible chief and other directly liable persons shall be subject to disciplinary actions according to law; and if any crime is committed, shall be subject to criminal liability according to law.
Chapter VI Supplementary Provision
Article 40 This Law shall come into force on January 1, 2003.