Regulations of Shanghai Municipality on the Advancement of Science and Technology

· Document Number：Announcement No. 25 of the Standing Committee of the People's Congress of Shanghai Municipality

· Area of Law： Science and Technology

· Level of Authority： Provincial Local Regulations

· Date issued：09-17-2010

· Effective Date：11-01-2010

· Status： Effective

· Issuing Authority： Shanghai Municipality People's Congress (incl. Standing Committee)

Announcement of the Standing Committee of the People's Congress of Shanghai Municipality
(No. 25)
The Regulations of Shanghai Municipality on the Advancement of Science and Technology, as adopted at the 21st Session of the Standing Committee of the Thirteenth People's Congress of Shanghai Municipality on September 17, 2010, is hereby issued and shall come into force on November 1, 2010.
Standing Committee of the People's Congress of Shanghai Municipality
September 17, 2010
Regulations of Shanghai Municipality on the Advancement of Science and Technology
(Adopted at the 28th Session of the Standing Committee of the 10th Shanghai Municipal People's Congress on June 20, 1996; amended in accordance with the Decision on the Amendment of the Regulations of Shanghai Municipality on the Advancement of Science and Technology adopted by the 20th Session of the Standing Committee of the 11th Shanghai Municipal People's Congress on July 13, 2000; and revised at the 21st Session of the Standing Committee of the 13th Shanghai Municipal People's Congress on September 17, 2010)
Chapter I General Provisions
Article 1 With a view to promoting the advancement of science and technology, giving full play to the role of science and technology as the primary productive forces, pushing forward the economic construction and social development, implementing the strategy of invigorating our nation with science and education, and building an innovation-oriented city, these Regulations are formulated in accordance with the Law of the People's Republic of China on the Advancement of Science and Technology, and other relevant laws and administrative regulations, and in the light of the actual circumstances of this Municipality.
Article 2 These Regulations apply to the scientific research, technology development, the spread and application of scientific and technological achievements, the popularization of science and technology, and all related services and administrative activities undertaken in this Municipality.
Article 3 The work of science and technology in this Municipality shall face the economic construction and social development, practice the guidelines of independent innovation, strategic surpassing to support the later development, and taking the lead in the future, enhance the capability of technological innovation, raise the citizens' scientific attainment, and promote the transformation of scientific and technological achievements to actual productivity.
This Municipality shall support the basic research of science and technology, encourage the integration of scientific and technological R&D with higher education and industrial development, and encourage the overlapping mergence and mutual promotion of the natural science and humanities and social sciences.
Article 4 The whole society shall esteem labor, value knowledge, respect trained personnel, and cherish creation to build up a good technological innovation atmosphere.
Article 5 The Municipal People's Government shall lead this Municipality's work on the advancement of science and technology, organize related departments in carrying out the strategic study of science and technology development, organize the formulation of development planning for the advancement of science and technology, determine this Municipality's objectives, tasks and major domains for science and technology development, and ensure the harmony of the advancement of science and technology and economic construction and social development as well.
The district/county people's governments shall, in accordance with the municipal development planning for the advancement of science and technology and the actual situation of the local economic construction and social development, take effective measures to push ahead the work on the advancement of science and technology.
Article 6 The municipal science and technology administrative department shall be responsible for the general administration and unified coordination of this Municipality's work on the advancement of science and technology. District/county science and technology administrative departments shall be responsible for the work on the advancement of science and technology within their respective administrative areas.
The municipal, district/county administrative departments of development and reform, economy and informatization, agriculture, education, finance, human resources and social security, and state-owned assets supervision and administration shall, within the range of their respective duties, be responsible for the related work on the advancement of science and technology.
Article 7 The municipal national economy and social development planning shall manifest the requirements for promoting the advancement of science and technology, and regard major science and technology projects and development of high and new technology industries as the important contents of the planning.
Article 8 The Municipal People's Government shall determine the major domains, priority areas, key construction and main projects of high and new technology development in this Municipality, work out preferential policies to support the high-tech industrial development zones, and provide a good environment for the research of high and new technology, the transformation of high and new technology achievements as well as the industrialization of high and new technology.
District/county people's governments shall guide and support the construction and development of high-tech industrial development zones within their respective administrative areas.
Article 9 The Municipal People's Government shall make known to the public, in accordance with the relevant provisions of open government information, the policies, measures and input for pushing ahead the advancement of science and technology. The municipal and district/county science and technology administrative departments shall give full play to function of the scientific and technological information platform, collect and compile the policies and measures of relevant departments for pushing ahead the advancement of science and technology to provide services to citizens, legal persons or other organizations.
The municipal science and technology administrative department shall prepare the annual report on the advancement of science and technology to summarize and reflect the implementation of the development planning for the advancement of science and technology, the input and use of the R&D funds, the level and applications of the scientific and technological achievements, and the contribution of the advancement of science and technology to the economic growth.
Article 10 This Municipality encourages and supports enterprises, universities and colleges, R&D institutions of science and technology, and social organizations of science and technology to carry out science and technology cooperation and exchange both at home and abroad according to law.
Article 11 Science and Technology Award shall be established in this Municipality to reward those individuals and organizations that have made significant contributions in the advancement of science and technology. The specific procedures shall be formulated by the Municipal People's Government.
Chapter II The Technological Advancement of Enterprises
Article 12 This Municipality shall establish a technological innovation system oriented by enterprises, guided by markets, and integrated with enterprises, universities and research institutions, actively put into effect various national and municipal technological innovation policies, guide innovative elements to concentrate on enterprises, and cultivate a batch of innovation-oriented enterprises with kernel competitive power.
Enterprises, universities and colleges, and R&D institutions of science and technology shall be encouraged to establish cooperative mechanisms in various ways, to ensure a close connection of R&D of science and technology and development of industries, and raise the transformation efficiency of scientific and technological achievements.
The administrative agencies of science and technology research projects set up by utilizing fiscal funds shall encourage enterprises to cooperate with R&D institutions of science and technology, universities and colleges to jointly put in practice those projects with clear market prospects.
The high and new technology enterprises and the projects transformed from high and new technology achievements recognized according to relevant provisions of the State and this Municipality may enjoy preferential policies of the State and this Municipality.
Article 13 Introduction of overseas advanced technology and equipment shall be encouraged in accordance with the industrial policies and technological policies of the State and this Municipality.
Any unit that utilizes fiscal funds and state-owned capitals to import significant technology or equipment shall conduct technology digestion, absorption, and re-innovation. Relevant departments and enterprises shall consolidate the funds for the digestion, absorption and re-innovation. The project examination and approval department shall take the technology digestion, absorption and re-innovation schemes as the key contents of the examination and approval or verification and approval.
Article 14 Enterprises shall be encouraged to put in practice the technical standard strategy. Enterprises shall be supported to take part in the formulation of local standards, industrial standards, national standards and international standards as well.
In formulating the local standards, the opinions of relevant enterprises, trade associations, and R&D institutions of science and technology shall be solicited.
Article 15 This Municipality shall establish a guiding fund for startup investment to guide social capitals to flow to startup investment enterprises through equity participation or by providing financing guarantee, so as to mainly push ahead the startup and development of the high and new technology industries. The specific procedures shall be formulated by the municipal development and reform department jointly with other relevant departments.
This Municipality shall establish a special relief fund for startup investment risks, consisting of the risk reserves extracted voluntarily by the startup investment enterprises and the matching fund provided by the government, used for compensating the startup investment enterprises' partial loss resulted from the failed investment in the projects of high and new technology achievements transformation or in the high and new technology enterprises. The specific procedures shall be formulated by the municipal departments of science and technology, finance, jointly with other relevant departments.
Article 16 This Municipality shall establish a supporting mechanism to promote the combination of finance and science and technology, encourage financial resources to concentrate on the technological innovation domain by guiding, encouraging and sharing of risks, encourage and support financial institutions to develop financial products and financial services suitable to the requirements of scientific and technological enterprises.
The municipal departments of financial services, and intellectual property rights shall, jointly with financial institutions and relevant intermediary agencies, establish a pledge financing service platform of intellectual property rights, to provide pledge financing services for enterprises' intellectual property rights through exhibition, registration, evaluation, consultation and financing recommendation.
Article 17 The state-owned enterprises shall establish and perfect a distribution system favorable to technology innovation, and improve the incentive and restraint mechanism.
The person in charge of the state-owned enterprise shall be responsible for the technological advancement of the enterprise. The status of the state-owned enterprise's innovation input, construction of innovation capability, innovation achievements, and digestion and absorption for re-innovation, shall be brought under the scope of performance appraisal of the person in charge of the state-owned enterprise.
Article 18 This Municipality shall allocate innovation funds for small and medium-sized enterprises of science and technology, subsidize small and medium-sized enterprises to carry out technology innovation, and give an impulse to innovation and startup of small and medium-sized enterprises of science and technology.
The service centers for startup of high and new technology set up by the municipal and district/county people's governments shall provide necessary sites and facility conditions for the eligible startup projects and enterprises of high and new technology, provide training and recommendation services in the aspects of policy consultation as well as financial affairs, marketing, and financing.
The municipal and district/county departments of science and technology, and economy and informatization, shall perfect the service function of agencies serving small and medium-sized enterprises, guide the startup investment institutions to invest in small and medium-sized enterprises of science and technology, encourage small and medium-sized enterprises of science and technology to develop new products, new technology or extend the application of mature technology, and shall support a faster development of small and medium-sized enterprises of science and technology with innovation advantage.
Chapter III R&D Institutions of Science and Technology and Scientific and Technical Personnel
Article 19 This Municipality shall allocate a natural science fund to support key research subjects of fundamental science as well as excellent middle-aged and young scientific and technical personnel to undertake scientific research.
The municipal science and technology administrative department shall, jointly with relevant departments, determine the functional orientation and layout of the R&D institutions set up by the utilization of fiscal funds.
Article 20 The municipal departments of science and technology, and education, shall give full play to the science and technology advantages of the R&D institutions of science and technology, universities and colleges, and enterprises, support the science and technology research in major domains, and form step by step a group of science and technology innovation bases including key laboratories, science research centers, and engineering technology research centers.
Article 21 This Municipality encourages enterprises to establish R&D institutions, supports R&D institutions, integrated with enterprises, to set up scientific and technological enterprises or enterprise-based R&D centers in many ways, and supports the qualified R&D institutions already institutionally transformed to enterprises to keep on undertaking generic technology R&D and public benefit services.
Article 22 The municipal and district/county people's governments shall enhance the contingent construction of science and technology talents, cultivate and introduce science and technology innovation talents and working groups centering around key science and technology subjects, main industries and major projects, and provide convenience for their science and technology research activities and the industrialization thereafter.
Enterprises shall encourage their employees' rational proposals and suggestions, and support trade unions to organize employees to carry out technological improvement and innovation activities.
Article 23 The municipal and district/county people's governments, enterprises and institutions shall take measures to improve working conditions for scientific and technical personnel, to ensure their rights to accept continual education, to raise their salary and benefits, and to offer generous treatment to those who have made protruding contributions.
The R&D institutions of science and technology, universities and colleges, and enterprises shall be encouraged to practice talents exchange in various ways including part-time job or post circulation of scientific and technical personnel.
Scientific and technical personnel shall be encouraged to establish a business and bring into effect the transformation of scientific and technological achievements according to law.
The status of scientific and technical personnel who have participated in popularization of science and technology, technical services, and technology consultation activities may be reckoned in their professional work experience and taken as one of the criteria for job title appraisal.
Article 24 Where the unit of scientific and technological achievements has made the transformation of the duty achievements of science and technology, it may, in accordance with different transformation modes and according to relevant provisions of the State and this Municipality, make a commitment on the equity right, the earning rate or rewards with the accomplisher.
Where the duty achievement of science and technology is entitled to a patent, the entitled unit of the patent shall encourage and reward the inventor or the designer; after the implementation of the invention-creation patent, the unit shall pay the inventor or the designer reasonable remuneration in accordance with the application scope and the economic benefits acquired.
The entitled unit of patent may make a commitment with the inventor or the designer, or prescribe the mode and amount of rewards or remuneration for duty invention-creation in the rules and regulations of the unit formulated according to law; if not, the unit shall observe the standards for rewards or remuneration provided by the State.
Article 25 The scientific and technical personnel shall observe academic norms, scrupulously abide by professional ethics, be honest and trustworthy, make efforts to raise their scientific and technological level, and shall not practice fraud in scientific and technological activities.
For the research projects of science and technology set up by utilizing fiscal funds, the project management agency shall establish a scientific research reputation record for the project's application unit, the undertaking unit, and the scientific and technical personnel participating in the project, as the basis for the engagement of scientific and technical personnel for a professional post or a professional title, or as the basis for the examination and approval of relevant institutions and personnel for the application of scientific and technological research projects.
Article 26 This Municipality encourages scientific and technical personnel to explore at liberty and have the courage to bear risks. Where the primary records can prove the scientific and technological research project undertaken is of strong exploratory and high risk, and the scientific and technical personnel have already perform their duty of diligence and acquittal but the research project remains unaccomplished, their continuing application of this Municipality's scientific and technological research project set up by utilizing fiscal funds shall not be affected.
Chapter IV Sharing of and Services to the Scientific and Technological Resources
Article 27 The municipal science and technology administrative department shall, jointly with relevant departments, periodically carry out the resource investigation on scientific and technological fundamental conditions, and establish the following information system of scientific and technological resources:
1. science and technology research bases and scientific apparatus and equipment;
2. scientific and technical literature, scientific and technological data, scientific and technological natural resources, and popularization resources; and
3. professional and technical service resources, and science and technology human resources.
The municipal science and technology administrative department shall announce to the society in a timely manner the distribution and actual uses of scientific and technological resources.
Article 28 The managerial unit of scientific and technological resources shall announce to the society the shared-use system and the actual uses of the scientific and technological resources under its management, and arrange the utilization according to the system. Where laws or administrative regulations provide that secret shall be kept, the provisions shall be abided by accordingly.
In case of opening scientific and technological resources to the society, the managerial unit of the scientific and technological resources shall make an agreement with the user on the rights and obligations including services, charges, ownership of intellectual property rights, confidence requirements, compensation for damages, liability for breach of contract, and treatment of disputes.
The municipal science and technology administrative department shall, jointly with relevant departments, work out the supporting policies on sharing the scientific and technological resources, to push the managerial unit of scientific and technological resources to open those resources to the society.
Article 29 The Municipal People's Government shall establish and perfect the R&D public service platform to provide such services to R&D institutions of science and technology, universities and colleges, and enterprises as information inquiry of scientific and technological resource, and recommendation of scientific and technological services, so as to promote the consolidation and effective use of scientific and technological resources, and support scientific and technological innovation activities.
Article 30 The municipal and district/county people's governments shall cultivate and develop a technology market, encourage social forces and scientific and technical personnel to set up intermediary agencies undertaking such activities as technology assessment, technology brokerage and technology consultation; normalize the behavior of the intermediary agencies, enhance the industry self-discipline, and raise the professional level and service ability of the intermediary agencies.
Chapter V Popularization of Science and Technology
Article 31 The municipal and district/county science and technology administrative departments shall work out a work planning of science and technology popularization, and strengthen the work on the popularization of science and technology.
Institutions and mass organizations in the fields of science and technology, education, culture, press and publishing, broadcast, film and television, as well as public health shall be encouraged to carry out the dissemination of scientific and technological knowledge in various forms.
Article 32 The municipal and district/county people's governments shall strengthen the construction and management over the sites and halls and facilities for the popularization of science and technology, and encourage and support social forces to construct sites and halls and facilities for the popularization of science and technology.
Enterprises, universities and colleges, R&D institutions of science and technology shall be encouraged to rely on their own advantages to open to the public the places and facilities including sites and halls of scientific and technological popularization, laboratories and showrooms, to carry out scientific and technological popularization activities.
The sites and halls for the popularization of science and technology with government investment shall open to the public round the year, and practice preferential treatment to the youngsters.
Article 33 The municipal science and technology administrative department shall, jointly with relevant departments, take up the training of the managerial personnel of scientific and technological popularization work, employees of news media, and designers and explanation staff of scientific and technological popularization sites and halls.
Article 34 The science and technology administrative departments, education administrative departments, science and technology associations, schools, and education bases of scientific and technological popularization shall encourage and actively organize the participation of youngsters in scientific and technological knowledge popularization activities, so as to foster a social ambiance of studying, loving, stressing and applying science.
Article 35 Where the scientific and technological research project by utilizing fiscal funds is suitable to scientific and technological popularization, the project management agency shall, in the project contract, require the project undertaker to submit reports on the popularization and application of scientific and technological research achievements.
Article 36 The municipal science and technology administrative department shall establish an evaluation index system of scientific and technological popularization, construct a monitoring working net of scientific and technological popularization, make periodical assessment on citizens' scientific quality, and take up examination and evaluation on the operation situations of scientific and technological popularization sites and halls, scientific and technological popularization projects, and the status of carrying out significant scientific and technological popularization activities.
Chapter VI Guarantee Measures
Article 37 This Municipality shall establish an input system for the expenditure on science and technology guided by government input, and taking multi-channel social input as the main body including enterprises' input, market financing, and foreign capital introduction.
This Municipality shall raise step by step the overall input level of the expenditure on science and technology. The annual growth extent of municipal and district/county finances used for the expenditure on science and technology shall be higher than that of the recurring income of the finance of the same level. The expenditure on R&D of science and technology of the whole society shall account for over 2.5% of the GDP of this Municipality.
Article 38 The municipal and district/county financial funds of science and technology shall mainly input in the following items:
1. the R&D of science and technology playing vital role in realizing national strategy, ensuring national security, and promoting this Municipality's economic and social development;
2. providing complement support for the national significant projects of science and technology in this Municipality;
3. providing operational guarantee for the R&D institutions of science and technology engaging in non-profit research;
4. supporting the construction of science and technology infrastructures, purchasing science and technology instruments and equipment, and constructing and perfecting the R&D public service platform;
5. supporting the application and transformation of scientific and technological achievements, the startup incubation of small and medium-sized enterprises of science and technology, and the technological innovation activities of small and medium-sized enterprises of science and technology;
6. supporting the basic research on science and technology, and cultivating science and technology talents;
7. supporting the popularization of science and technology; and
8. other work on the advancement of science and technology related to the economic and social development of the State and this Municipality.
The municipal departments of finance, and science and technology shall, jointly with relevant departments, establish and perfect the merit appraisal system of fiscal funds for science and technology, and raise the utilization effectiveness of fiscal funds for science and technology.
The auditing offices and the departments of finance shall conduct control and inspection over the management and use of fiscal funds for science and technology.
Article 39 Any individual or unit engaging in technological development, transfer, consultation or services shall, in accordance with the provisions of the State, enjoy tax preference.
The R&D expenses incurred by enterprises on the development of new technology, new products or new processes may, in accordance with relevant provisions of the State, be disbursed from the costs and expenses before tax and be deducted by accumulation.
Article 40 For research projects of science and technology set up by utilizing the fiscal funds, the project management agency shall perform the following duties:
1. working out the application and management procedures of the project fund, and publishing them on the government website;
2. releasing information about project name, contents and application prerequisites on the government website;
3. organizing experts' evaluation, and open the evaluation result upon the application of the party concerned;
4. releasing project-list results and project undertakers on the government website;
5. conducting the whole-process administration round the project implementation and the examination and acceptance of the project achievements; and
6. carrying out the follow-up assessment on the status of the popularization and application of the project achievements.
Where laws and regulations provide that the research project of science and technology shall be confidential, such provisions shall be followed.
Article 41 The municipal departments of science and technology, and finance shall, jointly with relevant departments, establish an information sharing system of governmental scientific research projects for those research projects of science and technology set up by utilizing fiscal funds.
The project management agency shall, before listing the project, use the information system provided in the preceding clause to carry out a searching and check-up to avoid repetitive list of projects, record in a timely manner the information on the whole-process administration round the project implementation in the information system, and realize the timely collection and sharing of information on the status of project name, contents, application prerequisites, project undertakers, and project accomplishment situation.
Article 42 Where the independent innovative products of citizens, legal persons or other organizations at home are brought under this Municipality's independent innovative products catalogue for government procurement, and the indexes of the feature and technology satisfy the requirements of government procurement, the government procurement shall give the priority; for those coming onto the market for the first time, the government procurement shall take the lead.
Where the products on the government procurement list remain in development, the purchaser shall determine the R&D institutions of science and technology, universities and colleges, or enterprises through bidding to take up the R&D, and place a purchase order.
Article 43 The municipal and district/county people's governments shall guarantee the input in the technological advancement of agricultural science and technology, perfect the managerial mechanism and service system of the technological advancement of agricultural science and technology, support the commonwealth R&D institutions of agricultural science and technology and the agencies for the popularization of agricultural techniques to carry out the R&D and the application of agricultural science and technology, and develop a highly efficient and modern ecological agriculture.
Chapter VII Legal Liability
Article 44 Those who misrepresent, claim falsely, embezzle, misappropriate, reduce or divert the fiscal funds allocated for the advancement of science and technology shall be ordered to make corrections according to the relevant provisions for punishment and imposing sanctions against the illegal acts of finance, the relevant fiscal funds and illegal income shall be recovered, and administrative sanctions shall be given according to law; the direct liable superior(s) and other direct liable person(s) shall be subjected to administrative sanctions according to law.
Article 45 Those who copy or plagiarize another person's scientific and technological achievements, or practice fraud in scientific and technological activities, shall be ordered to make corrections by the unit where the technical personnel work or the superior organ, the direct liable superior(s) and the direct liable person(s) shall be subjected to administrative sanctions according to law; where the fiscal funds for or illegal income from the advancement of science and technology have been obtained, the relevant departments shall recover the fiscal funds and the illegal income; where the case is serious, the unit where they work or the superior organ shall publish their illegal acts to the society, and forbid them to apply for this Municipality's scientific and technological research projects within a certain time limit.
Article 46 In case of serious abuse of power by restricting or smothering the R&D activities of science and technology, the direct liable superior(s) and direct liable person(s) shall be subjected to administrative sanctions according to law.
Article 47 If the science and technology administrative department and other relevant departments and their working personnel neglect their duties, abuse their power, play favoritism and engage in malpractice for selfish ends, the unit they work in or the superior organ shall impose the direct liable superior(s) and other direct liable person(s) administrative sanctions according to law; If their acts constitute a crime, their criminal liability shall be prosecuted according to law.
Article 48 If the party concerned refuses to accept the specific administrative acts of the science and technology administrative department or other relevant departments, he/she may apply for a reconsideration or file a legal action according to the provisions of the Law of the People's Republic of China on Administrative Reconsideration or the Administrative Litigation Law of the People's Republic of China.
If the party concerned does not apply for reconsideration, nor file a legal action, nor perform the specific administrative acts within the prescribed time limit, the department that made the specific administrative acts may apply to the people's court for enforcement.
Chapter VIII Supplementary Provision
Article 49 These Regulations shall be effective as of November 1, 2010.