What are the laws that indicate that a foreign-owned enterprise, which is self-financed, can invite bids on its own?

If your project does not fall within the scope of the following provisions, you can decide whether and how to bid according to the needs of this enterprise.

Provisions of the State Development Planning Commission on the Scope and Scale Standards of Bidding for Engineering and Construction Projects

Article 1 In order to determine the specific scope and scale standards of engineering and construction projects that must be tendered, and to standardize bidding and tendering activities, these provisions are formulated in accordance with the provisions of Article 3 of the Law of the People's Republic of China on Bidding and Tendering of the Chinese People's Republic of China*** and the State of China.

Second Article The scope of infrastructure projects that have a bearing on the public **** interests of society and public safety includes:

(1) energy projects such as coal, petroleum, natural gas, electric power, new energy, etc.

(2) transportation projects such as railroads, highways, pipelines, water transportation, aviation, and other transportation industries;

(3) postal and telecommunication hubs, communications, information networks, and other postal and telecommunication projects;

(iv) water conservation projects such as flood control, irrigation, drainage, water diversion (supply), mudflat management, soil and water conservation, water conservancy hubs, and other water conservancy projects;

(v) urban facilities projects such as roads, bridges, subways and light rail transit, sewage discharge and treatment, garbage disposal, underground pipelines, and public **** parking lots;

(vi) ecological environmental protection projects;

(vii) other infrastructure projects.

Article 3: The scope of public utility projects related to the interests of the public and public safety includes:

(1) municipal engineering projects such as water supply, power supply, gas supply, heat supply, etc.

(2) projects of science and technology, education, culture, etc.

(3) projects of sports and tourism, etc.

(4) projects of health and social welfare, etc.

(5) projects of social welfare, etc.

(6) projects of ecological environment protection, etc.

(7) projects of other infrastructure. /p>

(v) commercial housing, including affordable housing;

(vi) other public utility projects.

Article 4 The scope of investment projects using state-owned funds includes:

(1) projects using budgetary funds at all levels of finance;

(2) projects using various governmental special construction funds included in the financial management;

(3) projects using the own funds of the state-owned enterprises and institutions and over which the investors of the state-owned assets actually have the right of control.

Article 5: The scope of state-financed projects includes:

(1) projects financed with funds raised by the issuance of bonds by the state;

(2) projects financed with funds raised by the use of state external borrowings or guarantees;

(3) projects financed by the use of state policy loans;

(4) projects financed by investment entities authorized by the state;

(5) projects financed by state-chartered investment entities; and p>(v) Projects financed by state licenses.

Article 6 The scope of projects using funds from international organizations or foreign governments includes:

(1) projects using loan funds from international organizations such as the World Bank, the Asian Development Bank, etc.

(2) projects using loan funds from foreign governments and their agencies;

(3) projects using aid funds from international organizations or foreign governments.

Article 7 All types of engineering and construction projects within the scope of the provisions of Articles 2 to 6 of these Regulations, including the investigation, design, construction, supervision of the project and the procurement of important equipment, materials and other goods related to the construction of the project, which meet one of the following criteria must be put up for bidding:

(1) Where the estimated price of a single contract for the construction of a project is more than 2 million yuan;

(2) Where the estimated price of a single contract for construction is more than 2 million yuan;

(3) The use of funds from international organizations or foreign governmental assistance. (b) The procurement of important equipment, materials and other goods, where the estimated price of a single contract is more than 1 million yuan;

(c) The procurement of survey, design, supervision and other services, where the estimated price of a single contract is more than 500,000 yuan;

(d) Where the estimated price of a single contract is lower than the standards stipulated in subparagraphs (a), (b), and (c), but the total investment of the project is more than 30 million yuan. million yuan or more.

Article 8 The survey and design of the construction project, the use of specific patented or proprietary technology, or its architectural art modeling has special requirements, approved by the competent department in charge of the project, may not be subject to bidding.

Article IX must be bid in accordance with the law, the project, all the use of state-owned capital investment or state-owned capital investment in a controlling or dominant position, shall be open to bidding.

The bidding and tendering activities shall not be subject to regional or sectoral restrictions, and no discriminatory treatment shall be applied to potential bidders.

Article X. The people's governments of provinces, autonomous regions and municipalities directly under the Central Government may, in the light of the actual situation, stipulate the specific scope and scale standards of bidding that must be carried out in their respective regions, but shall not reduce the scope of bidding that must be carried out as determined in these provisions.

Article XI of the State Development Planning Commission may, according to actual needs, in conjunction with the relevant departments of the State Council on the provisions of the specific scope of the bidding must be carried out and the size of the standard for partial adjustment.

Article XII of these provisions shall come into force on the date of publication.

This Article is about the definition of engineering construction projects.

The purpose of the provisions of this article is to better handle the relationship between the Bidding and Tendering Law and the Government Procurement Law. It should be said that these two laws in the process of formulation has been made from the scope of adjustment, the focus of the normative content and other aspects of better convergence. For example, taking into account the actual management of bidding for construction projects, Article 4 of the Government Procurement Law stipulates that the bidding and tendering activities for government procurement projects shall be governed by the Bidding and Tendering Law; in view of the fact that the Bidding and Tendering Law has already comprehensively stipulated the bidding and tendering process, the Government Procurement Law does not provide for the bidding and tendering procedures for the procurement of goods and services by the government in any further detail. Nevertheless, in the course of actual implementation, the parties concerned still reflect that there is a conflict between the two laws. The reasons for this are twofold. At the institutional level, there is a lack of clarity as to which law should be applied to bidding and tendering activities for goods and services related to government procurement projects. At the implementation level, the scope of application of the two laws is inappropriately expanded, either by including some government procurement of goods and services that are not originally part of the project in the scope of adjustment of the Bidding and Tendering Law, or by including bidding and tendering activities for government procurement of works in the scope of adjustment of the Government Procurement Law. This article further deals with the scope of adjustment of these two laws by unifying the conceptual terminology and clarifying the scope of goods and services related to government procurement of construction works.

(I) with the Government Procurement Law engineering definition made convergence. With reference to the "Government Procurement Law" definition of engineering, paragraph 2 of this article provides that the works referred to in the preceding paragraph refers to construction works, including new construction of buildings and structures, alteration, expansion and their related renovation, dismantling, repair and so on. It should be noted that construction works are not limited to structures and buildings. According to the Regulations on the Administration of Quality of Construction Works and the Regulations on the Administration of Safety in Construction Works, construction works refer to civil engineering works, architectural works, wiring, piping and equipment installation works and decoration works. From this definition, it can be seen that the project refers to all tangible fixed assets formed through design, construction, manufacturing and other construction activities, and it is important to avoid an expanded understanding of the project, such as the "Project Hope', "Five One Project", "system engineering" and other conceptualization of collaborative activities understood as construction projects. Thus preventing inappropriate government procurement of goods and services into the scope of adjustment of the Bidding Law.

(ii) clarifies the connotation and extension of engineering construction projects. Paragraph 1 of this article provides that the project construction project referred to in Article 3 of the Bidding and Tendering Law refers to the project as well as the goods and services related to the construction of the project. Paragraph 2 stipulates that the goods related to construction projects referred to in the preceding paragraph refer to equipment and materials that form an inseparable part of the project and are necessary for realizing the basic functions of the project; and the services related to construction projects referred to refer to the services such as surveying, designing, and supervising that are necessary for the completion of the project. Accordingly, the Bidding and Tendering Law shall also apply to the bidding and tendering activities of goods and services related to the government procurement of engineering construction.

This article is about the scope of public tendering projects and the conditions and procedures under which invitational tendering may be used.

I. Open bidding and invitational bidding are the two bidding methods stipulated in the Bidding and Tendering Law

Article 10 of the Bidding and Tendering Law stipulates that the bidding methods shall be divided into open bidding and invitational bidding. Open bidding, refers to the bidder to invite unspecified legal persons or other organizations to bid by way of bidding notice. Invitation to tender means that the bidder invites specific legal persons or other organizations to bid by means of an invitation to tender. Article 16, paragraph 1, provides that where a bidder adopts open tendering, it shall issue a tender notice. The public notice of tendering for projects for which tendering is required by law shall be published through a State-designated newspaper, information network or other media. Article 17, paragraph 1, provides that where a bidder adopts the method of inviting tenders, it shall issue an invitation to tender to more than three specific legal persons or other organizations that have the capacity to undertake the tendered project and are of good credit. In the light of the above provisions, and from the actual implementation, open tendering and invitations to tender each have their own advantages. In addition to the law should be open tendering project, the bidder can according to the actual situation of the bidding project independently choose what kind of bidding method.

This article supplements the scope of the project must be open tendering

While open tendering and invitations to tender have their own advantages and disadvantages, but because of the transparency of the open tendering and the degree of competition is higher, domestic and foreign legislation is usually open tendering as a major procurement methods. For example, Article 26(2) of China's Government Procurement Law stipulates that open tendering shall be the main procurement method for government procurement; Article 19 of Taiwan's Government Procurement Law stipulates that, except for statutory circumstances, procurement above the limit shall be subject to open tendering. The World Bank's Guide to Procurement of Goods, Construction and Non-Consulting Services specifies that, in the vast majority of cases, international competitive bidding (international open tendering) is the best way to realize the values of economic efficiency, equal opportunity for competition, and transparency in the procurement process. The UNCITRAL Model Law on Procurement of Goods, Construction and Services provides that, as a general rule, goods or construction should be procured through tendering proceedings (open tendering).

According to Article 11 of the Bidding and Tendering Law, key national projects and key local projects determined by the people's governments of provinces, autonomous regions and municipalities directly under the Central Government shall, in principle, be subject to public tendering. This article in the "tender law" on the basis of the foregoing provisions, drawing on relevant legislative experience, the scope of the project of public tender to make additional provisions, that is, state-owned funds accounted for the controlling or dominant position of the project must be tendered in principle, should also be publicly tendered. The so-called "state-owned funds", according to the "project construction project bidding scope and scale standard regulations" (national development planning commission order no. 3) article 4, including all levels of financial budget funds, into the financial management of the various governmental special construction fund, as well as state-owned enterprises and institutions own funds. The so-called "controlling or dominant position", according to Article 217 of the Company Law, means that state-owned funds account for more than 50% of the total capital of a limited liability company or state-owned shares account for more than 50% of the total share capital of a joint stock limited company; although the proportion of state-owned funds or state-owned shares is less than 50%, the voting rights enjoyed by the state-owned companies in accordance with the amount of capital contributed or the shares held are sufficient to exercise control over the shareholders. Although the proportion of state-owned funds or state-owned shares is less than 50%, but the voting rights based on the amount of capital contribution or the shares held are sufficient to have a significant influence on the resolution of the shareholders' meeting or the general meeting of shareholders, or the state-owned enterprises and institutions can actually dominate the company's behavior through investment relations, agreements or other arrangements, also belong to the state-owned funds in a controlling or dominant position.

Two points need to be clarified: First, the proportion of state-owned funds should be the source of funds for the project of all state-owned funds and state-owned enterprises and institutions of their own and self-financing funds are state-owned funds. Secondly, the scope of the project must be publicly bid in accordance with the law, is not limited to the "Bidding Law," Article 11 and the provisions of this article. For example, Article 26 of the Land Reclamation Regulations stipulates that where the government invests in reclamation, the relevant land and resources department shall determine the construction unit of the land reclamation project through public bidding in accordance with the provisions of the laws and regulations on bidding and tendering; and the State Council Circular on Promoting the Saving and Intensive Use of Land (Guofa [2008] No. 3) explicitly requires that the preliminary development of land shall be selected through public bidding. Implementation unit.

Third, this article specifies the conditions and procedures to be followed for inviting tenders for public tendering projects

Paragraph 1 of this article stipulates that the two situations in which tenders can be invited.

(1) Where the project is technically complex, has special requirements or is restricted by the natural environment, and only a small number of potential bidders are available. Invitation to tender under this provision, in addition to the technical complexity of the project, or special requirements, or by the natural environment, should also meet only a small number of potential bidders to choose this condition. Considering the above special circumstances, even if open tendering is used, the bidders are known and limited, directly inviting qualified potential bidders to bid is not only conducive to improving the efficiency of the procurement and saving the procurement cost, but also can avoid to a certain extent the failure of the tendering due to the fact that there are less than three bidders. It should be noted that, although the project is technically complex or has special requirements, or although it is limited by the natural environment, if there are enough potential bidders, for projects that should be openly tendered, it is still not possible to invite tenders. In addition, the project is technically complex, have special requirements or subject to natural environmental limitations of the three elements should be objective, especially the special requirements of the project, from the function of the procurement project, the positioning of the actual needs of the actual needs of the realistically put forward.

(ii) the use of open tendering method of the cost of a disproportionate share of the project contract amount. Bidding procurement is essentially an economic activity, should follow the laws of economics. Whether it is the World Bank's Guide to Procurement of Goods, Construction and Non-Consulting Services, or UNCITRAL's Model Law on Procurement of Goods, Construction and Services, value for money (value for money) as one of the basic principles or value objectives of procurement activities. When the costs of solicitation are equal to or even greater than the benefits of solicitation, the solicitation activity loses its meaning. This provision is a concrete embodiment of the principle of value for money. Of course, the principle of value for money not only requires the selection of appropriate procurement methods, but also reflected in the rationalization of the scope of mandatory bidding and scale standards and other activities. It should be noted that the provision uses the concept of "fees" rather than "costs", in accordance with article 29 of China's Government Procurement Law. This differs from the UNCITRAL Model Law on Procurement of Goods, Construction and Services, which considers both "time" and "cost". As practice varies considerably from tender to tender, the article does not specify the proportion of the cost of open tendering to the contract value of the project. Paragraph 2 of the article provides that, for projects in which the content of the tender should be examined and approved, the project examination and approval department shall determine whether the proportion of the cost of public tendering to the amount of the project contract is excessive when examining and approving the project, and that the bidder shall apply for a determination by the relevant administrative supervisory authority in respect of other projects that should be subject to public tendering. Of course, the circumstances specified in paragraph 1 (1) of this article shall also be subject to the examination and approval procedures in accordance with article 7 of the Regulations.

The conditions for inviting tenders set forth in this article refer to the relevant legislation at home and abroad. For example, Article 29 of China's Government Procurement Law provides that invitational tendering may be used where suppliers are limited due to the special nature of the goods or services, and where the cost of using open tendering is too large a proportion of the total value of the project. Article 20 of the UNCITRAL Model Law on Procurement of Goods, Construction and Services provides for two situations in which restricted tendering (i.e. invitational tendering) is applicable: first, where the goods, construction or services required are available only from a limited range of suppliers or contractors because of their highly complex or specialized nature; and second, where the time and cost required to study and evaluate a large number of tenders is out of proportion to the value of the goods, construction or services to be procured disproportionate to the value of the goods, works or services to be procured. The World Bank's Guidelines for the Procurement of Goods, Construction and Non-Consulting Services provide that limited international bidding (i.e., international invitational bidding) applies in situations such as where there is a limited number of suppliers.

The conditions for invitations to tender set out in this article are for projects for which public tendering is required by law. For projects that are not required by law to be openly tendered, the bidder shall independently determine whether to open or invite tendering.

Article 9 [circumstances in which tendering may not be invited]

Except for the special circumstances in which tendering may not be invited as provided for in Article 66 of the Bidding Law, tendering may not be invited in any of the following circumstances:

(1) the need to use irreplaceable patented or proprietary technology;

(2) the purchaser is able to construct, produce or provide by itself in accordance with law;

(3) the purchaser is able to construct, produce or provide by itself;

The purchaser may not invite tendering for the project. p>

(iii) the investor in the concession project that has been selected through bidding is legally able to construct, produce or provide on its own;

(iv) there is a need to procure the works, goods or services from the original successful bidder, which would otherwise affect the requirements for construction or functional support;

(v) there are other special circumstances stipulated by the State.

This article deals with special circumstances in which tendering may be dispensed with.

Article 3 of the Bidding Law and Article 3 of the Regulations stipulate the scope of the project that must be tendered. For objectively impossible or unsuitable for bidding projects in special circumstances, the bidding law, article 66 provides. However, from a practical point of view, the circumstances in which tendering is not appropriate are not limited to the provisions of that article. In line with the principle of seeking truth from facts, at the same time, in order to strictly control the scope and conditions of exemption from bidding, this article on the "bidding law," article 66 has been supplemented.

I, "Bidding Law" can be exempted from bidding for special circumstances

(A) involving national security, state secrets are not suitable for bidding. For example, the national defense science and technology, military equipment and other projects such as site selection, planning, construction and other matters are strictly confidential and management regulations. Bidding and tendering requirements of openness and confidentiality of the provisions of the existence of an inescapable contradiction. Therefore, where national security and secrets really can not publicly disclose information on the project, in addition to suitable for bidding can be invited to meet the confidentiality requirements of the unit to participate in the bidding, the other projects can only take the non-tendering procurement organization.

(ii) disaster relief is not suitable for bidding. Including the occurrence of earthquakes, storms, floods, mudslides, fires and other unusual emergency disaster situations, the need for immediate organization of rescue and relief projects. For example, it is necessary to promptly open the roads, bridges, tunnels, water, electricity, gas, communications, and emergency removal of water facilities, weirs and other projects damaged by the disaster. These rescue and relief projects cannot be organized in accordance with the prescribed procedures and time for bidding, otherwise it will bring great losses to the country and the people's lives and property safety. The following two conditions need to be met for a disaster relief project that is not suitable for bidding: first, it is to be implemented in an emergency situation and the time required for bidding cannot be met. The second is not immediately implemented will cause loss of life and property of the people.

(C) the use of poverty alleviation funds to implement food for work, the need to use migrant workers is not suitable for bidding. According to the "National Poverty Alleviation Fund Management Measures" (State Office of the State Council [1997] No. 24), the national poverty alleviation funds refers to the central government to solve the problem of rural poor people's subsistence, to support the socio-economic development of impoverished areas and special arrangements for funds, including support for the development of economically underdeveloped areas funds, special subsidies to the construction of agricultural funds, new financial funds for poverty alleviation, food for work and special loans for poverty alleviation, and so on. One of the policies to alleviate poverty in rural areas at the present stage is to arrange for the construction of small-scale infrastructure projects, such as rural roads and farmland water conservancy, by the State, which are related to the economic development of impoverished rural areas and the poverty alleviation of farmers, so that farmers in the areas to be relieved of poverty can obtain remuneration for their labour and increase their income by participating in the construction of projects to alleviate poverty, thereby replacing the direct relief of the poverty-alleviation policy. Therefore, for projects built with cash-for-work funds, the implementing unit should organize the farmers in the area where the project is located to participate in the construction and pay for their labour, and it is not appropriate to select the contracting unit through bidding. But technically complex, large-scale investment projects, especially in accordance with the provisions of the relevant qualifications must have to contract construction of bridges, tunnels and other projects, can be selected through bidding with the appropriate qualifications of the construction contracting unit, the organization of the project location of the farmers for the construction of the project to provide labor and pay remuneration as a basic condition of the bidding.

Two, this article supplements the circumstances that can not be bidding

(a) the need to use irreplaceable patents or proprietary technology. According to the Patent Law, the patent is a right granted to the invention creation including invention, utility model and design after application and through examination. Patent is a kind of intellectual property right which the inventor or the assignee of his/her right enjoys the exclusive right to implement the specific invention creation within a certain period of time according to law. Proprietary technology refers to advanced, practical but not applied for patent protection of product production technology secrets, including product design drawings, production process flow, formulas, data formulas, as well as product quality control and management and other aspects of technical knowledge, experience and so on. The main differences between patents and know-how are: first, patents belong to industrial property rights, know-how does not belong to industrial property rights, is not patented technical knowledge, is a dynamic technology with practicality. Secondly, patent is an advanced technology with relatively high level of novelty and creativity which has been examined and approved, and know-how is not necessarily an invention, but must be mature and proven. Third, the content of the patent is public, the content of the know-how is confidential, a kind of de facto exclusive right conditioned by confidentiality. Fourth, the validity of the patent is subject to time and geographical restrictions, proprietary technology does not have such restrictions.

The need to use patented or proprietary technology projects are not suitable for bidding, to meet the following three conditions at the same time: First, the objective positioning of the project function determines the need to use the specified patents or proprietary technology, rather than the subjective requirements of the bidder. However, the mere fact that the project is technically complex or technically difficult cannot be used as a reason for exempting it from tendering. Secondly, the project use of patents or proprietary technology is irreplaceable. Project functional positioning must use specific patents or proprietary technology, and can not achieve the same requirements of the project functional positioning of other alternative technical solutions. If you can use a different patent or proprietary technology alternative, can meet the same or similar project functional positioning of the technical needs of the target, and does not affect the quality of the project and the use of efficiency, you can choose suppliers or contractors through bidding. Such as a project elevator project bidding, the elevator is required to run the speed, stability, comfort, safety and energy saving and other technical and economic indicators to meet the functional demand objectives. Although each brand and model of elevator in the market possesses several different patents or proprietary technologies, most of the patents and proprietary technologies can replace each other and achieve the same or similar functional demand objectives, and the supply and installation units should be selected through bidding. Thirdly, the patents or know-how used in the project cannot be separately implemented or provided by other units. Most of the product or production process patent or know-how is exclusive, patent or know-how of the exclusivity of the decision of a particular patent or know-how can only be provided by a specific unit or a few specific units, and can not be selected through the bidding project supply or contractor.

(ii) The procurer is legally capable of constructing, producing or supplying it itself. The main consideration that the conditions of this subparagraph may be met without solicitation is to reduce costs. An accurate understanding of the provision requires attention to the following three points.

One is that the purchaser refers to meet the civil subject qualification of legal persons, other organizations, excluding their related parent companies, subsidiaries, and their management or interest, with independent civil subject qualification of legal persons, other organizations. Because of the compliance with this item does not require bidding, so the use of the "purchaser" rather than "bidder" concept. Such as a hydropower group company is a hydroelectric power plant project legal person of shareholders, although the hydropower group company has the corresponding qualification ability of hydropower plant construction, but because of the hydropower plant project purchaser is independently organized hydroelectric power plant project legal person, the project legal person can't be without bidding for the project will be directly contracted to the hydropower group company.

The second is that the purchaser itself has the qualification and ability of construction, production of goods or provision of services. Able to build, produce or provide their own works, goods and services, both for their own use by the purchaser, or provided to others. For example, a real estate development company in addition to the qualification of housing development, but also has the appropriate general contracting qualification of housing construction works, its development of commercial housing can be organized in accordance with the relevant laws, regulations and provisions of the construction of their own, without the need for bidding.

Third, the purchaser should not only have their own construction, production or provide the qualifications and capabilities, but also should meet the statutory requirements. For in accordance with laws and regulations, the procurer can not undertake their own work at the same time matters, the procurer should still be tendered. For example, the main body undertaking the management function of a government investment project cannot undertake the construction contracting of the government investment project at the same time, even if it has the construction qualification capability. For example, according to the Regulations on Quality Management of Construction Projects and related provisions, a project supervision unit that has a subordinate relationship or other interest with the construction contractor of the project being supervised, as well as with the unit supplying construction materials, building components and equipment, may not undertake the supervision of that construction project. Therefore, if the purchaser provides its own construction supervision services, it cannot also contract for the construction of the project and the supply of construction materials, building components and equipment.

It should be noted that the provisions of this subparagraph do not apply to the solicitation of tenders for items of provisional estimate under article 29 of the Regulations where the general contractor is the bidder for items of provisional estimate.

(3) The investor in the concession project that has been selected through bidding is legally capable of constructing, producing or providing it on its own. The franchise project referred to herein refers to the government will be public **** infrastructure and public utilities franchise concession to the investor and signed a franchise agreement, the formation of the project company is responsible for the investment, construction and operation of the project. The application of the provisions of this article need to meet two conditions.

One is that the investor of the concession project is selected and determined through bidding. The government has selected the investor of the project by competitive bidding, and the successful project investor forms the legal entity of the project company and is responsible for the financing, construction, and concession operation of the project in accordance with the project concession agreement signed with the government. Similar project concession modes include BOT, BOO, TOT, BT, etc. As the project investor has already been determined through bidding competition, and the price of the public *** product, public *** service, or the price of the transfer of assets after the completion of the project and the relevant rights, obligations and liabilities have been determined accordingly, the project legal person of the concession project is allowed to no longer go through the bidding process for the direct contracting of its projects, goods or services to the investor with the capacity to construct, manufacture and provide them, which will not only not affect the public *** interests, but also can reduce the construction cost of the franchise project and attract more market players to actively participate in the provision of public **** services.

The second is that the investor of the concession project (rather than the project legal person formed by the investor) is able to construct, manufacture and provide on its own in accordance with the law. This provision is understood and applied with reference to the interpretation of the second subparagraph of this paragraph. It should be noted that the investors in a concession project may be legal persons, consortia, or other economic organizations and individuals. Among them, as long as a member of the consortium investment has the appropriate qualification capacity, regardless of the size of its investment ratio, with the consent of each member of the consortium, it can be undertaken by that member to build, produce or provide the project.

(d) It is necessary to procure works, goods or services from the original successful bidder, which would otherwise affect the construction or functional support requirements. This subparagraph provides for the original winning project can be continued without bidding for additional procurement cases, should correctly grasp the following three aspects.

One is the original project is determined by the bidding of the winning bidder. Due to objective reasons need to the original contract to the successful bidder for additional procurement works, goods or services. Additional procurement must be the original project bidding does not exist, or due to technical and economic objective reasons may not be included in the original project and bidding for procurement, but in the original project contract performance of the new or changed needs, or the original project contract after the end of the performance of the subsequent additional items.

The second is that if not to the project of the original bidder additional procurement. Will certainly affect the construction of the project or the use of the product function of the supporting requirements. For example, the original construction project to change the use of additional heating pipeline installation, or the need to add other ancillary facilities or the need for additional layers of the main project, due to technical, management, construction site and other constraints, can only be the original successful bidder into the construction contracting. For example, the original production of mechanical and electrical equipment requires additional non-common spare parts or consumable materials, or the original production control information system needs to be improved and upgraded, etc., in order to ensure the consistency of matching with the original goods and services, additional procurement can only be made from the original successful bidder. Because of the complexity of the actual demand situation, this item does not provide for the number of additional purchases, the practice should be strictly controlled, reasonably defined scope, rather than unlimited additional.

Third, the original project winner must have the ability to continue to fulfill the qualifications of the additional project contract in accordance with the law. If the original winning bidder goes bankrupt, defaults, or is involved in a case that results in the termination or inability to continue to perform the contract for the additional project, the bidding should be reorganized in accordance with the regulations to select the winning bidder for the original project or the additional project.

Because the additional procurement that meets the above conditions is not competitive, there is a possibility of increasing procurement costs, forming a bidding circumvention and generating corrupt transactions. For example, the bidder intentionally the original bidding project into zero, first recruited a small project, after sending a large project, or do not have the conditions that start the bidding, etc., to form the fact of additional procurement, etc.. For this reason, it is necessary to strengthen supervision and strict application of the provisions of this subparagraph.

(E) other state regulations. State regulations are mainly the National People's Congress and its Standing Committee enacted laws, resolutions, the State Council administrative regulations, decisions, normative documents, and the relevant departments of the State Council regulations.

Third, the prohibition of fraudulent way to avoid bidding

In order to prevent the procurer to abuse the above provisions of the situation to avoid bidding, paragraph 2 of this article emphasizes that the bidder for the application of the provisions of the previous paragraph of the fraud, is to avoid the bidding behavior. Some bidders use falsification, concealment of facts, falsification and confusion of the project subject, the nature of the project and the source of funds, dismantling and splitting of the project, as well as providing other false information that can not be tendered to avoid bidding and other ways to achieve. For example, forged qualifications or qualification certificates to prove that have the ability to build, produce or provide their own; forged materials to prove that the bidding project requires the use of irreplaceable patents or proprietary technology; to advance the construction of construction for the purpose of the banner of BT (build and transfer), there is actually no transfer of property rights (T), in order to circumvent the construction of the bidding, and so on.

Article 22 [Objections to Documents]

Prospective bidders or other interested persons who have objections to the pre-qualification documents shall raise them 2 days before the deadline for submitting pre-qualification application documents; objections to the bidding documents shall be raised 10 days before the deadline for submission of bids. The bidder shall respond within 3 days from the date of receipt of objections; before responding, the bidding and tendering activities shall be suspended.