SCIO briefing on fully implementing new development philosophy and ensuring a good start of the 14th Five-Year Plan (2021-2025)

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Phoenix TV:

We have seen some positive achievements in the construction of new urbanization in recent years, including granting urban residency to 100 million people from rural areas and other permanent residents without local household registration, and the increase of urbanization rate to more than 60%. My question is, what targeted measures are proposed in the draft outline to implement the new urbanization strategy and improve the quality of new urbanization? Also, how will the implementation of these measures be ensured? Thank you.

Hu Zucai:

Urbanization is the only path to modernization, the largest source of China's domestic demand potential and strong domestic market, and an important support for building a new development pattern. China has made major historic achievements in constructing new urbanization since the 18th CPC National Congress. The integration of people from rural areas into the city has accelerated. We have raised the percentage of permanent urban residents to 60% of the population, and the percentage of urban permanent residents with local household registration to 45%. The goal of granting urban residency to 100 million people from rural areas and other permanent residents without local household registration was met. The "19+2" pattern of city clusters has been basically established and cities have taken on a new look.

During the 14th Five-Year Plan period, China's urbanization rate will be between 60% and 70%, which is still a middle and late stage of rapid development, and also a key period of China's comprehensive transformation. We should adhere to the path of new urbanization with Chinese characteristics, deeply promote the new urbanization strategy with a people-centered approach, and comprehensively improve the quality of urbanization development.

First, we will deepen reforms of the household registration system, and move faster to grant permanent urban residency to people who move to cities from rural areas in an orderly manner. At present, there are still more than 200 million people from rural areas and live in cities without permanent urban residency. Among those who have registered as permanent residents, some have not fully integrated into the city. Giving permanent urban residency to people who move to cities from rural areas is still the primary task of new urbanization. We will continue to prioritize household registration of existing residents and at the same time grant urban residency to more new residents. Moreover, we will advance the reform of the household registration system and the full coverage of basic public services, and move faster to integrate urban residents from rural areas into cities. 

On one hand, we will continue to relax restrictions on household registration and grant urban residency to those who would like to settle down in cities. We will relax restrictions on permanent urban residency except in some megacities. We will try out a household registration system based on permanent residence, and move faster to grant permanent urban residency to people from rural areas with stable employment and residence in the city. Cities with a permanent resident population of under 3 million people should completely abolish restrictions on household registration, ensuring that people from rural areas, either local or non-local, share the same standards in applications of household registration. The eligibility for household registration in cities with a permanent resident population of 3-5 million will be relaxed in an all-round manner. Megacities with a permanent resident population of more than 5 million should improve their point-based household registration system, simplify the point-based measure, and focus on two parameters – social insurance records and number of years living in the city. Cities where conditions are mature are encouraged to cancel the annual quota on permanent urban residency. At the same time, we should safeguard the ownership rights, contract rights and land management rights of those from the countryside who settle down in cities.

On the other hand, we will promote the equal access of permanent residents to basic urban public services, achieving "equal treatment and sufficient supply." We will improve the basic public service provision mechanism based on residence permit, residency years and other conditions, encourage local governments to provide more basic public services and convenience, improve the level of compulsory education in urban areas, housing support and other services for residence permit holders, and allow non-registered residents to enjoy basic public services equal to registered residents on a gradual basis.

At the same time, we will speed up work on granting permanent urban residency to people who move from rural to urban areas, and introduce policies for making both the transfer payments and the land designated for urban development granted to the government of a local jurisdiction conditional upon the number of people with rural household registration who are granted permanent urban residency in that jurisdiction.

Second, we will optimize the structure of urbanization and promote the coordinated development of large, medium and small cities.

We should promote development of megacities toward a leaner and healthier mode. The COVID-19 epidemic has exposed various problems in megacities such as high population density and poor risk resistance capacity. We should focus on three aspects to solve these problems. First, we should delimit and stick to the boundary of urban development and be cautious in removing counties and establishing districts. Second, we should relieve non-core functions of cities in an orderly manner, guide the over-concentrated resource elements to transfer to other regions in a gradual and orderly manner, and properly reduce development intensity and population density of central urban areas. Third, we should promote synergized development of big cities with nearby small- and medium-sized cities and suburban new towns. We will cultivate and develop a number of modern metropolitan areas by better integrating transportation.

Large- and medium-sized cities should improve their functions. We should give full play to the advantages of relatively low comprehensive cost in large- and medium-sized cities that can help transfer industries and relieve functions of super-large cities, and improve the service function and quality of life in cities.

Counties should speed up to make up for their weaknesses, promoting urbanization with counties as important carriers. Counties occupy an important position, serving hundreds of millions of rural dwellers and are an important support for expanding domestic demand. In most areas, counties are still the first choice for rural residents seeking medical treatment, obtaining employment and enrolling their children in school. At present, there are still many weaknesses in the construction of counties. We must promote urbanization construction with counties as important carriers. Since last year, we have been adjusting measures according to local conditions and giving targeted guidance, speeding up the improvement of their weaknesses of counties and large townships, improving top-level design, and strengthening financial support. During the 14th Five-Year Plan period, we will support the construction of counties with better foundation in the east of the country, focus on supporting the county construction in central, western and northeast regions, give support to the construction of counties in major agricultural producing areas and key ecological function areas, and strengthen the construction of border towns. We will actively promote the upgrading and capacity expansion of 17 facilities in the four major areas of public services, environmental sanitation, municipal public utilities and industrial development, and enhance the comprehensive carrying capacity and governance capacity of counties.

Third, we will comprehensively improve the quality of cities and promote livability and employability. We will also promote measures to fix shortfalls in infrastructures such as public transport, parking lots and charging stations, of which there is strong demand from the public; strengthen the construction of flood control and drainage systems; promote urban waterlogging controls; and complete the renovation of 219,000 old urban residential communities built before the end of 2000. We will also use digital technology to improve urban governance, so that urban residents can enjoy a higher quality of life.

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