Interpretation of the "Provisional Measures for the Administration of Bidding Agency Organizations for Engineering Construction Projects"
2025-11-17
National Public Resource Trading Platform
In line with the deployment outlined in the Government Work Report to reform and improve the bidding and tendering system and mechanisms, the National Development and Reform Commission recently jointly issued, with the Ministry of Industry and Information Technology, the Ministry of Housing and Urban-Rural Development, the Ministry of Transport, the Ministry of Water Resources, and the Ministry of Agriculture and Rural Affairs, the "Provisional Measures for the Administration of Engineering Project Bidding Agencies" (Order No. 34 of the NDRC, MIIT, MOHURD, MOT, MWR, and MOR, hereinafter referred to as the "Measures"). Below is a brief overview of the key details.
I. Background of the Drafting of the Measures
Agency organizations are crucial entities that facilitate the entire bidding and tendering process, providing specialized services essential to its successful execution. The "Tendering and Bidding Law," enacted on January 1, 2000, established clear requirements for the qualifications and professional conduct of bidding agencies, while the "Implementation Regulations of the Tendering and Bidding Law," effective February 1, 2012, introduced even more detailed guidelines. In 2017, both the "Tendering and Bidding Law" and its "Implementation Regulations" were revised, removing the mandatory qualification management system for bidding agencies and their practitioners, which subsequently led to a rapid increase in the number of market participants. Today, China boasts over 110,000 bidding agency organizations and more than 1 million professionals nationwide, playing a vital role in enhancing the efficiency and professionalism of the bidding process. However, we have also observed that some bidding agencies engage in illegal practices—such as falsifying information, leaking confidential details, orchestrating bid-rigging schemes, or bribing evaluation experts—in their pursuit of illicit gains, severely disrupting industry order. To address these critical issues plaguing the bidding agency sector and promote its healthy, standardized development, the National Development and Reform Commission, together with relevant departments, has formulated the "Measures" after thorough investigations, extensive consultations, and careful analysis of past experiences.
II. Main Principles and Content of the Draft Measures
The Measures thoroughly implement the CPC Central Committee and the State Council’s decisions and arrangements on bidding and tendering reform, as well as the requirements outlined in the "Opinions of the General Office of the State Council on Innovating and Improving Systems and Mechanisms to Promote the Standardized and Healthy Development of the Bidding and Tendering Market" (Guobanfa [2024] No. 21) regarding the establishment of a sound service mechanism for bidding agencies. Drawing on practical insights from the bidding agency industry and addressing key issues of market concern, the Measures propose targeted management initiatives. The document comprises 6 chapters and 35 articles.
Chapter 1 General Provisions, The document outlines the legislative objectives, legal basis, scope of application, division of responsibilities, and fundamental principles. It clarifies that the National Development and Reform Commission will take the lead in formulating comprehensive policies for tendering agency services, while the Ministry of Housing and Urban-Rural Development will be responsible for the unified registration of agency institutions. Meanwhile, departments such as the Ministry of Industry and Information Technology, the Ministry of Housing and Urban-Rural Development, the Ministry of Transport, the Ministry of Water Resources, and the Ministry of Agriculture and Rural Affairs will oversee tendering agency activities within their respective sectors.
Chapter Two: Registration Management A unified registration mechanism for agencies has been established, outlining the required content and procedures for agency registration. It also clarifies that agency registration information must be made publicly available to society as a whole, while ensuring seamless information sharing among relevant departments.
Chapter 3: Professional Practice Management, It outlines the basic requirements for agencies to undertake business, clearly stipulating that agencies and individuals banned from practicing due to serious legal violations are prohibited from taking on new projects. Additionally, it sets forth specific guidelines regarding the selection of project leaders, management of personnel, signing of agency contracts, and the collection of agency fees.
Chapter Four: Supervision and Management, It outlines procedures for handling complaints, verifying information, conducting supervision and inspection, and evaluating agency performance, while clearly assigning responsibility to provincial housing and construction authorities to investigate and address instances of fraudulent registration by agencies.
Chapter 5: Legal Liability It outlines the legal consequences for agencies engaging in illegal practices, specifying that industry regulators will impose administrative penalties such as fines and temporary bans on professional activities for behaviors like collusion or bribery, while also ensuring that penalty information is collected and shared across relevant authorities.
Chapter 6 – Supplementary Provisions, The regulations specify the interpreting authority, implementation timeline, and other details.
III. What new requirements does the "Measures" impose on bidding agencies?
After the cancellation of qualification management for bidding agencies in 2017, the unclear number of agencies and practitioners, along with the resulting lack of oversight, has become increasingly prominent. The "Measures" adopt a problem-oriented approach and introduce three new requirements.
First is unified registration. The Measures require agency organizations to register their basic information—such as institutional details, office locations, and personnel—on the provincial-level integrated platform for construction market supervision. Agency organizations are responsible for the authenticity and accuracy of the information they submit, and must update any changes within 10 days on their own initiative.
Second, standardize professional practices. Regarding business acceptance, the Measures require agency organizations to have independent office spaces and the necessary facilities—such as the ability to prepare tender documents and securely store bidding materials—to carry out their operations effectively. Additionally, agencies must employ at least five professionals who are well-versed in procurement laws and regulations and possess specialized expertise in drafting tender documents and organizing bid evaluations. They must also maintain robust internal management systems and ensure they are not barred from engaging in tender agency services. In terms of business operations, The Measures require the implementation of a project leader system, under which one professional registered with the agency will be designated as the project leader. It also mandates the lawful signing of tender agency contracts, standardized collection of agency fees, transparent disclosure of agency-related information as required, and legal assistance to the client in addressing any objections during the bidding process.
Third, cooperate with regulators. The Measures set forth clear requirements for the supervision and management of bidding agency organizations. Bidders, tenderers, potential bidders, and other stakeholders who notice any behavior by an agency that violates laws, regulations, or rules have the right to report it to the relevant industry authorities according to their project management authority. In turn, the industry authorities are obligated to investigate and address such concerns promptly. Industry authorities at all levels shall, in accordance with their designated responsibilities, conduct regular inspections and oversight of agencies engaged in bidding activities within their respective sectors—particularly focusing on nine key areas: whether the agency meets the necessary qualifications for operation, whether its staff are fully dedicated to their roles, compliance with the signing and execution of bidding agency contracts, adherence to procedures for preparing and distributing tender documents, and proper handling of bid bonds (including collection and refunds). Meanwhile, the National Development and Reform Commission, together with relevant departments, is working to establish a robust, collaborative, and integrated digital and intelligent regulatory network for electronic and automated bidding processes, thereby enhancing smart oversight of bidding agencies.
IV. Next Steps for Work Arrangements
After the Measures are issued, the National Development and Reform Commission will work with relevant departments to ensure their effective implementation. First, ensure effective publicity and interpretation. Strengthen the promotion, communication, and interpretation of the Measures, ensuring that local authorities, relevant departments, and all bidding participants accurately understand the guidelines and thoroughly grasp the requirements for managing bidding agencies, thereby creating a favorable environment for the smooth implementation of the Measures. Second, improve the supporting mechanisms. Refine and implement detailed operational guidelines for the unified registration of agency organizations and their practitioners, strengthen connectivity and data sharing among relevant platforms, and further solidify the foundation of registration work. Third, strengthen guidance and supervision. Working closely with relevant departments through on-site surveys, meetings, and other methods, we are continuously monitoring the implementation of the Measures and providing guidance to local areas on streamlining the unified registration process for agency organizations as well as managing their operations dynamically. Fourth, expose typical cases. Urge all regions to investigate and address illegal activities by agency organizations, promptly publicize high-profile cases to deter offenders, and continuously promote the standardized and healthy development of the bidding and tendering market.
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