Laws of the Shanghai Province

(Promulgated by Decree 43 of the Shanghai Municipal People' s Government

on December 15, 2004)

Article 1 (Purpose and Basis)

For the purpose of normalizing the administration of outdoor advertising facilities in this Municipality, these Procedures are formulated on the basis of relevant provisions of the "Advertisement Law of the People' s Republic of China" , the "Regulations of Shanghai Municipality on the Administration of City Appearance and Environmental Sanitation" and the "Regulations of Shanghai Municipality on City Planning" .

Article 2 (Scope of Application)

These Procedures shall apply to the installation of outdoor advertising facilities and all the relevant administrative activities in connection therewith within the administrative area of this Municipality.

Article 3 (Definition)

Outdoor advertising facilities mentioned in these Procedures refer to outdoor commercial advertisement including signposts, lantern boxes, neon signs, electronic signboards or screens, shopsigns, labels, and modeling of material objects that are installed by using buildings, structures, sites and spaces (hereinafter jointly referred to as positions) owned by the public, by the business itself, or by other persons.

Article 4 (Administrative Departments)

The Shanghai Municipal City Appearance and Environmental Sanitation Administration (hereinafter referred to as SMCAESA) is in charge of the supervision and administration, and the comprehensive coordination in the installation of outdoor advertising facilities in this Municipality; the district/county city appearance and environmental sanitation administrative departments (hereinafter referred to as district/county CAESA) are in charge of the supervision and administration of the installation of outdoor advertising facilities in their respective administrative areas.

The municipal or district / county urban planning administrative departments (hereinafter referred to as the municipal or district / county planning department) shall be in charge of the examination and verification, supervision and administration of planning and construction of the installation of outdoor advertising facilities.

The municipal or district / county industry and commerce administrative departments (hereinafter referred to as the municipal or district / county ICA) shall be in charge of the examination and verification of the business qualification, the registration of the contents of outdoor advertisements, and relevant supervision and administration in connection with the releasing of outdoor advertisements.

The departments for municipal administration, greening, communications, public security, housing, land and resources, quality and technological supervision, finance, price control, broadcasting and television, etc. shall coordinate in the implementation of these Procedures in accordance with their respective duties.

Article 5 (Principle for Installation)

The installation of outdoor advertising facilities shall comply with the requirements of the city planning and be suited to the functions of the city regional planning, and shall be rationally distributed and be installed in compliance with the norms.

Outdoor advertising facilities shall be firm and secure and in harmony with their surroundings, and shall meet the requirements of beautifying the city appearance.

Article 6 Situations Where Installation Is Prohibited£©

Installation of outdoor advertising facilities is prohibited under any one of the following situations:

1. If the advertisements use traffic safety facilities or traffic signs;

2. If the advertisements affect the use of municipal public facilities, traffic safety facilities, and traffic signs;

3. If the advertisements interfere with the living of the residents, or are detrimental to the appearance or the look of the city, or the image of buildings;.

4. If the advertisements use roadside trees, or damage the greenery land;

5. If the advertisements are installed in the area of land used by State organs, or scenic spots.

6. If the advertisements are installed in the controlled construction areas for the protected units of cultural relics, and fine historical architectures; or

7. If the advertisements are installed in areas or on carriers that are forbidden to have such advertisements by the Municipal People' s Government.

Article 7 (Planning and Technical Norms for Positions)

The municipal planning department shall, jointly with relevant departments, and on the basis of the controlled drawing-up-unit planning, controlled detailed planning, and the provisions of Article 6 of these Procedures, draw up the planning for the installation positions for the outdoor advertising facilities, and make it public.

The SMCAESA shall, on the basis of the planning for the positions of the outdoor advertising facilities and the standards of this Municipality' s appearance, draw up the technical norms for the installation of outdoor advertising facilities, and make it public.

The municipal planning department and the SMCAESA shall, in the course of drawing up the planning for the positions of the outdoor advertising facilities and the technical norms for the installation of outdoor advertising facilities, adopt various measures including public hearing, demonstration meeting or symposium, to solicit the opinions from the relevant trade association and relevant experts and specialists on the installation of outdoor advertisement of this Municipality.

The installation of the outdoor advertising facilities shall comply with the planning for the positions of the outdoor advertising facilities and the technical norms for the installation of outdoor advertising facilities.

Article 8 (Acquisition of the Right to Use Positions)

Where outdoor advertising facilities are installed by using public positions, the right to use positions shall be acquired through assignment by means of auction or bid invitation.

Where outdoor advertising facilities are installed by using non-public positions, the right to use positions shall be acquired through assignment by means of agreement, bid invitation or auction.

The SMCAESA shall, jointly with the municipal planning department, put forward the scheme for the scope of the public position, and shall implement it after the approval of the Municipal People' s Government. The SMCAESA shall, jointly with the municipal departments of public works, communications, and other relevant departments, separately formulate the detailed measures for the auction or bid invitation of the right to use public position.

Article 9 (Competence for Administration)

In case of installing the outdoor advertising facilities in the following regions, the SMCAESA shall accept and handle the application or organize the auction or bid invitation of the right to use the public positions:

1) Elevated Inner Ring Road, Elevated Yan' an Road, Elevated North-south Road and the area within 100 meters along such roads;

2) The area of the center section of the core area of both banks of the Huang Pu River;

3) Within the limits of the People' s Square region;

4) The trans-district/county installation of outdoor advertising facilities of the same kind;

5) Other important regions designated by the Municipal People' s Government.

In case of installing the outdoor advertising facilities in the regions other than those provided in the preceding clause, the district/county CAESA shall accept and handle the application or organize the auction or bid invitation of the right to use the public positions.

Article 10 (Going through the Formalities for Installing Outdoor Advertising Facilities in the Public Positions)

When the SMCAESA or the district/county CAESA organizes the auction or bid invitation of the right to use the public positions, it shall solicit the opinions on the auction or bid invitation scheme from the planning department and other relevant departments.

In case of acquiring the right to use the public positions through auction or bidding, the SMCAESA or the district/county CAESA shall sign the contract on the use of the public position with the person who installs the outdoor advertising facilities.

The person who installs the outdoor advertising facilities shall, before the installation of the outdoor advertising facilities, go through the relevant formalities according to the following provisions:

1) To apply for the handling of the "License of the Planning for Construction Project (sporadic)" to the district/county planning department;

2) To report the design drawings and installation effect drawings of the facilities to the SMCAESA or the district/county CAESA for the record, and pay the fees for the use of public positions according to the provisions;

3) To apply for the "Registration Certificate of Outdoor Advertisement" to the municipal or district / county ICA according to the relevant provisions on the registration of outdoor advertisement.

Article 11 (Application for the Installation of Outdoor Advertising Facilities in the Non-public Positions)

Where outdoor advertising facilities are installed by using non-public positions, the applicant shall apply to the SMCAESA or the district/county CAESA, and present the following material:

1) Business license;

2) Contract of advertisement;

3) Sample manuscript of advertisement;

4) Documents certifying that the contents of advertisement are truthful and lawful;

5) Certificate for the right to use positions to install outdoor advertising facilities;

6) Layout drawings of the positions for outdoor advertising facilities;

7) Design drawings and installation effect drawings of the outdoor advertising facilities; and

8) Blueprints for the construction of outdoor advertising facilities.

Article 12 (Examination and Approval on the Installation of Outdoor Advertising Facilities in the Non-public Positions)

The SMCAESA or the district/county CAESA shall, within 2 working days upon the receival of the application for the installation of outdoor advertising facilities, solicit opinions in writing from the planning department of the same level on the planning and construction of the installation of outdoor advertising facilities; and solicit opinions in writing from the department of commerce and industry of the same level on the contents planned to be released by the outdoor advertisement. In case the planning department or the department of commerce and industry needs the applicant to add new materials or correct the material submitted, it shall notify the SMCAESA or the district/county CAESA of that completely in one time within 2 working days upon the receival of the document on soliciting its opinions; the SMCAESA or the district/county CAESA shall notify in time the applicant of adding new materials or correcting the material.

Upon accepting and handling the application, the planning department or the department of commerce and industry shall, within 10 working days from the date of receiving the document on soliciting its opinions, put forward its opinion on examination, and notify the SMCAESA or the district/county CAESA in writing; in case of denial after examination, it shall give reasons. The SMCAESA or the district/county CAESA shall handle the case according to the following provisions:

1) In case the planning department or the department of commerce and industry approves the application after examination, the SMCAESA or the district/county CAESA shall go through the examination and verification in accordance with the technical norms on the installation of outdoor advertising facilities, and make the decision on examination and approval within 5 working days, and notify the applicant in writing thereof; in case of denial, the reasons shall be given.

2) In case the planning department or the department of commerce and industry denies the application after examination, the SMCAESA or the district/county CAESA shall transmit the opinion of examination and the reasons given by the planning department or the department of commerce and industry to the applicant in time.

In case the installation of outdoors advertising facilities has been approved by the SMCAESA or the district/county CAESA through examination and approval, the applicant may directly apply for the "License of the Planning for Construction Project (sporadic)" to the district/county planning department, and apply for the "Registration Certificate of Outdoor Advertisement" to the district/county ICA. For those applications with complete materials, and in compliance with the legal forms, the planning department and the industry and commerce department shall issue the license or certificate within 3 working days.

Failure to come up with an opinion of examination, or failure to make the decision on examination and approval within the prescribed time period by the departments of planning, industry and commerce, city appearance and environment sanitation shall be deemed to be an approval.

Article 13 (Allotted Time for Installing Outdoor Advertising Facilities)

Outdoor advertising facilities shall be put up within 6 months after the date of their approval. If they are not put up within the period, the approval shall become invalid.

As a general rule, the allotted time for installation of outdoor advertisements shall not be more than 3 years. Installation of electronic signboards or screens shall be not more than 6 years. Upon the expiration of the term, in case it belongs to the public position, new auction or bid invitation shall be organized in accordance with Article 10 of these Procedures; and in case it belongs to the non-public position and it is necessary to extend the allotted time, formalities of examination and approval for a renewal of the term shall be gone through at the original examination and approval authority within 30 days prior to the expiration of the term of installation.

Article 14 (Alteration of Installation of Outdoor Advertising Facilities)

Outdoor advertising facilities shall be installed in compliance with the approved or filed design drawings and installation effect drawings of the facilities, and no changes shall be made without authorization. When it is necessary to make any alteration of the specifications, structures or color of the outdoor advertising facilities, formalities for examination and approval of the alteration shall be completed in accordance with Article 11 of these Procedures.

In case the contents of the outdoor advertisement need alteration, the alteration registration formalities shall be completed with the municipal or district/county ICA in accordance with relevant provisions.

In case the person who installs the outdoor advertisement facilities needs alteration, the report to the SMCAESA or the district/county CAESA, and municipal or district/county ICA for the record shall be completed within 10 days from the date of alteration.

Article 15 (Requirements of Installation of Outdoor Advertising Facilities)

Upon the installation of outdoor advertisement facilities, the material that meets the requirements of energy-saving and environmental protection shall be selected and used.

The lighting installation on the outdoor advertising facilities shall meet the requirements of technical norms of the environmental decoration lighting of this Municipality, and shall not affect the normal living of the residents in the neighborhood.

Article 16 (Requirements on the Contents of Outdoor Advertisement)

In outdoor advertisements, the proportion of space or time used for the contents propagating public welfare shall take up no less than 10%.

In case the outdoor advertisement facilities are not used to release advertisements for 15 days after installation, the facilities shall be temporarily used to install public welfare advertisements.

The contents of outdoor advertisements shall be truthful, healthy and in conformity with laws, rules and regulations. Any form of fraud for the purpose of cheating users or consumers shall be prohibited. The Chinese characters, letters and symbols in the outdoor advertisements shall be in conformity with the prescribed standards of the State.

Article 17 (Administration on City Appearance)

The installer of the outdoor advertisement facilities shall keep the outdoor advertising facilities clean, tidy and in good condition, and carry out the timely maintenance and renewal.

Article 18 (Administration on Safety)

The installer of the outdoor advertising facilities shall regularly check whether the outdoor advertising facilities are secure, and shall take proper precautionary measures for a typhoon or flood season. Among them, in case the term of installation is 2 years or more, the installer shall carry out the safety test in accordance with the provisions of technical norms on the safety of outdoor advertising facilities before June 1 every year, and submit the report on safety test to the SMCAESA or the district/county CAESA. The installer shall repair or remove immediately the off-test outdoor advertising facilities.

The installer shall make replacements on those outdoor advertising facilities that outlast the designed service life.

The SMCAESA or the district/county CAESA shall strengthen the supervision and examination on the safety of the outdoor advertising facilities, and carry out selective inspection and examination on outdoor advertising facilities according to a given ratio. In case the SMCAESA or the district/county CAESA finds that there are hidden perils of safety in outdoor advertising facilities, they shall order the installer to make repairs or removal within a time limit. In case the installer fails to carry out the repair or removal in the prescribed time period, the SMCAESA or the district/county CAESA may make mandatory removal.

The SMCAESA shall, jointly with the Municipal Quality and Technological Supervision Administration, formulate the technical norms on the safety of outdoor advertising facilities.

Article 19 (Removal of Facilities)

Upon expiration of the term for an outdoor advertising facility, the installer shall remove the facility within 5 days. In case the installer fails to remove the facility, the owner of the position shall remove the facility. When it is necessary to put up temporary outdoor advertising facilities for large-scale cultural or sports or public welfare activities, or trade fairs of various kinds, the outdoor advertising facilities shall be removed by the installer within 24 hours from the expiry date of the installation.

When due to an adjustment of the city planning or for reasons of public interest, it is necessary to remove outdoor advertising facilities, the SMCAESA or the district/county CAESA may give written notice according to their respective functions and duties, requesting the installers to remove the outdoor advertising facilities. Relevant beneficiaries shall make compensations according to law to the installers who remove the outdoor advertising facilities ahead of term and has incurred property losses thereof. When the SMCAESA or the district/county CAESA gives written notice requesting the installer to remove the outdoor advertising facilities, and the installer refuses to comply, the SMCAESA or the district/county CAESA may remove the facilities for the installer, and the expenses incurred shall be borne by the installer.

Article 20 (Administration of the Position Use Fees)

All the public position use fees collected by the SMCAESA or the district/county CAESA shall be turned over to the finance department.

The finance department shall guarantee the expenses needed for the supervision and administration of the installation of outdoor advertising facilities.

Article 21 (Acts prohibited in the Operation)

Any act in any form of monopoly or unfair competition is prohibited in the operation of outdoor advertising business.

An administrative organ that has the functions of examining and verifying, supervising, and administrating the installation of outdoor advertising facilities shall not engage in any form of advertising business, and shall not accept an advertising business as its subsidiary or subordinate unit.

Article 22 (Penalties for Violation of Provisions on the Administration of City Appearance)

For violation of these Procedures and with any one of the following situation, the SMCAESA or the district/county CAESA shall impose a penalty according to the following provisions:

1. For an act of installing outdoor advertising facilities without approval, an order of removal within a time limit shall be given; and for those who fail to make the removal in the prescribed time limit, a fine of between not less than RMB5,000 yuan and not more than RMB30,000 yuan may be imposed;

2. For an act of failing to promptly remove the outdoor advertising facilities at the expiration of the term of installation, an order of removal within a time limit shall be given; and for those who fail to make the removal in the prescribed time limit, a fine of between not less than RMB3,000 yuan and not more than RMB20,000 yuan may be imposed.

3. For those outdoor advertising facilities that fail to comply with the technical norms of installation, or an act of altering the specifications, structures or colors of the outdoor advertising facilities, an order of correction within a time limit shall be given; and for those who fail to make the correction in the prescribed time limit, a fine of between not less than RMB3,000 yuan and not more than RMB20,000 yuan may be imposed.

4. For an act of failing to make safety test on the outdoor advertising facilities or failing to adopt precautionary measures, an order of correction within a time limit shall be given; and for those who fail to make the correction in the prescribed time limit, a fine of between not less than RMB3,000 yuan and not more than RMB20,000 yuan may be imposed.

5. For an act of failing to report for the record in accordance with the provisions after the alteration of the installers of the outdoor advertising facilities, a fine of between not less than RMB200 yuan and not more than RMB1000 yuan may be imposed.

The SMCAESA or the district/county CAESA may order the mandatory removal of outdoor advertising facilities if the installer refuses to remove or refuses to correct in case of situation prescribed in Item 1, 2, 3 or 4 of the preceding Clause.

Article 23 (Handling of Violation of Relevant Provisions of the Department of Planning or Department of Industry and Commerce)

In the case of violation of the relevant provisions of planning or industry and commerce in the activities of installing outdoor advertising facilities, the planning department or the department of industry and commerce shall handle the case according to law.

Article 24 (Civil Liability to Pay Compensation)

The installer of the outdoor advertising facilities shall be held liable for compensation in accordance with law if he/she fails to repair or replace the outdoor advertising facilities and if such facilities collapse or fall, causing personal injuries, or damage, or loss of property.

Article 25 (Investigation of Wrongful Acts of Law Enforcement Personnel)

In case that the relevant administrative personnel neglect their duties, abuse their powers, engage in malpractice for personal gains, or enforce by perverting the law, they shall be given disciplinary sanction by the unit they work in or the superior competent department; if the wrongful act constitutes a crime, the wrongdoer shall be prosecuted for criminal liability according to law.

Article 26 (Other Provisions)

For the acts of using public positions, or positions owned by the business itself or by other persons to install outdoor commercial advertisement including colored flags, scrolls, balloons and posters, these Procedures shall be taken as the reference.

Procedures on the administration of releasing outdoor advertisements using special carriers such as vehicles, vessels, airplanes shall be separately formulated by the Municipal People' s Government.

Article 27 (Effective Date and Repealing Matters)

These Procedures shall become effective on April 1, 2005. The "Procedures of Shanghai Municipality on the Installation, Planning and Administration of Outdoor Advertisements" promulgated by Decree 65 of the Shanghai Municipal People' s Government on January 27,1999 shall be repealed on the same date.