Shanghai Environmental Protection Bureau is putting more pressure on local environmental protection departments to realize new chemical national sustainability and environmental awareness plans. Shanghai is regarded as one of China’s most technically advanced cities in respect to its chemical management schemes and is serving as a pilot city for assessment of a new tightened post-notification scheme for new chemicals.
In order to improve the management of new chemical substance manufacturers and importers, Shanghai implemented a new chemical supervision regime in Feb of 2017. Manufacturers and importers that obtained new chemical registration certificates were notified by the local environmental protection department to fill in the self-checklist for internal management of new chemicals and to be prepared for an onsite inspection. So far part of the inspection work has been completed. In instances where a manufacturer/importer does not comply with new chemical management requirements, notices have been issued for correction. For severe cases, punitive measures have been issued.
New substances manufactured or imported in China need to be notified to the authority prior to entering the Chinese market. In 2010, China MEP issued the “Standard Rules for the Supervision and Inspection of New Chemical Substance Management” to standardize the supervision and inspection by local environmental protection departments on the manufacture, processing, using, import, transfer and R&D of new chemical substances.
China MEP Order 7 (new chemical substance notification scheme) has been implemented for almost 7 years, with over 25,000 notification applications approved. China MEP notified the World Trade Organization (WTO) on the revised draft of China’s new substance notification guidance on 8 Mar 2016. The revised guidance will adopt more scientific and technical requirements on notification, while in terms of the supervision management the current supervision system remains at an elementary level. Currently management is limited to random onsite inspection in some local areas and there is an overall lack of comprehensive regional supervision.
In contrast to its global peers, China began environmental management of chemicals relatively late. In many areas China’s chemical management system is still comparatively antiquated and an efficient system to coordinate the activities of MEP and local environmental protection departments is still lacking. In addition, the local departments already face an arduous task in investigating illegal discharges and dumping. Technical capacity issues are also a major issue and authorities lack the ability to determine if the enterprise manufactures or uses new chemicals and assess the risk control measures. To solve such problems, necessary training should be provided for the law enforcement personnel.
As many large chemical enterprises are based in Shanghai, there is a high level of activity related to new chemical substances. Shanghai recently launched a citywide supervision on new chemicals which will likely serve a pilot program before the system is phased out on a national level. The timeline can be summarized as below.
In Aug 2016, Shanghai Environmental Protection Bureau entered into a contract with the Shanghai Research Institute of Chemical Industry (the winning bidder) to implement a new chemical supervision.
In early 2017, Shanghai Environmental Protection Bureau issued the notice (沪环保防[2017]13号) for Specific inspection on Continuous Control of New Chemical Substances
In Feb, Shanghai held training for about 40 people from environmental protection and inspection departments at a district level.
From Feb 2017, manufacturers and importers of new chemicals in Shanghai have been notified to fill in the self-checklist and the information summaries table and to be prepared for the on-site inspection. In addition, part of the users of new chemicals and “Only Representative”-like agents also received the inspection notice.
So far, on-site inspection has been started in Shanghai’s Xuhui District, Pudong New District, Putuo District, Changning District, etc. with priority on new chemical substances notified under Regular Notification and the General Case of Simplified Notification during 2011 to 2015.
The inspections have focused on checking of archive files (registration certificate, enterprise management system), reports (annual report, activity report for the first time, every time activity report), amount (whether exceeds the notified amount), downstream information transfer (SDS, label available), discharge of new chemical substance of priority environmental concern, risk control measures (personnel protection, equipment maintenance, emergency plan and waste disposal), etc.
Officials from Shanghai Environmental Protection Bureau prefer to define it as a diagnostic investigation to figure out the actual situation of new chemical activities in Shanghai, and to help local enterprises identify noncompliance with national standards.
China MEP in 2017 will initiate the revision on MEP Order 7. We could expect a more effective and sound supervision method will be introduced. The Shanghai inspection will provide important data to guide future regulation. According to Shanghai Environmental Protection Bureau, the new chemical inspection is likely to become an annual inspection. In addition, open bidding for 3rd party providers of technical support will be a good way to solve the current problems in technical staff shortages and low technical level in the relevant departments. Other provinces and cities can follow this model.
Stakeholders are recommended to pay attention to the inspection in the area where enterprise is located. In addition to self-check and preparation of required documentation, active communication with the local environmental protection department is recommended.


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