(Yicai Global) Nov. 21 -- Shanghai issued two documents to address the disparity between land supply and demand and inefficient use of property.

Shanghai's economy and informatization commission and the city planning and land and resources administration issued two sets of guidelines, respectively, at a city government press briefing yesterday.

The first will more effectively allocate resources and advance high-quality industrial development, while the second seeks to promote high-quality use of acreage.

The first document aims to evaluate resource utilization efficiency, technological transformation, electricity price and environmental protection, manage industrial life cycles and develop indicators for high-quality development.

The second circular specifies five ways to revitalize land by purchase, transformation, increased capacity, transfer of surplus plots and return of inefficiently-used land, to guide the rational flow and rational allocation of the eastern megacity's realty resources and increase the dynamic use of real estate, said Xu Yisong, director of the Shanghai Municipal Planning and Land and Resources Administration.

"Finance, taxation, environmental protection and finance are a methodical series of steps, especially finance and taxation. We have already piloted transfer of surplus land and must convince companies that it is better to return land than use it inefficiently," said Cen Fukang, deputy director of the administration.

"It's like giving more resources to high-achieving students," said Chen Mingbo, chairman of the Shanghai Municipal Commission of Economy and Informatization, adding that the city is speeding up its formulation of measures to evaluate resource-use efficiency and is updating this year's industrial land guide and list of prohibited industrial restructuring projects, all of which is expected to conclude this year.

Editor: Ben Armour