Original Title: Measures for Incentives and Subsidies for the Industrial Utilization of Crop Straw in Mingguang City (Interim)

Pursuant to the Anhui Provincial People’s Government’s “Implementation Opinions on Vigorously Developing Modern Environmental Protection Industries Based on the Utilization of Crop Straw Resources” (Wan Zheng [2017] No. 29) Notice of the Department of Agriculture and Rural Affairs of Anhui Province and the Department of Finance of Anhui Province on Issuing the Implementation Plan for the 2020 Anhui Province Crop Straw Comprehensive Utilization Incentive Fund (Wan Nong Ke [2020] No. 183) Department of Agriculture and Rural Affairs of Anhui Provincethe spirit of the documents “Notice on Publicizing and Implementing Local Standards for Clean Production and Utilization of Straw-Based Fuel Briquettes to Promote Comprehensive Utilization of Crop Straw,” “Chuzhou City’s 2021 Implementation Plan for the Industrialized Utilization of Crop Straw,” and “Mingguang City’s 2021 Implementation Plan for the Industrialized Utilization of Crop Straw,” and in light of the actual conditions of our city, these Measures are hereby formulated.

I. Scope of Incentives and Subsidies

In 2021, the industrial utilization of crop straw is both a livelihood project and a component of county-level economic performance evaluations; this work is of great importance.In accordance with the relevant provincial and municipal documents, and in light of Mingguang City’s actual conditions, this year’s comprehensive straw utilization incentive and subsidy funds will support the construction of standardized straw collection and storage points (centers) that meet the eligibility criteria, the implementation of straw baling and removal from fields, market entities engaged in the industrial utilization of straw, and the promotion of utilization for fertilizer, raw materials, energy, feed, and substrate purposes,and projects signed at the Straw Expo. This will ensure that the industrial utilization rate of straw increases year by year, thereby alleviating the pressure of the straw burning ban at its source.

II. Content and Standards of Incentives and Subsidies

(1) Incentives for Newly Constructed Straw Collection and Storage Centers

1. Requirements: Newly constructed collection and storage centers established in the current year, each covering an area of at least 10 mu. The floor area of steel-structured storage sheds must reach 2,500 square meters in the major grain-producing townships of Pan Village, Nüshanhu, and Liuxiang, and at least 1,500 square meters in other townships. The land must have been approved by the land administration department as construction land or agricultural implementation land. Enterprises are responsible for independently tendering the construction of steel-structured storage sheds,and must newly acquire necessary machinery and equipment, including 2 balers, a forage grabber, a loader, transport vehicles, an electronic scale (30 tons or more), electrical facilities, and firefighting equipment. The upper limit of individual fiscal subsidies shall not exceed 30% of the enterprise’s self-raised total investment in fixed assets, among other conditions.

2. Subsidy Standards: Upon successful inspection and acceptance, subsidy funds will be linked to the area of newly constructed steel-structured storage sheds and the annual straw collection volume. Specifically, in the major grain-producing areas of Panchun Town, Nushanhu Town, and Liuxiang Town, each steel-structured storage shed must cover at least 2,500 square meters and store 8,000 tons of straw; the maximum subsidy shall not exceed 800,000 yuan.Differentiated incentive policies will be implemented in other townships. The area of steel-structured storage sheds may be categorized into three specifications: 2,500 square meters, 2,000 square meters, and 1,500 square meters or more. The straw storage volume for each must reach at least 2,000 tons, with the corresponding maximum one-time incentive funds not exceeding 800,000 yuan, 700,000 yuan, and 600,000 yuan, respectively.

3. Source of Incentive Funds: Implementation shall follow the requirements outlined in the "2020 Anhui Province Crop Straw Comprehensive Utilization Incentive Fund Implementation Plan" issued by the Anhui Provincial Department of Agriculture and Rural Affairs and the Anhui Provincial Department of Finance.

4. Method for Verifying Straw Quantity: Materials include straw baling operation contracts, ledgers, village-level public notices regarding straw sources, as well as sales contracts with counterparties, sales weigh slips, sales invoices, and corporate bank account transaction records.

5. Incentive Procedure: Enterprises submit application materials including land approval documents, independent bidding records, invoices for steel-structured storage sheds, contracts and invoices for newly purchased machinery, and straw volume verification. The process involves township recommendation, expert review, acceptance inspection by relevant municipal departments, third-party audit, deliberation and public notice by the Bureau of Agriculture and Rural Affairs, and direct disbursement of incentive funds to the enterprise operating the straw collection and storage center.

(II) Incentives for Mid-Season Straw Collection and Storage at Existing Centers

1. Subsidy Requirements: To enhance the enthusiasm of collection and storage enterprises, secure straw supply sources, and ensure the completion of this year’s 85,000-ton target for the municipal straw industrial utilization livelihood project, enterprises operating straw collection and storage centers established in previous yearsif they carry out mid-season straw baling and removal from fields, store 2,000 tons or more of straw, and sell the straw raw materials between May and September to support local enterprises’ utilization, the local government will provide policy support. If the mid-season storage volume does not meet the requirements, no subsidies will be granted.

2. Incentive Standards: Incentives will be provided solely for the storage of summer wheat and rapeseed straw, at a rate of 50 yuan per ton.

3. Funding Source: Funding will be covered by the local matching budget; the local government will not provide additional funding.

4. Verification of Straw Volume: Based on materials including straw processing contracts, storage ledgers, storage photographs, village public notices, sales contracts, sales weigh slips, sales invoices, and corporate bank account transaction records.

5. Subsidy Procedure: Enterprises must prepare the aforementioned materials; townships will verify and recommend applications; experts will conduct reviews; a third-party entity will perform follow-up audits; the matter will be deliberated at a meeting and publicly announced; and subsidy funds will be disbursed to the procurement and storage enterprises.

(III) Incentives for Straw Industrial Utilization Enterprises

1. Eligibility Criteria

First, the enterprise must possess a mature technological model for the industrial utilization of crop straw.

Second, the enterprise must be recognized by the municipal or county authorities as a crop straw industrial utilization enterprise with an annual utilization capacity of 500 metric tons (including 500 metric tons) or more.

Third, the enterprise, cooperative, or family farm must be registered with the industrial and commercial authorities within Mingguang City and possess independent legal person status.

(4) The enterprise’s industrialized utilization of crop straw must include the following: straw-based organic fertilizers (excluding mechanized straw incorporation and composting), silage and shredding for animal feed, solidified fuel for energy production, and straw-based raw materials for panel manufacturing and pulp and paper production. Electricity consumption data demonstrating the electricity costs incurred during normal production operations shall serve as a key basis for eligibility.

2. Subsidy Standards

Eligible enterprises will receive subsidies of up to 60 yuan/ton, 48 yuan/ton, and 36 yuan/ton, respectively, based on the actual amount of rice, wheat, and other crop (rapeseed, corn, etc.) straw utilized.To encourage enterprises to utilize more straw, in addition to the existing subsidies, the subsidy rates will be increased by 10% for the portion exceeding 10,000 tons, 30% for the portion exceeding 30,000 tons, 40% for the portion exceeding 50,000 tons, and 60% for the portion exceeding 100,000 tons.

3. Funding Sources

Funding Source: Implementation shall follow the requirements outlined in the "2020 Anhui Province Comprehensive Utilization of Crop Straw Incentive and Subsidy Fund Implementation Plan" issued by the Anhui Provincial Department of Agriculture and Rural Affairs and the Anhui Provincial Department of Finance.

4. Incentive Procedures

(1) Basis for Incentives. The basis for confirming straw quantities includes relevant straw purchase ledgers, village public notices, sales contracts, sales weigh slips, invoices, and corporate bank account transaction records.

For the utilization of straw as energy-derived pellet fuel, the confirmed volume shall take into account the proportion of straw in the pellet fuel, based on the percentage indicated in the test report; for silage corn feed, the proportion of straw in the total volume shall not exceed 60%.

For utilization in feed-based livestock farms, since straw is utilized through digestion by cattle, the basis for confirming straw volume is as follows:primarily on the farm’s cattle inventory and straw procurement records. Cattle inventory is verified through year-end on-site inspections by a third party and daily slaughter figures (supported by animal quarantine certificates issued by the local animal husbandry station). If inflated figures are reported during the period and discovered during an inspection, the penalty will be a deduction of three times the inflated amount.

(2) Incentive and Subsidy Procedures: Enterprises submit application materials; townships provide recommendations; expert reviews are conducted; third-party follow-up audits are performed; decisions are made through committee review and public notice; and incentive funds are disbursed to the utilizing enterprises.

(IV) Incentives for Key Signed Projects at the Straw Expo

For key signed projects from the Straw Comprehensive Utilization Industry Expo since 2021 that have been completed and put into operation, where the total project investment is 10 million yuan or more (including 10 million yuan), a subsidy of up to 10% of the total project investment will be provided, with a maximum of 5 million yuan per project. The subsidy funds will be shared equally by the provincial and municipal/county-level governments.

Procedure: Enterprises submit application materials and supporting documents; the relevant industrial park provides a recommendation; an expert panel conducts an evaluation; municipal-level departments perform acceptance inspections; a third-party audit is conducted; the matter is reviewed at a meeting and publicly announced; and the incentive funds are disbursed directly to the contracted enterprise.

(5) Incentives for Straw Solidified Fuel Production Sites

1. Clean Production Project for Newly Constructed Straw Solidified Fuel Production Sites

Construction Requirements: Establish one new straw solidified fuel production site covering an area of at least 10 mu (approved construction land or agricultural implementation land); construct a new steel-structured factory building of at least 1,500 square meters (to be procured through independent bidding commissioned by the enterprise); possess necessary machinery such as pelletizers, crushers, and forklifts, as well as equipment including electronic scales, electrical facilities, and firefighting equipment; and be capable of performing the production processes of crushing—grinding—drying—molding-packaging process, meeting the clean production standards for low noise, low dust emissions, and low energy consumption as stipulated in the Anhui Provincial Local Standard "Technical Regulations for Straw Molding Fuel Production." The facility must process 3,000 tons of straw-based solid fuel in the first year and pass expert inspection. Fiscal subsidy funds shall not exceed 30% of the enterprise’s self-raised total fixed-asset investment, with a maximum subsidy of 1.5 million yuan per facility.

Subsidy Procedure: Enterprises submit application materials; townships provide recommendations; relevant departments conduct reviews; experts perform acceptance inspections; third-party audits are conducted; the Bureau of Agriculture and Rural Affairs conducts research and publicizes the results; subsidy funds are disbursed directly to the utilizing enterprises.

2. Clean Production Upgrade Project for Straw Solidified Fuel Production Sites

Construction Requirements: This project primarily targets existing straw solidified fuel production sites in our city that possess normal production capacity. By adding equipment and implementing technological upgrades, these sites must meet the clean production standards—including low noise, low dust emissions, and low energy consumption—as stipulated in the Anhui Provincial Local Standard "Technical Specifications for Straw Solidified Fuel Production." Upon passing expert inspection, fiscal subsidies shall not exceed 30% of the enterprise’s self-raised total investment in fixed assets,The maximum subsidy per facility shall not exceed 1 million yuan.

Procedure: Enterprises submit application materials; townships provide recommendations; relevant departments conduct reviews; experts perform acceptance inspections; a third-party audit is conducted; the Bureau of Agriculture and Rural Affairs reviews and publishes the results; and the subsidy funds are disbursed directly to the eligible enterprises.

III. Work Requirements

1. Establish a Municipal Leading Group for Promoting the Comprehensive Utilization of Crop Straw and the Resourceful Utilization of Livestock and Poultry Waste, with an office under it specifically responsible for the comprehensive utilization of crop straw and the allocation of subsidy funds throughout the city.Townships shall be specifically responsible for promoting the collection, storage, transportation, and marketing of crop straw within their jurisdictions, as well as the construction of straw collection and storage centers, the establishment and management of temporary storage sites, and the verification of funding applications, with close cooperation from relevant municipal departments.

2. Relevant municipal departments shall conduct business training and supervision for straw collection, transportation, and sales enterprises. They shall guide these enterprises to accurately record and maintain straw collection ledgers, sales ledgers, storage and processing ledgers, and financial ledgers. Concurrently, they shall conduct supervision and coordination; enterprises with delayed project progress must be rectified within a specified timeframe, and enterprises that cease operations shall not be eligible to apply for incentives and subsidies.

3. Townships and enterprises must ensure the safe management of straw storage sites, procure necessary firefighting equipment, and install necessary protective fencing, isolation ditches, and other safety measures to resolutely eliminate fire hazards.

4. All townships must strengthen oversight. If individuals are found to have issued fraudulent invoices or used fraudulent or deceptive means to obtain incentive funds, the relevant staff members will be held strictly accountable; in serious cases, the matter will be referred to judicial authorities. If an enterprise is found to be at fault, it will be barred from applying for incentives for five years.

IV. Other Provisions

The Municipal Bureau of Agriculture and Rural Affairs and the Municipal Finance Bureau shall be responsible for interpreting these Measures (Interim). These Measures (Interim) shall take effect on the date of issuance.