City renovation focusing on transformation of urban underground pipe networks

What 
  • Importance: Relevant policies on the renovation of existing housing have been intensively issued since 2020. In March 2022, the National Development and Reform Commission reiterated the new urbanization task of "renovating a number of large old blocks and urban villages according to local conditions." In July 2023, the State Council proposed special guidance on the transformation of urban villages. On May 6 2024, the General Office of the Ministry of Finance and the General Office of the Ministry of Housing and Urban-Rural Development issued a notice on carrying out urban renewal demonstration work, announcing that starting from 2024, the central government will innovate ways and means to support some cities in carrying out urban renewal demonstration work, focusing on supporting urban infrastructure facility renovation.
  • Business opportunity: The central government will provide fixed-amount subsidies to demonstrated cities by region, and the funds will focus on supporting the systematic promotion of urban renewal actions, the overall planning and promotion of the construction of urban underground pipe networks and comprehensive pipe corridors, the construction and comprehensive pipe corridors, construction and renovation of sewage pipe networks, and renovation of old areas. In addition, since April 2024, many provinces have successively released action plans for equipment update and consumer goods trade-in, focusing on promoting the update of heating, gas, water supply and drainage pipe networks and related equipment. There are many types of pipeline consumables used in network construction, including centrifugal casting ductile iron pipes, steel pipes, cast iron pipes, prestressed reinforced concrete pipes, plastic pipes. The companies concentrate on those materials and pipe products will benefit.
  • Concrete project plan: The transformation of urban underground pipe networks is the focus of urban renewal in 2024, and more than 0.1 million kilometers of underground pipelines will be reconstructed every year. At present, the length of water supply pipelines in urban area reaches 1.1 million kilometers, the length of drainage pipelines is 0.91 million kilometers, the length of natural gas pipelines is 0.98 million kilometers, and the length of heating pipelines is 0.49 million kilometers. During the "14th Five-Year Plan" period, the investment in underground pipe network reconstruction nationwide will exceed one trillion RMB.
 
Call to action 

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