The city government has ordered all illegal buildings near water sources to be demolished within the year, the Shenzhen Special Zone Daily quoted a government report as saying yesterday.

Residential blocks, office buildings and factory workshops near water sources but posing no pollution hazards to the environment are not affected.

Polluting businesses near water sources have been ordered to switch to hazard-free operations by the end of 2009 or move, with the authorities subsidizing their losses.

Local land and housing authorities will reclaim land near water sources when the leases expire.

Small plots of land near water sources assigned to villagers to build homes will also be reclaimed if construction has not yet started. Subdistricts have been asked to develop apartment buildings for villagers in other areas within their jurisdiction. For villagers who already built houses, local authorities will gradually arrange their relocation.

Editor: Yan