The State Council, China's Cabinet, unveiled sweeping revisions to national funeral management regulations on Wednesday, aiming to strengthen the public service nature of burial services and promote environmentally friendly practices.

The updated regulations, the first major overhaul since 2012, will take effect on March 30.

Officials and experts said the revised rules are built on the core principles of public welfare, civilized frugality and green ecology, and are intended to address emerging challenges in the sector.

A central objective is to reinforce the industry's public welfare attributes. In line with the regulations, newly established funeral service institutions must be government-run and nonprofit, and no new for-profit entities will be permitted.

To curb excessive charges, funeral services will be categorized as "basic" and "nonbasic". Basic services — including corpse transportation, storage, cremation and eco-burials — will be included in a national list, with fees set by law. Nonbasic services will be subject to strict pricing oversight.

Service providers are prohibited from creating unauthorized charges, inflating prices or engaging in price fraud. The rules also introduce heavier penalties for pricing violations.

Hospital morgues are barred from outsourcing or providing funeral services. Violations may result in fines ranging from 30,000 yuan ($4,296) to 200,000 yuan.

Online memorial platforms that induce excessive consumption may face fines of 100,000 to 300,000 yuan and possible closures.

"Eligible funeral services will gradually be incorporated into the national basic public service framework and adjusted dynamically," said Xu Xiaoling, vice-dean of the Life Culture Institute at China Civil Affairs University.

She said a dynamic service list would strengthen fee management by banning charges for unlisted items and clearly defining pricing violations.

The regulations also strongly promote environmentally friendly burial practices. In cremation-designated areas, sea, tree, flower and lawn burials are encouraged. In regions where conventional burial is permitted, deep burials without tombstones are promoted, with possible subsidies for eco-friendly interments.

The rules explicitly prohibit the construction of tombs on cultivated land, forest land, in urban parks, scenic areas, cultural relic protection zones, water source protection areas, and along railways and highways. Existing graves in these areas — except those with historical value — must be relocated or converted to deep burials without mounds.

While the burial customs of ethnic groups are to be respected, all groups are encouraged to adopt methods that meet environmental protection and land-saving requirements. Violations, such as manufacturing or selling coffins in mandatory cremation zones, may result in fines of 30,000 to 200,000 yuan.

The revised regulations also emphasize stricter construction standards, improved management and greater ecological sustainability for funeral facilities.

According to a joint statement from the ministries of civil affairs and justice, the revisions require funeral facilities to be incorporated into local development plans in line with national land-use strategies.

County-level governments and above are responsible for planning and building facilities such as crematoriums and cemeteries based on population distribution, land availability and the principles of demand-based supply, land conservation and ecological protection.

According to a 2020 study by British insurer SunLife, Chinese residents spend an average of 37,375 yuan, or about 45.4 percent of their annual income, on funerals, ranking China second worldwide in high funeral costs.

Rising expenses have been driven in part by demographic shifts as China's population ages rapidly. Data from the Ministry of Civil Affairs show that by the end of 2024, more than 310 million people — about 22 percent of the population — were aged 60 or older. Of that group, about 220 million people, or 15.6 percent of the total population, were aged 65 or above.

China's average life expectancy reached 79 years by the end of 2024.