The operation, maintenance and security of the mass rapid transit system should be supervised by the central competent authority. The supervision regulations shall be prescribed by the central competent authority.

1. The operation status shall be reported by the operation organization of mass rapid transit system to the local competent authority for ratification, and the report shall be transferred to the central competent authority for reference in accordance with the following requirements:
(1) Submit an operation status report during the operation period every three months.
(2) Submit an operation status report including: operating profit/loss, transportation status, and plan for improvement annually within six months after the end of every fiscal year.
2. The central competent authority shall designate relevant personnel to inspect the operation status of the mass rapid transit system irregularly, and inspect documents and accounting books if necessary. Any deficiencies shall be corrected immediately.

The competent authority shall send personnel to inspect the necessary transportation devices and equipments of the mass rapid transit system, and request corrections within a given period if the devices or equipments are inappropriate operation.

The operation organization of a mass rapid transit system may operate other affiliated businesses after obtaining approval from the local competent authority.

1. Any change in capital, leasing operation, mortgage of property, or change of management of the operation organization of a mass rapid transit system shall receive prior approval from the local competent authority, and reported to the central competent authority for reference.
2. Partial or complete suspension of business, or termination of business operations of the operation organization for a mass raid transit system shall be reported to the local competent authority, and transferred to the central competent authority for approval.
3. When the mass rapid transit system suffers poor management or other occurrences which are detrimental to the public interest, the competent authority shall order the operation organization of the mass rapid transit system and request improvements within a given time. If improvements are not made as requested or the improvements are ineffective, the operation organization shall cease operations either totally or partially. Notwithstanding the above, in case of an emergency where a delay is likely to jeopardize traffic safety or the public interest, the competent authority shall order the operation organization to immediately cease operations either totally or partially.
4. The operation organization shall have its operation permit revoked or cancelled by the central competent authority if it still fails to make improvements as requested even when the punishment referred to the preceding paragraph has been implemented for more than six months.
5. The local competent authority shall take suitable measures to maintain passenger transportation services if the operation organization of mass rapid transit system is forced to cease operations partially or entirely, or has its permit revoked or cancelled referred to the preceding two paragraphs. The competent authority may, when necessary, compulsorily take over the operation. The regulations for taking over operations shall be prescribed by the central competent authority.

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The construction organization of a mass rapid transit system shall inform the local and central competent authorities immediately when serious accidents take place, and report the situation and handling of the situation for ratification whenever necessary. Collective reports on general traffic incidents shall also be submitted monthly.