Project to supply electricity from the grid to Con Dao district: Still lacking more than 2,400 billion VND

Nearly 2.424 billion VND has no source to balance for the project .

Continuing the working program of the 5th Extraordinary Session, this morning (January 16), the Government submitted to the National Assembly a Report on "draft Resolution on a number of specific mechanisms and policies to implement national target programs" and a Report on supplementing the Medium-term Public Investment Plan using central budget capital for the period 2021-2025...

The Minister presented the Proposal on supplementing the Medium-term Public Investment Plan of the central budget for the period 2021-2025 from the general reserve source corresponding to the increased revenue of the central budget in 2022 for public investment tasks and projects and supplementing the Medium-term Public Investment Plan for Vietnam Electricity Group (EVN) from the reserve source of the Medium-term Public Investment Plan.

He said that, up to now, out of the total 50 tasks and projects mentioned above, 33 tasks and projects have completed investment procedures according to regulations, are eligible for assignment, and are added to the medium-term public investment plan for the period 2021-2025 from the general reserve fund of the medium-term public investment plan for the period 2021-2025.

There are 17 projects completing investment procedures and documents requesting decentralization as the governing body according to Resolution No. 106/2023/QH15 dated November 28, 2023 of the National Assembly.

Minister of Finance Ho Duc Phoc, authorized by the Prime Minister, presented the Proposal on supplementing the Medium-term Public Investment Plan using central budget capital for the period 2021-2025 (Photo: Quochoi.vn).

The Minister said that right from the beginning of the medium-term public investment plan for the period 2021-2025, the Government reported to the National Assembly and the National Assembly resolved to allocate capital for EVN to implement the project of supplying electricity from the national grid to Con Dao district, Ba Ria - Vung Tau province.

However, the completion of project investment procedures is slow because the process of selecting a power supply plan takes a lot of time, requiring measurement, survey, and calculation to choose the most optimal plan.

By June 2023, the Prime Minister approved the project investment policy (after reporting to the 5th Session of the 15th National Assembly). Therefore, the entire capital expected to be allocated to EVN was transferred to the reserve of the Medium-term Public Investment Plan for the period 2021-2025 according to the provisions of Resolution No. 93/2023/QH15.

In Decision No. 708/QD-TTg dated June 16, 2023 on approving the project investment policy, the Prime Minister assigned the Ministry of Industry and Trade as the agency deciding on project investment, and EVN as the investor.

Investing in the project with the goal of providing stable and safe electricity to the island's power grid, meeting the socio-economic development tasks of Con Dao district, contributing to ensuring national defense and security and ensuring national sovereignty over seas and islands is necessary.

The basis for selecting the power supply plan for the project was calculated by the Ministry of Industry and Trade, EVN and the People's Committee of Ba Ria - Vung Tau province, proposing 5 power supply plans for Con Dao district, giving 6 criteria to evaluate each plan. The national grid plan was selected because it met all 6 criteria with the lowest electricity price.

Also according to Minister Ho Duc Phoc, according to the provisions of Article 44 of the State Budget Law, the Prime Minister assigns the next year's budget revenue and expenditure estimates to each ministry, ministerial-level agency, government agency, other central agency, and each province and centrally-run city.

According to Decree No. 26/2018 dated February 28, 2018 of the Government on the Charter of organization and operation of EVN, EVN is the parent company of Vietnam Electricity Group, organized in the form of a single-member limited liability company owned by the State.

With this regulation, EVN is not the unit directly assigned by the Prime Minister to estimate the annual State budget. At the same time, according to the provisions of Article 82 of the Law on Public Investment, the Ministry of Industry and Trade will be the agency organizing the preparation of public investment plans, registering and assigning public investment plans for projects.

Based on the above regulations, Minister Ho Duc Phoc said that the central budget capital allocated to implement the project of supplying electricity from the national grid to Con Dao district, Ba Ria - Vung Tau province was assigned to the Ministry of Industry and Trade to implement. The Ministry of Industry and Trade assigned its affiliated units to organize bidding according to regulations (with this form, the project uses 100% of the central budget capital).

"If the plan is assigned to the Ministry of Industry and Trade, the remaining capital compared to the total investment of VND 2,423,996 billion will not have a source to balance the project. Besides, EVN is not a unit under the Ministry of Industry and Trade, so the Ministry of Industry and Trade cannot allocate and assign capital to EVN," Minister Ho Duc Phoc stated.

Thus, according to Minister Ho Duc Phoc, the project will not be implemented immediately at this stage. The project to supply electricity from the national grid to Con Dao district, Ba Ria - Vung Tau province is a special project, using both the central budget and EVN's own capital.

To effectively use this capital source, it is necessary to review and report to the National Assembly for the mechanism of assigning the central budget capital plan of the project to EVN. The Ministry of Industry and Trade is the sector management agency, responsible for conducting inspections, supervisions, and audits to ensure that there is no policy exploitation, group interests, loss, or waste. The handover of assets after the project is completed is carried out in accordance with the law on public asset management and related laws.

Propose to assign EVN as the agency to decide on project investment

Regarding the allocation of capital to implement the project of supplying electricity from the national grid to Con Dao district, Ba Ria - Vung Tau province, Chairman of the National Assembly's Finance and Budget Committee Le Quang Manh said that the majority of opinions in the Finance and Budget Committee agreed to report to the National Assembly to consider assigning the central budget capital plan of the project to EVN.

At the same time, it is proposed that the Prime Minister adjust the decision approving the project investment policy, assigning EVN as the agency deciding on project investment.

Chairman of the National Assembly's Finance and Budget Committee Le Quang Manh (Photo: Quochoi.vn).

From the above analysis, the Finance and Budget Committee recommends that the Government review strict compliance with the principles, criteria, conditions, procedures, and priority order of capital allocation according to the provisions of the Law on Public Investment, the Law on State Budget, and Resolutions of the National Assembly and the National Assembly Standing Committee.

In addition, Chairman of the Finance and Budget Committee Le Quang Manh said that the majority of opinions of the Finance and Budget Committee agreed to submit to the National Assembly for permission to use VND 63,725 billion of the medium-term public investment plan of the central budget for the period 2021-2025 from the general reserve source corresponding to the increased revenue of the central budget in 2022 for public investment tasks and projects because the Government's submission is in accordance with the provisions of Clause 6, Article 51 of the Law on Public Investment, Clause 6, Article 6 of Resolution No. 29/2021/QH15 of the National Assembly and Point c, Clause 1, Article 3 of Resolution No. 40/2023/NQ-UBTVQH15 of the National Assembly Standing Committee.

The majority of opinions of the Finance and Budget Committee agreed on the policy of submitting to the National Assembly for permission to assign additional allocation of the Medium-term Public Investment Plan with central budget capital for the period 2021-2025 of VND 33,156 billion from the general reserve source of the Medium-term Public Investment Plan for the period 2021-2025 to ministries, central agencies and localities according to the Government's Submission.

Regarding the list of projects, after reviewing, the Finance and Budget Committee found that 17 projects planned for arrangement were included in the list of projects reported by the Government Party Committee to the Politburo. The majority of opinions of the Finance and Budget Committee suggested that the Government take responsibility for reviewing, ensuring investment procedures, ensuring capital arrangement and the ability to balance capital in accordance with the provisions of law.

Regarding the remaining capital of VND 30,568 billion expected to be allocated to the list of projects that have not met investment procedures as prescribed, the majority of opinions in the Finance and Budget Committee agreed to submit to the National Assembly the policy of assigning the Government to urgently complete investment procedures, report to the National Assembly for consideration and decision on assigning additional medium-term public investment plans to ministries, central agencies and localities when they have met investment procedures as prescribed by law.

Source: https://dantri.com.vn/kinh-doanh/du-an-cap-dien-tu-luoi-dien-cho-huyen-con-dao-con-thieu-hon-2400-ty-dong-20240116093035642.htm