On the morning of January 24, a Policy Consultation Workshop on irrigation service prices was held under the chairmanship of the Deputy Minister of Finance and Deputy Minister of Agriculture and Rural Development.
According to information at the event, the irrigation system, one of the important pillars supporting agricultural production and socio-economic development of Vietnam, always receives special attention from the Party and The State, especially in the context of climate change. Effective and sustainable management of irrigation services has become a focus, with many solutions and policies being issued and implemented to meet increasing requirements and competition between industries. economic use of water.
Researching and revising pricing policies for irrigation products and services, especially Decree 96, is a necessary need. The revision of this policy needs to aim for clarity and simplicity in the method of determining prices of irrigation products and services, while ensuring the correctness of costs in operational management.
Deputy Minister of Agriculture and Rural Development Nguyen Hoang Hiep (middle).
Speaking at the event, Deputy Minister of Agriculture and Rural Development (MARD) Nguyen Hoang Hiep shared that since the Law on Irrigation and related documents were promulgated, the price policy for irrigation products and services has changed. , specified in Decree 96 of 2018, marks an important turning point from a fee mechanism to a price mechanism.
“After 5 years of implementing Decree 96, some inadequacies have arisen, and irrigation service prices are not consistent with reality. The level of irrigation support fees has remained unchanged since 2012 even though many input prices have fluctuated," Deputy Minister Hiep said.
Referring to the issue of price, the Deputy Minister of Agriculture and Rural Development said that since 2012, the support price for irrigation work has not changed, but the price of input materials according to statistics has increased from 1,5 to 1,7 time. This causes many great difficulties for the irrigation industry, the company's revenue is very low, annual maintenance costs are not guaranteed,...
From there, Deputy Minister Hiep said that the conversion from fees to prices was calculated correctly. Calculating the full price and fees is very important. Job change the form of supply activities product, Irrigation services from fee to price mechanism in accordance with the increasingly developing situation of society.
CCosts included in the price structure of irrigation products and services and supported contents in the management and exploitation of irrigation works okay mtransparent. At the same time, this is also the basis for the Ministry of Agriculture and Rural Development and localities have grounds to collect irrigation products and services , and provide financial support some objects Use public irrigation products and services. Qwow, promptly meet the needs of management practices and improve efficiency out of dungstate budget and ensure normal production and business activities of irrigation project operators.
Event overview.
Speaking at the event, ADB Country Director in Vietnam Shantanu Chakraborty shared that calculating prices for irrigation services helps catalyze private investment in irrigation in particular and agriculture in general. At the same time, pricing can encourage efficient use of water resources, promote irrigation systems, and sustainable development. On the contrary, it will create attraction for the private investment sector.
In addition, appropriate pricing mechanisms and prices for irrigation services can limit climate change through smart agriculture applications, effective irrigation, reducing greenhouse gas emissions, etc.
At the event, Expert Nguyen Tien Thoa said that the development of recommendations to amend and supplement Decree 96 must follow the principle of practical assessment of price mechanisms and policies to support fees for using public service products. irrigation. At the same time, handle the relationship between irrigation services and estimates of expenditures to support the use of irrigation service products according to the principle that estimates must be based on the price of public irrigation service products.
“In addition, it is necessary to calculate the entire system cost, from the focal point to the field and water users. Ensure consistency and synchronization with relevant legal regulations and transparency in implementation," Mr. Thoa said.
Recommendations on pricing irrigation products and services, Mr. Thoa said, it is necessary to add additional pricing principles and pricing bases according to the provisions of the Price Law and the Irrigation Law..
