Amending the Law towards decentralization to promote infrastructure

By amending a series of mechanisms and policies, decentralizing and decentralizing more strongly, and promoting infrastructure development, Vietnam is expected to have a transformation in logistics infrastructure in the future.

By amending a series of mechanisms and policies, decentralizing and decentralizing more strongly, and promoting infrastructure development, Vietnam is expected to have a transformation in logistics infrastructure in the future.

At the 2nd Vietnam Logistics Conference - 2024 organized by Investment Newspaper , Mr. Le Tuan Anh, Director of the Department of Industrial and Service Economics (Ministry of Planning and Investment) shared the reasons why Chinese goods have competitive prices and the logistics system is more developed than other countries in the region.

Mr. Le Tuan Anh, Director of the Department of Industrial and Service Economics (Ministry of Planning and Investment) - Photo: Le Toan

First, China's construction licensing time is much faster than Vietnam's. For example, to license the construction of a Tesla car factory, from the investment decision to the completion of the project was only 11 months; to build a shopping mall the size of Aeon, the completion time was less than 3 months.

However, in Vietnam, to build an automobile factory, the time to complete the project must be calculated in years.

Second, although China started building highways after many countries, it has now developed the longest highway system in the world, connecting economic regions together, thus promoting easy movement, transportation of goods, and logistics.

Meanwhile, Vietnam's highway and infrastructure system is still being completed. By 2030, Vietnam plans to put 5,000 km of highways into operation. In addition, mechanisms and policies have become increasingly open, creating favorable conditions for investors, but there are still bottlenecks in the mechanism that need to be urgently cleared and completed.

For example, at the ongoing eighth session, the National Assembly is reviewing and commenting on the Draft Law amending four investment laws, including the Law on Public Investment.

In particular, according to the Draft Law on Public Investment Amendments submitted by the Government to the National Assembly, there are 5 main groups of amended policies. These are institutionalizing pilot and specific mechanisms and policies that have been allowed to be applied by the National Assembly; continuing to promote decentralization and delegation of authority; improving the quality of investment preparation, resource exploitation, and capacity to implement public investment projects of localities and state-owned enterprises; promoting the implementation and disbursement of ODA capital plans and preferential loans from foreign donors; simplifying procedures, supplementing and clarifying concepts, terms, and regulations, ensuring consistency and uniformity of the legal system.

Overview of the discussion session at the 2nd Vietnam Logistics Conference - 2024 organized by Investment Newspaper (Photo: Le Toan)

Mr. Le Tuan Anh said that the Draft also proposes to increase the scale of important national projects to 30,000 billion VND (previously 10,000 billion VND), and the scale of group A, group B, and group C projects to double. The heads of ministries and central agencies decide on investment policies for group A projects managed by their agencies and organizations with capital scale of less than 10,000 billion VND; group A projects from 10,000 billion VND to less than 30,000 billion VND are under the authority of the Prime Minister. People's Committees at all levels decide on investment policies for group B and group C projects managed by localities; decentralize authority to the chairmen of People's Committees at all levels to adjust medium-term and annual public investment plans... This decentralization will promote faster and more effective project implementation.

Along with that is the Draft Law amending and supplementing a number of articles of the Law on Planning, the Law on Investment under the public-private partnership model and the Law on Bidding to promptly remove urgent difficulties and obstacles in institutions, simplify administrative procedures and promote decentralization and delegation of authority in the fields of planning, business investment, investment under the public-private partnership model and bidding.

"With the consensus of the entire system, we will be able to do things that we have not been able to do before, such as recently, the Government has directed sectors, levels and localities to effectively implement the 550kV transmission line project," Mr. Tuan Anh commented.

In addition to amending the law, Mr. Tuan Anh added that the State is also focusing on developing the road system, submitting to the National Assembly for investment in the North-South high-speed railway, the railway connecting the North, the route connecting with Laos and countries sharing the same border; as well as considering piloting duty-free zones and cross-border trade zones with countries sharing the same border.

“These projects will solve many resources, focus and unify, will help the economy have a stronger change in the coming time. In addition, with positive information about the mechanism that is gradually being removed, as well as promoting infrastructure development, the future is expected to have changes in infrastructure in general and logistics infrastructure in particular,” Mr. Le Tuan Anh expected.

Source: https://baodautu.vn/se-co-buoc-chuyen-minh-manh-me-ve-ha-tang-logistics-d228829.html