Ho Chi Minh City fails to disburse 6,800 billion VND in the "super" 10,000 billion VND flood prevention project

Although Ho Chi Minh City allocated 6,800 billion VND to disburse for the "super" 10,000 billion VND flood prevention project, this capital cannot be disbursed in 2024 due to procedural problems.

Although Ho Chi Minh City allocated 6,800 billion VND to disburse for the "super" 10,000 billion VND flood prevention project, this capital cannot be disbursed in 2024 due to procedural problems.

The Department of Planning and Investment has just reported to the City People's Committee on the disbursement of public investment capital in key projects of the City.

One of the projects with a very large capital allocation for disbursement this year is the Project to Solve Flooding Due to Tides in Ho Chi Minh City Considering Climate Change Factors - Phase I (also known as the 10,000 billion VND Flood Prevention Project) with a budget of 6,800 billion VND, but up to this point, the Project has not disbursed any money.

Muong Chuoi Canal, a part of the 10,000 billion VND flood prevention project, has been more than 90% completed but construction has been suspended since 2020 - Photo: TN

Since the beginning of the year, Ho Chi Minh City has sent many reports to the Central Ministries and branches on the handling plan for this Project to promote disbursement, but the competent authority has not yet resolved it.

Through the assessment of the actual situation of the Department of Planning and Investment on removing difficulties and obstacles of the Project, the City has determined that in 2024, it is not possible to remove obstacles to disburse 6,800 billion VND.

Therefore, at the People's Council meeting at the end of September 2024, the City People's Committee is required to report to the People's Council to adjust and reduce the medium-term capital for the period 2021-2025 and the capital in 2024 of this Project to arrange for other projects and will re-balance the arrangement for the project after the problem is resolved.

However, due to the capital stuck in the "super" tide prevention project being too large, while projects with equivalent total investment are only in the investment preparation stage, capital cannot be disbursed in 2024.

The failure to disburse 6,800 billion VND in the 10,000 billion VND flood prevention project is a huge waste, while the project is in dire need of capital to construct the last 10%.

Previously, during the group discussion on the socio -economic situation at the 8th Session of the 15th National Assembly held on October 26, General Secretary To Lam mentioned the waste in the 10,000 billion VND anti-flooding project in Ho Chi Minh City and two major hospital projects in Ha Nam.

The General Secretary pointed out that the 10,000 billion VND flood prevention project in Ho Chi Minh City has been completed after two terms, the State has spent money but the people of the city still have to suffer from flooding. "If this continues, it is a violation, even if it is not embezzlement or corruption, it is wasteful," the General Secretary emphasized.

The Tidal Flooding Solution Project in Ho Chi Minh City, Phase I (total investment of nearly 10,000 billion VND), started in mid-2016 and is expected to be completed in 2018.

According to the report of the investor Trung Nam Group, up to now, the entire Project has completed more than 90% of the work volume but has been temporarily suspended from November 15, 2020 until now.

Due to the extension of the implementation period, the Project incurred interest expenses and other costs, leading to the total investment of the Project possibly increasing from VND 9,976 billion to VND 14,398 billion.

Source: https://baodautu.vn/tphcm-khong-giai-ngan-duoc-6800-ty-dong-tai-sieu-du-an-chong-ngap-10000-ty-dong-d229822.html