Nghe An requires leaders to make written commitments on the progress of disbursement of public investment capital.

Overview of the regular meeting of the Provincial People's Committee in June 2021 on June 22. Photo: Thanh Duy

According to the Provincial People's Committee, the province's total public investment plan in 2021 is 6,801,386 billion VND, of which the local budget is 4,343.88 billion VND and the central budget is 2,166,065 billion VND. The plan assignment work was promptly implemented by the Provincial People's Committee as soon as the capital allocation decision was made by the Central Government and the Provincial People's Council.

With the determination to complete 100% of the assigned plan, right from the beginning of the year, the Provincial People's Committee has directed strongly on the disbursement of public investment capital. The Provincial People's Committee has established a working group to promote the disbursement of public investment capital. In the first 6 months of the year, the Public Investment Working Group inspected the actual site of 9 projects, worked with a number of localities (Yen Thanh, Hoang Mai, Hung Nguyen...) to urge the disbursement.

In the first 4 months of the year, once a month, from May every 10 days, the Provincial People's Committee assigned the Department of Planning and Investment to notify each Director of departments, branches, Chairmen of People's Committees of districts, cities, towns and Directors of Management Boards about the disbursement situation of their units, comparing with the general level of the whole province and the whole country, comparing with the commitments of each investor to have timely assessment, urging and direction.

Comrade Nguyen Xuan Duc - Director of Nghe An Department of Planning and Investment presented a report on public investment. Photo: Thanh Duy

As of June 10, 2021, the provincial centralized public investment capital has disbursed VND 756,027 billion, reaching 26.05% of the detailed plan; it is estimated that by June 30, VND 1,042,324 billion will be disbursed, reaching 35.91%. Of which, the local budget source reached 23.24%, estimated by June 30 to reach 34.96%. The central budget source reached 28.84%, estimated by June 30 to reach 36.86%.

As of June 10, 2021, there were 16 agencies and units with disbursement rates above the province's average (over 26.05%), of which 8 units had disbursement rates above 50%. In terms of the number of projects, 67 projects out of a total of 195 projects had disbursement rates above 50%, of which 40 projects had basically completed the disbursement plan (over 90%).

The Provincial People's Committee assessed that although the disbursement rate of the 2021 capital plan of the whole province is higher than the national average, it is still lower than the same period in 2020 (the same period in 2020 was 35.2%). The capital plan of the previous year extended to 2021 and only disbursed 9.65%. At the same time, there are 8 districts and 21 investment units disbursing below the average level of the province. Some agencies and units still have many projects that have not been disbursed or have been disbursed slowly.

Construction of Khe Lau reservoir, Nghia Thuan commune (Thai Hoa town) with loan capital from the World Bank. Photo courtesy

The reason for the low disbursement compared to the same period last year is mainly due to the rising prices of some construction materials, especially the sudden increase in steel prices, causing many contractors to delay or stop construction. Land clearance problems directly affect the disbursement progress of many projects...

In addition, the progress of implementing some key projects is still slow; The situation of long-term outstanding advances that have not been recovered and the backlog of completed projects that have not been settled is still large; There are still some shortcomings in investment supervision and evaluation and construction quality management.

At the regular meeting in June 2021, leaders of Quy Chau district, Hoang Mai town, Yen Thanh, Vinh city reported on the disbursement of public investment capital in the area. Leaders of Quy Chau district People's Committee said that the reason for the low disbursement rate was due to some project works being stuck in site clearance and having to adjust sections of the route. It is expected that in July, the disbursement value will reach 50%.

Comrade Nguyen Duc Trung - Deputy Secretary of the Provincial Party Committee, Chairman of the Provincial People's Committee requested that by the end of the third quarter, the disbursement rate of public investment capital must reach over 60%. Photo: Thanh Duy

Chairman of the Provincial People's Committee Nguyen Duc Trung requested all levels, sectors and localities to focus on disbursing public investment capital to achieve the target of 100% disbursement in 2021. By the end of the third quarter, the disbursement rate of public investment capital must reach over 60%, and even this rate must be achieved by August.

“Heads of departments, branches, localities, and investors must register in writing the progress of disbursement each month and each quarter from now until the end of the year. For any unit that fails to achieve the committed progress, the head must take responsibility and have capital transferred to key projects and projects with good disbursement,” emphasized Chairman of the Provincial People’s Committee Nguyen Duc Trung./.