(News Portal – Dong Nai) - Many projects in the province are experiencing delays in implementation and disbursement of public investment capital from 2023 to 2024 due to the inability to meet disbursement targets in the previous year. Therefore, effective solutions are urgently needed to address the prolonged duration of project implementation and disbursement of public investment capital, contributing to improving capital utilization efficiency and expediting the completion of projects for early operation.
The project for compensation, resettlement support, and land clearance for the central axis of Bien Hoa City, from Vo Thi Sau Street to Dang Van Tron Street (including Thong Nhat Bridge and the connecting roads on both ends of the bridge), is one of the projects that have experienced delays in implementation and disbursement of capital from 2023 to 2024.
Dozens of projects face extended disbursement periods
In mid-April, during the 16th session of the 10th provincial People's Council, the provincial People's Council passed a resolution to extend the allocation of funds, prolong the implementation period, and extend the disbursement of projects using the provincial budget for 2023.
Accordingly, there are 39 projects using the provincial budget for 2023 that will have their implementation period and disbursement extended until the end of 2024. Among them are numerous projects listed as key infrastructure projects of the province.
One of the main reasons why these projects cannot meet the disbursement targets for 2023 and have to be extended to 2024 is the obstacles in land clearance work.
Mr. Ngo The An, Director of the Project Management Board for Construction and Investment in Transport Infrastructure of the province, stated that the disbursement of investment capital allocated for Project Huong Lo 2 (section 1, phase 1) in Bien Hoa City (one of the projects with extended implementation and disbursement period) in 2023 encountered many difficulties. The main reason is the contractors' lack of acquired land for construction.
According to the provincial People's Committee, besides the obstacles in land clearance, some projects have to extend their implementation and disbursement period due to the increase in prices of materials, labor, and construction equipment compared to the contract signing time, as well as the shortage of supplies, which prolongs the construction time.
In addition, some projects that were scheduled to commence in 2023 have been delayed due to incomplete contractor selection processes or failure to choose a contractor. Similarly, some projects that allocated funds for compensation and land clearance are delayed due to incomplete approval of compensation plans and land clearance documents, resulting in the inability to disburse the allocated funds.
Furthermore, there are cases where construction contracts have been signed, but the project owners have not strongly demanded the contractors to develop specific implementation plans as a basis for monitoring and timely progress acceleration and fund disbursement as planned.
Effective solutions are needed to address these issues
According to Mr. Thai Bao, Chairman of the Provincial People's Council, the resolution passed by the Provincial People's Council during the 16th session of the 10th provincial People's Council to extend the allocation of funds, prolong the implementation period, and extend the disbursement of projects using the provincial budget for 2023 marks the third consecutive time that the Provincial People's Council has issued such a resolution. "This is the consequence of limitations and weaknesses in public investment disbursement in previous years," assessed Mr. Thai Bao.
Based on this reality, the Provincial People's Council has continued to emphasize and request the Provincial People's Committee to come up with more effective solutions and higher political determination in addressing the difficulties and obstacles in project implementation, especially those projects that have been prolonged for many years, in order to maximize the efficiency of public investment utilization. The Provincial People's Committee needs to continue directing project owners and relevant agencies to enhance their responsibilities. They should review cases where construction contractors are slow or contract termination is necessary to ensure proper handling according to regulations. "The Provincial People's Committee also needs to strengthen inspections of project owners and increase the responsibility of project owners and funding allocation appraisal agencies to ensure that the planned funds are disbursed in 2024," proposed Chairman Thai Bao.
Regarding the Provincial People's Committee, after the Provincial People's Council passed the resolution to extend the allocation of funds, prolong the implementation period, and extend the disbursement of projects using the provincial budget for 2023, the Provincial People's Committee has also issued a decision to implement this resolution.
Accordingly, the Provincial People's Committee requires project owners assigned by the Provincial People's Committee to concentrate on implementing the planned fund allocation, ensuring the progress. They need to review the progress of construction contracts for contractors who are behind schedule and consulting organizations that provide design documents that do not meet quality standards or are not suitable for practical circumstances, and address these issues during the construction process. This will have an impact on the project's progress and result in appropriate measures according to regulations.
During the meeting on the disbursement of public investment capital in the province in the first four months of 2024, held at the beginning of May, Mr. Vo Tan Duc, Acting Chairman of the Provincial People's Committee, also requested project owners of projects that have extended their implementation and disbursement period to learn from their experiences and identify the causes in order to find effective solutions to address these issues.