Waste of investment funds
The Dong Mieu residential area technical infrastructure project in the new Son Tinh district center (phase 1) was approved for investment by the Chairman of Son Tinh district People's Committee in 2015 with Son Tinh district People's Committee as the investor. The area is 5 hectares, the total investment is over 48.8 billion VND from land fund exploitation capital. Implementation period is 2015-2018.
The project's objective is to build a new, modern residential area with a synchronous technical infrastructure system, meeting the local demand for residential land and auctioning land use rights to generate budget revenue. However, during the implementation process, the investor adjusted the extension 5 times until 2023. By November 2024, the investor had only cleared the land with an area of 2.82ha/4.9ha, and had only completed leveling of 136/197 plots of land (76 plots were arranged for resettlement), the remaining items were unfinished, many items in the area west of N12 route had not been connected synchronously.
According to the Quang Ngai Provincial Inspectorate, during the construction of this project, contractors did not fulfill their contractual commitments, but the investor did not consider handling the case. In this area, 296 households and individuals encroached on land, expanded, repaired, built houses, and construction works, and 77 households divided, donated, and transferred residential land. Due to problems, the agencies did not develop a compensation plan.
The lack of determination to promptly handle problems in site clearance and construction contract handling has led to the project not being completed, causing waste of investment funds, and the project's objectives have not been achieved effectively. There is a risk of increasing compensation costs by 4.6 billion VND and increasing the number of resettlement plots by 74 (according to data in 2019).
Similarly, the Tinh Phong Commercial Service and Residential Area project, invested by the People's Committee of Son Tinh district, has been under construction and abandoned for the past 6 years. The project covers an area of nearly 5 hectares, with a total investment of over 70.2 billion VND from land fund exploitation capital. The implementation period is 2017-2019; the goal is to build a new, modern residential area with a synchronous technical infrastructure system, meeting the local land demand and auctioning land use rights to generate budget revenue. However, during the implementation of the project, the progress was delayed, and the project had to be extended 4 times until 2023, but is currently still in a state of half-way investment and then stopped.
Investment is spread out, showing signs of loosening.
Quang Ngai Provincial Inspectorate pointed out that the Management Board of Tinh Phong Commercial Service and Residential Area Project lacked coordination with functional agencies and was not resolute in organizing implementation, easy to do, hard to abandon...
According to Mr. Pham Xuan Due - Chief Inspector of Quang Ngai province, through inspection of 21 projects invested by Son Tinh District People's Committee and Project Management Board, it shows that there are still some limitations and violations.
The implementation of public investment projects in the period from 2016 to 2024 shows that they are still scattered, only focusing on establishing project procedures to request investment policies and project approval, especially residential projects and traffic projects, but not determining the capital source capacity to arrange investment and construction, so when there is a loss of capital source capacity, the People's Committee of Son Tinh district does not review, submit to competent authorities for consideration, handling, cutting down, and stopping projects according to regulations. The leadership and direction of the organization of investment project implementation by the District People's Committee is not resolute, showing signs of laxity, not promptly handling problems arising in investment and construction work in the district. The coordination between relevant agencies is not close, afraid of responsibility, so they only focus on doing easy tasks, and abandon difficult tasks; Heads of agencies and units lack determination and do not promptly report and propose remedial measures for the District People's Committee to direct the handling of problems, resulting in many investment projects being behind schedule.