Improving management of industrial zones

17:21 | 10/06/2017 Industry

(VEN) - Problems related to industrial zone (IZ) and IZ infrastructure development are attributed to the lack of a unified management policy.

improving management of industrial zones
IZ management responsibilities of local authorities must be clarified

More than 600 IZs nationwide were formed before the IZ management regulation was issued in accordance with Prime Ministerial Decision 105/2009/QD-TTg. The planning, establishment and development of these zones was not strictly controlled. IZs mushroomed spontaneously in almost all districts of many provinces. Many provinces had to revise their IZ development plans after Decision 105/2009/QD-TTg became effective, as a number of potential IZs did not satisfy the new regulations.

Thanh Hoa province planned 100 IZs before Decision 105/2009/QD-TTg was issued. The province has had to remove 47 of the 100 IZs from the plan, as these zones have a scale or area smaller than stipulated in the decree. Meanwhile, Bac Giang has removed nine IZs totaling 227 hectares in area from the development plan.

The spontaneous IZ development is partly attributed to the lack of detailed, consistent regulations. Regarding some IZs, district people’s committees act as infrastructure investors and state management authorities at the same time.

According to the IZ management regulation, departments of industry and trade provide assistance for provincial people’s committees to implement state management of IZs, while district people’s committees are in charge of state management of IZs in related localities. However, the regulation doesn’t clarify responsibilities of directing, guiding and supporting enterprises and organizations in administrative procedures related to infrastructure development and investment in the construction of technical and production aspects of business.

Most IZ-based businesses are small to medium in size with limited financial and management capabilities so they are encountering many difficulties in administrative procedures with provincial authorities. At meetings on a draft IZ management decree, many localities proposed that district people’s committees act as focal points to receive and solve administrative procedures for investment projects in IZs. They said provincial departments of industry and trade should be the ones that receive, verify and submit to relevant authorities administrative procedures related to IZ infrastructure construction projects.

The Ministry of Industry and Trade has submitted a decree on IZ management to the government for approval. Governing IZ planning, establishment and expansion, the decree is expected to contribute to greatly improving IZ management.

Hai Linh