Removing "obstruction" of the development of industrial clusters

VCN- It has been over a year since the Decree No. 68/2017/ND-CP on management and development of industrial clusters (ICs) came into force, although the number of ICs established and operating has been increasing, in fact, there are still a lot of difficulties and inadequacies in the process of attracting investment and developing the ICs.
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There are 680 ICs in operation nationwide. Picture: collected.

More than 17% of ICs have wastewater treatment systems

According to the report of the Locality Department of Industry and Trade (MOIT), up to now, the country has set up 807 ICs with a total area of 26,565 ha. The number of ICs in operation is 680 clusters, attracting about 11,800 projects. The development of ICs was evaluated to contribute on attracting investment in industrial development in the planning direction. There are positive changes in attracting the potential enterprises and investors in advantageous fields and sectors, creating high added value (such as in Binh Duong, Ba Ria-Vung Tau and Bac Ninh…). Through the production activities of the enterprises in the ICs, the economic structure and labor structure in the localities have been promoted rapidly. However, in ICs’ development, the remarkable point is that only 117 ICs have a common wastewater treatment system, accounting for more than 17%.

Mr. Ngo Quang Trung, Director of the Locality Department of Industry and Trade, said that Decree 68 of the Government had created a clearer legal framework, contributing to attracting investment in the industrial development in the localities. However, many localities still found it difficult to implement Decree 68. For example, the current regulations on setting up, appraising, approving the IC plans were no longer in line with the Law on Planning, and the selection of investors should be guided more specifically. In addition, Mr. Trung also pointed out that the implementation of some of the content and provisions in Decree 68 in some localities were not serious and full. For example, ICs’ approval was not in accordance with the procedures in Thanh Hoa, Thai Binh ... The coordination between departments, branches in the development and implementation of regulations on the administrative procedures related to the ICs in the direction of single window, one stop shop were limited…In addition, in many localities, the system of treatment of environmental pollution, infrastructure outside the fence of industrial parks as well as the selection of investment projects in the ICs were still not paying suitable attention to the factors of economic and social efficiency ... ," Mr. Trung stressed.

Need to synchronize the legal documents

From a local perspective, Mr. Phan Van Hung - Deputy Director of Bac Giang Department of Industry and Trade said: Up to now, Bac Giang has 18/38 ICs with investors trading the technical infrastructure. To expand the ICs and receive the investment projects in ICs, according to Decree 68, the individuals and the organizations only needed to agree with the investors on the location, place, area of industrial land, the business sector, planning, the land rent price, workshop. However, Hung analyzed: Circular No. 31/2016/TT-BTNMT dated 14/10/2016 of the Ministry of Natural Resources and Environment on environmental protection of ICs, the business centers, central services, craft villages and the production, business and services units, regulated that it is not allowed to expand the ICs and receive the additional investment projects in ICs in cases where there is no technical infrastructure for environmental protection. "As a result, the investment projects in the ICs will only be granted the investment registration certificates when they have the technical infrastructure such as roads, electricity and wastewater treatment systems... This restricts the mobilization of capital from the investors and time advantage of enterprises involved in building and trading infrastructure of ICs, reducing the competitiveness index of the province,” Mr. Hung said.

In order to facilitate the IC management right from the stage of planning, establishing and operating in the ICs and reducing the administrative procedures related to the infrastructure investment projects and business production, Mr. Hung suggested that the Government should adjust the time, the order of the procedures for adjustment and supplementation of the planning and the establishment and expansion of the ICs in accordance with the provincial operation regulations. At the same time, assign the Department of Industry and Trade to preside over receiving and issuing the investment registration certificates for the construction of technical infrastructure, production and business in the ICs...

Regarding this issue, Mr. Dam Tien Thang - Deputy Director of Hanoi Department of Industry and Trade also expressed his viewpoint: The scope of regulation of Decree 68 was quite broad, related to many laws such as the Land Law, the Law Investment, the Law on Construction ... Therefore, there should be guidelines of the concerned ministries and branches for implementing smoothly, avoiding difficulties due to lack of synchronism among the legal documents.

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Facing difficulties and bottlenecks in the ICs’ development, Deputy Minister of Industry and Trade Cao Quoc Hung said that the Ministry of Industry and Trade would continue to work out a Decree amending some articles of Decree 68 on development planning of ICs, to be submitted to the Government in the fourth quarter of 2019, and the target Program for supporting the infrastructure investment in the period 2020-2025 from the central budget and submitted to the Prime Minister in the fourth quarter of 2019. In addition, the Ministry of Industry and Trade would coordinate with the ministries and branches to develop, improve the institutions, manage, guide and inspect the activities related to IC. Provide the information, exchange and coordinate frequently for the State management for the ICs

By Uyen Nhu/ Binh Minh

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