224tr dong set for modernising ministry of transport

25-Apr-2012 Intellasia | Thoi Bao Kinh Te Saigon | 8:00 AM Print This Post

Minister of transport Dinh La Thang has given nod for the scheme of industrialisation and modernisation in ministry of transport.

It may cost 223.79 trillion dong for realising the scheme within the period from now up to 2020. It’s essential to clarify that the scheme would be applied for the member companies and relating agents under the management of Ministry of transport.

The investment portfolio under the project included 12 groups, from building the head office, setting up information technology (IT) infrastructure facilities to purchasing equipment, developing fleet of ships and aircrafts and training human resources.

One of the first projects in the portfolio was building the head offices for the member companies and subsidiaries under the management of ministry of transport. The construction cost was estimated at 10.998 trillion dong. Most of those projects were supposed to be carried out within the 2012-2015 period.

In particular, the investment capital to be spent for building the offices in the ministry was posted at 1 trillion dong, while for other departments and bureaus of 3.118 trillion dong.

Apart from that, the programme of developing the IT infrastructure facilities for enterprise management and administration purpose would cost 470 billion dong.

The largest fund of 100 trillion dong would be for developing the fleet for Vietnam Maritime Corp (Vinalines) so as to serve for the nation’s industrialisation and modernisation process. According to the scheme, Vinalines planned to spend 30 trillion dong to purchase additional 67 ships, including 48 cargo carriers, 14 container carriers and five oil tankers with designed loading capacity of 15 million tonnes at least.

The scheme hasn’t mentioned about the feasibility and economic effectiveness for developing that fleet, especially in the context when the maritime industry has faced difficulty due to loss, and many private enterprises have had to sell their ships for debt payment. In 2016 to 2020 period, additional 70 trillion dong would be spent for buying other 95 ships, including 50 cargo carriers, 25 container ships and 20 oil tankers.

The second largest spending would be over 80.083 trillion dong on development aircraft fleet for Vietnam Airlines, of which 43.838 trillion dong would be spent for 2012-2015 period and 36.245 trillion dong for the following five years. With such expense, up to 2020, Vietnam Airlines would have 171 aircrafts, of which 70 units would be under ownership of the corporation while the rest to be leased.

The scheme also clarified the list of aircrafts that Vietnam Airlines may own or lease, including Boeing 787-9, Boeing 777, Airbus A350, A321 and A320, ATR72-200 and Fokker 70. Similar to the maritime sector, the scheme hasn’t mentioned about the market factors and economic effectiveness that the investment programme may bring in.

Up to 15.379 trillion dong would be disbursed for group of public enterprises, mainly for three firms of Vietnam Air Traffic Management Corp, Northern Vietnam Maritime Safety Corp and Southern Vietnam Maritime Safety Corp.

As for capital solutions, ministry of transport has suggested to spend 20 trillion dong from state treasury for software programme investment and IT infrastructure development to serve for management works, building the head offices for the state management agents and other public services.

The remaining capital would be raised from the enterprises’ ownership capital, loans, and ODA funds and from society. In addition, ministry of transport also proposed that the government should support preferential loans and create favourable tax mechanisms, as well as manpower to realise the fore-mentioned scheme of industrialisation and modernisation.


Category: Business

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