land; land lease contract; issuance of land use right certificate; Step 8. Register for electricity supply;
Step 9. Appraisal of basic design; Approval of fire prevention and fighting design
on fire;
Step 10. Appraisal of construction drawing design documents; issuance of Construction Permit. Based on these 10 procedural steps, the management board of economic zones and industrial zones
In Quang Nam province, it has been concretized into 3 stages (Appendix 3.5) with corresponding tasks that investors need to perform under the guidance of specialized units to complete all procedures from site selection to related post-investment procedures. Therefore, investors when investing in economic zones and industrial parks will usually obtain investment certificates and related procedures faster than investment procedures in other areas. Many investors in Chu Lai KEZ and Dien Nam - Dien Ngoc Industrial Park have received investment certificates within just 1 working day.
b. Time for granting investment certificates and related administrative procedures
Since 2013, the People's Committee of Quang Nam province has issued Decision No. 3766/QD-UBND to implement the "one-stop-shop" mechanism in handling investment procedures in Quang Nam province (except for investment projects in Chu Lai Open Economic Zone, Industrial Parks and Dien Nam - Dien Ngoc New Urban Area). Accordingly, the maximum time to carry out the procedures for notification of agreements and introduction of locations is 20 working days, the procedure for registering the establishment of an enterprise as the project investor is only within 05 days and the procedure for registration/examination of the issuance of an Investment Certificate is resolved within 04 working days if the project is on the list of investment registration. Related procedures are also clearly defined in terms of process and processing time for investors to conveniently monitor and implement (Appendix 3.6)
For Chu Lai Open Economic Zone, Industrial Parks and Dien Nam - Dien Ngoc New Urban Area, the management boards of these zones have also continuously improved and shortened the time for granting investment certificates. Specifically, the Chu Lai Open Economic Zone Management Board has shortened the time for granting investment certificates from 15 days to zero.
more than 04 days from the date of receiving a complete and valid dossier and simple cases can be resolved within 01 day; the time for granting planning certificates is also reduced from 20 days to 05 days. Dien Nam - Dien Ngoc Industrial Park Management Board also carries out the process of granting investment certificates within 05 days and there are also many cases where investors receive certificates within only 01 day.
c. Resolve arising administrative procedures
In recent years, Quang Nam province has promoted administrative procedure reform with the establishment of public administrative centers in the economic centers of the province, namely Tam Ky city, Hoi An city and Dien Ban town, to handle administrative procedures more quickly and conveniently for people, businesses and investors with projects. On September 14, 2016, the People's Committee of Quang Nam province established the Provincial Public Administration and Investment Promotion Center on the basis of adding functions, tasks and renaming the Investment Promotion and Business Support Board to better perform the function of supporting businesses and promoting investment. Statistics of the Center show that in 2017, the number of files resolved was
47,207 records with a rate of on-time and early settlement of 97.6%). In order to reduce travel time for businesses and investors, the Center has implemented returning settlement results by post for about 40% of procedures.
Table 3.2. Waiting time for issuance of land use right certificate and business registration certificate
2013 | 2014 | 2015 | 2016 | 2017 | ||
Number of registration days business | Median value | 10 | 10 | 3 | 2.5 | 5 |
Ranking | 30 | 14 | 2 | 4 | 9 | |
Number of days to wait granted land use right certificate | Median value | 30 | 25 | 30 | 30 | 15 |
Ranking | 9 | 11 | 16 | 29 | 8 |
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Source: Vietnam Chamber of Commerce and Industry The survey results to assess provincial competitiveness also show that the number of days for business registration in Quang Nam province has been significantly shortened in recent years.
2015 and 2016 compared to the previous two years. In 2015, the median number of days to
Business registration in Quang Nam is only 3 days, ranking 2nd in the country and the number of days tends to decrease in 2016. In 2017, the median value increased to 5 days and Quang Nam ranked 9th in the country in this indicator. In addition, the survey results also show that the number of waiting days to be granted a Land Use Right Certificate has not changed significantly in the period 2013 - 2016 with the common median value being 30 days and the province's ranking gradually decreased. By 2017, the time to process this procedure had decreased sharply with the median value only half compared to 2016 and Quang Nam province ranked 8th in the country.
3.2.4.4. Land management and infrastructure investment
Although the Quang Nam provincial government has made efforts to attract investment in recent times, land management, especially site clearance in many areas, is facing obstacles. Interviews with leaders and experts from departments and branches show that opinions are unanimous that site clearance is a problem in many localities in the province to attract investors. The Southeast region has been identified by the provincial government as a focus for attracting key investment projects to create momentum for economic development for the entire province, but is still stuck in site clearance and cannot complete status management and issue land use right certificates on time. The main reason for the delay and congestion is due to problems in compensation and resettlement. Reports from units responsible for implementing compensation and resettlement work show that these units have not been able to resolve the situation where people compare compensation land prices, have difficulty in counting, determining the origin and area of land, waiting for support for reclaimed land, support for career conversion, support for planting perennial trees... In addition, many households are also slow in handing over the land, re-encroaching, illegally building in areas where the land has been handed over... (Trinh Dung, 2017a).
Table 3.3. Current status of large industrial parks in Quang Nam province
Acreage | Occupancy rate | Number of investors is active | |
Dien Nam - Dien Ngoc | 390ha | 95% | 63 |
Thuan Yen | 150 hectares | 17.93% | 16 |
Tam Thang 2 | 103ha | Under construction | |
Dong Que Son | 456.2 ha (Phase Section 1: 150 ha) | 30% | 11 |
Port and port logistics Chu Lai Truong Hai | 173 hectares | 58% | 6 |
North Chu Lai | 361.4 ha (Phase Section 1: 176.9 ha) | 50% (Phase 1) | 28 |
Truong Hai Auto Mechanics | 243 ha (Phase 1: 108 ha) | 90% (Phase 1) | 29 |
Tam Anh | 200 ha (Phase 1: 90 ha) | Under construction | |
Tam Thang | 197 hectares | 65% | 9 |
Three Gorges | 417 hectares | 50% | 19 |
Source: Report of the Center for Public Administration and Investment Promotion of Quang Nam province
Regarding investment in infrastructure development in large industrial parks in the province, except for Dien Nam - Dien Ngoc industrial park with a fairly complete infrastructure with an occupancy rate of up to 95% and Truong Hai auto mechanical industrial park in Chu Lai EKZ with an occupancy rate of 90%, other industrial parks have relatively low occupancy rates because the infrastructure of the industrial parks has not been completed. Interview results show that the main reason for this situation is the lack of investment capital. Currently, the infrastructure of industrial parks is mainly invested from the state budget, but the local budget is quite limited, so it depends largely on the support budget from the Central Government. However, the total support capital from the central budget, government bonds, ODA capital and local revenue is retained in
In the past, it has only met about 20% of the capital demand needed to build infrastructure for existing industrial parks. Therefore, Tam Thang Industrial Park is only in the initial investment stage, Tam Anh Industrial Park has had to delay the investment progress, Dong Que Son Industrial Park and Thuan Yen Industrial Park are in a state of unfinished investment, and the investor has even changed many times.
3.2.4.5. Investing in transport, electricity, water and waste treatment infrastructure and completing utility services (electricity, water, banking, etc.)
a. Investment in transport infrastructure, electricity, water and waste treatment
During the period of 2010 - 2015, Quang Nam province focused on mobilizing local resources and support from the central government to invest in building and improving the transport system throughout the province to create a breakthrough in economic development and attract investment. In 2017, the People's Committee of Quang Nam province invested more than 550 billion VND from ODA capital from the Asian Development Bank (ADB) and the local budget to build a road connecting the coastal belt road with the Da Nang - Quang Ngai expressway and National Highway 40B. Each year, the provincial government spends about 400 billion VND to invest in upgrading and improving the system of 130 km of provincial roads. Currently, the road system in the province is basically complete with more than 7,000 km and evenly distributed along the North - South and East - West axes. Since September 2016, Quang Nam Electricity Company has reviewed and shortened the time to process electricity supply procedures and shortened the time to supply electricity to businesses and investors to 10 working days, 8 days less than the regulations of the Provincial People's Committee.
Table 3.4. Transport, electricity, water and waste treatment infrastructure in Industrial Parks
Transport infrastructure | Power supply | Water supply (m3 / day and night) | Wastewater treatment (m3 / day and night) | |
Dien Nam - Dien Ngoc | Complete | Complete | Response demand | 5,000 |
Thuan Yen | Fully invested improve the axis | Low voltage electricity complete | Response current needs | No home yet processor |
Transport infrastructure | Power supply | Water supply (m3 / day and night) | Wastewater treatment (m3 / day and night) | |
main | along the axis main road | in | ||
Tam Thang 2 | Central road system 24m wide, branch roads 17.5m wide | Under construction | 100,000 | 5,000 |
Dong Que Son | Not yet completed, two routes have been constructed according to the planning in phase paragraph 1 | To the foot of the fence | 2,900 | 5,000 |
Chu Lai Port and Logistics Truong Hai | Complete | To the foot of the fence | 8,000 | 4,800 |
North Chu Lai | Complete | To the foot of the line fence | 20,000 | 1,900 |
Automotive Mechanics Truong Hai | Complete | To the foot of the line fence | 8,000 | No home yet processor |
Tam Anh | Under construction | |||
Tam Thang | Complete | To the foot of the line fence | 8,000 | 28,000 |
Three Gorges | Complete | To the foot of the line fence | 8,000 | 4,800 |
Source: Report of the Center for Public Administration and Investment Promotion of Quang Nam province
In large industrial zones, traffic infrastructure is not invested evenly. Dien Nam - Dien Ngoc Industrial Park has been filled up to 95% and the traffic infrastructure is complete and synchronized. Industrial zones inside Chu Lai OEZ include: Chu Lai Truong Hai Port and Port Logistics, Bac Chu Lai, Truong Hai Auto Mechanics, Tam Thang and Tam Hiep have relatively complete traffic infrastructure, suitable for actual project implementation. Newly developed industrial zones (Thuan Yen, Tam Thang 2, Dong Que Son and Tam Anh) have not completed traffic infrastructure, mainly only main roads have been built due to lack of capital.
The electricity and water infrastructure of industrial parks has met the needs of investors. Low-voltage power is supplied to the fence of the project. Water supply capacity meets the needs of existing projects and ensures to meet future needs. Industrial parks that have invested in building wastewater treatment plants are capable of treating wastewater to Class A standards according to regulations of the Ministry of Natural Resources and Environment. Thuan Yen Industrial Park and Truong Hai Automobile Mechanical Industrial Park do not have centralized wastewater treatment plants because the projects operating in these two industrial parks do not generate production wastewater but mainly domestic wastewater. However, the problem of providing clean water for workers is still limited in industrial parks and the Provincial People's Committee is investing in clean water systems for workers.
b. Complete utility services
Currently, major Vietnamese banks and insurance companies are present in Quang Nam, so investors can access banking and insurance services quite conveniently. Since 2015, the Quang Nam Tax Department has signed cooperation agreements with branches of commercial banks operating in the province, namely BIDV, Vietcombank, Military Bank, Agribank and Vietinbank to implement electronic tax payment procedures (Appendix 3.7).
For customs procedures, Quang Nam Customs Department has deployed the application of "Automatic customs clearance system and national single window mechanism" with more than 10 sets of connected administrative procedures . Since the end of 2016 , the time for goods clearance at the Customs Department has been reduced.
Quang Nam Customs for export goods has been reduced to less than 8 days and less than 10 days for import goods to shorten the waiting time of enterprises. In addition, the communication system in the province has been developed stably, meeting the needs of enterprises; the security and order situation is stable. Since 2012, the Central General Hospital of the Central region in Chu Lai Economic Zone has been put into operation and currently has a scale of 1,500 beds with a modern infrastructure system invested from ODA capital from Korea. Statistics from the Department of Culture - Sports and Tourism show that the whole province currently has more than 4,000 international standard hotel rooms to meet the needs of tourists and major events.
In industrial parks, the distance from the industrial parks to the farthest bank branch is only 3 km. Industrial parks located in Chu Lai KKK and Dien Nam - Dien Ngoc Industrial Park can easily access the tax office, customs, bonded warehouse, post office, hospital and police station located inside the Chu Lai KKK and Dien Nam - Dien Ngoc Industrial Park. In particular, investors who need to use warehouses or transport goods by sea can use logistics services at Ky Ha Port with an area of 45,000 m2 , of which the warehouse area is 45,000 m2.
3,000 m2 and 15,000 m2 yard .
Table 3.5. Enterprises' opinions on job placement services
2013 | 2014 | 2015 | 2016 | 2017 | ||
Enterprises that have used gender services job introduction in the province | Rate (%) | 9.5 | 24.4 | 25.2 | 35.9 | 62.2 |
Ranking | 63 | 44 | 44 | 19 | 35 | |
Enterprises intend to continue using job placement services (%) | Rate (%) | 33.3 | 46.7 | 46.7 | 48.6 | 39.1 |
Ranking | 42 | 43 | 47 | 51 | 60 |
Source: Provincial Competitiveness Index Data
Regarding job placement services, provincial competitiveness survey data for the period 2013 - 2017 shows that the rate of enterprises using job placement services in Quang Nam province tends to increase rapidly, but Quang Nam's ranking among 63 provinces and cities nationwide is also unstable. The level of service reuse by enterprises is also not high when less than 50% of enterprises are