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Do not let businesses “cut their legs” to fit the mechanism

The controversy during the past time has revealed many limitations, difficulties and obstacles, which do not meet the practical development of the Law on Bidding No. 43/2013/QH13.

It can be seen that the stability of the law is to help the subjects, law makers, managers, and the public grasp what acts are allowed and prohibited in the implementation process. essential and is one of the important attributes. However, that does not mean that the law is the most constant, no change.

In recent times, there have been many reasons for delay in amendment, one of which can be seen that the Law on Bidding is being considered as a mere formality, so the management and putting regulations into practice are not concerned by regulatory authorities.

From here, creating opportunities for the phenomenon of “green army, red army” distorts bidding work, lacks competitiveness. The story of bidding ring and bidding appeared, the bidding became a gimmick, thereby oppressing businesses and taking money from the State.

It is not paying attention, considering the law as just a form of creating opportunities for some actors to take advantage of it to make a cover in some public property drilling and unequal competition in the market. Slow changes also cause the Law on Procurement to return, hindering the implementation of other relevant laws.

Many projects have to be tendered is not necessary

At this time, amending and supplementing this law needs to be concerned, especially when we detect loopholes, the adjustment is extremely necessary. In my opinion, there are a number of issues that need to be prioritized for discussion in the near future.

First of all, in bidding activities, the key point to control is the bid package price, which is also an essential content in the bidding process as regulated by the Law on Bidding and other documents. law Other related regulations are quite specific and strict.

Determining the bid package price requires certain criteria, ensuring that it is correct, complete and accurate, because of the importance and significance of the bid package price. In which, it is necessary to determine the “floor price” with close monitoring and supervision to ensure that the subjects do not use a price lower than the estimate to win the bid. This easily leads to consequences later on, such as bidding packages and many other complicated problems.

Recently, many negative phenomena in bidding activities such as in Thu Thiem land area, .. also have many opinions about the need to set a “ceiling price” in determining the price of the bidding package. However, I think this is not necessary. Because only the floor price is needed to ensure objectivity in determining the bid, but when the bid is pushed up, that is also the law of the market, too deep intervention will not be good for the operation of the market.

The second point concerns the appointment of contractors, in Vietnam’s conditions many projects are not required to be tendered. Even it becomes formal, costly and ineffective. Even some large projects such as Ring Road 3, if waiting for the bidding, takes time. But when specifying the project is done relatively well and relatively fast.

Viewpoint - Amendment of the Law on Bidding: Do not let businesses

Many bidding projects will cause waste and loss of time (Photo: Huu Thang).

However, the important issue is that the appointment of contractors needs to have adequate and strict conditions, so that they become a legal framework. Create standards for the following projects as a basis for implementation. If the management agency investigates, there are also grounds for explanation.

In fact, we appoint contractors because there are no bidders or because of the urgency of time, so we have to appoint, even because the superior agency appoints them so there is no standard, no specific conditions.

Even if there is no text to specify, when returning to check, monitoring will become a big problem. There are regulations and targets that need to be focused, later when we develop issues of transport infrastructure, socio-economic infrastructure in remote areas, difficult economic areas, it is necessary to publicize, transparent, clear.

Thin capacity can’t win big projects

Talking about the Law on Bidding that needs to be changed is also related to the participants in the bidding. Entities participating in bidding must have minimum conditions, must have principles according to each industry, each field. Of course, it is not possible to concretize the law, but there should be directional regulations, decrees, and sub-law documents guiding the type of business that can participate in the bidding, the capacity of the enterprise, the experience of the auction. contractor,…

If we still let the local, the industry set its own standards like the past time, it will be very inadequate. Many projects have this standard tomorrow, even “cutting your feet to fit your shoes” to try to win the bid for a backyard business is very dangerous.

Along with that, the time of bidding, announcement of results, and fulfillment of winning obligations must also be reviewed Star for both ventilation, but also suitable. This is difficult but must be calculated to do.

As in the land auction, after the time of determining the results 7-10 days, within 30-90 days from the date the tax agency signs the notice, the auction winner must pay the land use fee. But many contractors take advantage of that time to circumvent the law.

Opinion - Amendment of the Law on Bidding: Do not let enterprises

Many projects are behind schedule because of problems in bidding (Photo: Huu Thang).

Regarding the financial capacity of contractors, a subsidiary with a capital of a few thousand billion but winning a project of tens of thousands of billion, this is not okay.

It is necessary to be transparent between the group and its subsidiaries. Sub-enterprises with thin financial capacity will also reflect their limited vision and inability to shoulder a huge project, from which there will be no appropriate thinking and organization. Even if there is a corporation behind to support us, we still need to consider carefully in the selection process.

The lack of transparency and the lack of publicity over the past time have made many capable domestic and foreign contractors immediately stop participating in many large projects and projects in Vietnam, causing serious damage to the environment. big loss.

Not only domestic enterprises are subject to inequality but even foreign enterprises are affected despite having the capacity, technology and techniques to implement the project. Although foreign enterprises have priority, they cannot understand the “game” like domestic enterprises. Many key traffic projects, they only come to buy documents and then quit, not participating in the bidding. This clearly shows that we have many problems not only for Bidding Law the law enforcement process.

In the coming time, I hope that the amendment will help the Law on Bidding both ensure the basic principles for the bidding activities of Vietnamese enterprises in particular and international practices in general. More importantly, it helps small and medium-sized enterprises to participate fully and stably in bidding, creating favorable conditions for domestic contractors. From there, it supports the conditions for businesses to grow up and be able to carry out big projects for the country.

Assoc.Prof.Dr Dinh Trong Thinh – Economist, senior lecturer at Academy of Finance

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