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State Inspection Authority cancels checks on 1,796 development projects

The State Inspection Authority has suggested solutions for 1,796 development projects that it said did not require further inspection.
Addressing the National Assembly this week, the President of the State Inspection Authority (SAI), Dr Khamphanh Phommathat, said 1,796 development projects did not require further inspection because the main goal of checks by the State Inspection Authority is to advance negotiations to reduce project costs.

President of the State Inspection Authority, Dr Khamphanh Phommathat, addresses the National Assembly.

But, in reality, it is not possible to lower the cost of these projects and it is not worth the cost of their inspection, so it should be the responsibility of the ministries, organisations, provinces and Vientiane that own each project to make payment plans according to the tasks that are actually completed.
Dr Khamphanh suggested that adjustments to some projects be made, such as subtracting the unrealised value from the total value of certain projects, collecting the money overpaid to the company and various taxes that are still owed to the state, and submitting a document proposing the value of the project outside of the plan that has been verified by the actual value and then let the council approve the plan to continue paying the construction contractor.
The State Inspection Agency will continue to investigate the responsibility of the project owner who has paid the company more than the cost of the actual construction work according to the pending National Assembly Resolution.
Due to the fact that the payment has lasted for many years, coupled with the current economic situation, the more it affects business operators, the more it is necessary to follow the value agreed in the contract as the basis for payment, not to negotiate to reduce the price of the project further.
Dr Khamphanh said the State Inspection Authority has carried out the 2023 work plan proactively and has been successful in many areas, such as inspecting the collection of revenue from mineral exploration and export projects, which has resulted in taxes of 548 billion kip and US$97 million being paid to the government.
The SAI has also investigated the payment of compensation to people who suffered losses following the collapse of the Xepien-Xenamnoy dam in Sanamxay district, Attapeu province, and found that this had not met targets.
Checks were also made on compensation paid to households displaced by construction of the Laos-China Railway, with 1.552 billion kip having been paid to 6,073 families.
The State Inspection Authority has paid attention to the implementation of the mid-term activity plan of the 5-year plan for 2021-2025 and has been successful in many ways.
The 5-year plan has been divided up into plans for 2021, 2022 and 2023, whose targets have largely been fulfilled.


By Times Reporters
 (Latest Update November 9, 2023)

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