Gov't considers giving Vietnam Railways back to Transport Ministry
Prime Minister Nguyen Xuan Phuc has requested for an analysis on a proposal to move Vietnam Railways (VNR) under the umbrella of the Ministry of Transport following legal confusion that left the corporation with no budget for railway maintenance.
Hanoi (VNA) - PrimeMinister Nguyen Xuan Phuc has requested for an analysis on a proposal to moveVietnam Railways (VNR) under the umbrella of the Ministry of Transport following legalconfusion that left the corporation with no budget for railway maintenance.
The Ministry of Transport (MoT)and the Commission for Management of State Capital at Enterprises (CMSC), whichcurrently oversees the VNR, were asked to weigh in on the proposal voiced byexperts and National Assembly deputies.
The MoT itself has repeatedlyasked to take back the VNR, which was handed to the CMSC in September2018, with its latest request submitted to PM Phuc in June last year.
According to the MoT, theministry is responsible for making budget estimates for the VNR to carry outmaintenance work for the ageing national railway network as regulated in theLaw on Railway Transport and relevant decrees.
But if it does so, the ministrywill risk going against the Law on State Budget, in particular Article 49,which clearly states that the MoT is only allowed to prepare the budgetestimate for units under its management.
The VNR, meanwhile, is nolonger under the ministry’s umbrella.
The CMSC is also unable toapprove the budget for the VNR legally. It is only permitted by the railway lawto monitor the use of the State budget for production and business purposes,not for asset management under which maintenance work for the railways iscategorised.
The MoT said that it would bebest to transfer the VNR back to clear up confusion while avoiding thehassles of amending laws and related decrees./.
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Illustrative image (Source: VNA) 
