Sharing knowledge, experiences on irrigation services and fee
Create date: 11/30/17
On 29/11/2017, the Vietnam Academy for Water Resources in cooperation with the Directorate of Water Resources – Ministry of Agriculture and Rural Development and the Australian Embassy held a workshop on "Sharing knowledge and experience in Vietnam and Australia on irrigation services and fee". The purpose of the workshop is to exchange experience and lessons learnt in implementing the irrigation services and fee, responsibility and methodology.

Attending the workshop on the Ministry of Agriculture and Rural Development was Assoc.Prof. Dr Nguyen Van Tinh - Director General of the Directorate of Water Resources; Assoc. Nguyen Tung Phong - Deputy Director General  of Vietnam Academy for Water Resources; Representatives from Departments of Agriculture and Rural Development; Representatives of the Central Irrigation Project Office; Water Resources University; The Irrigation Management Co., Ltd. managed by the Ministry and other Irrigation companies. The workshop also had the attendance from Ministry of Finance, the Price Management Department of the Enterprise Finance Department, on the Australian side are the Australian Chamber of Commerce representative and international experts.

 

The workshop was chaired by Assoc. Nguyen Van Tinh - Director General of the Directorate of Water Resources; Assoc. Nguyen Tung Phong - Deputy Director General of Vietnam Academy for Water Resources and Mr. John Dore - Australian Embassy.

Mr. John Dore - Australian Embassy spoke

At the workshop participants heard three presentations by Australian experts on the definition of water assets, how to set up revenue requirements for irrigation service provision, stakeholder involvement, the identification of water users, methods of allocating costs in water tariffs; how to evaluate the water price and water fee fairly and the role of government or independent evaluation boards.

Contributing at the workshop, Assoc. Nguyen Tung Phong, Deputy Director General of Vietnam Academy for Water Resources, thanked the Australian experts for sharing their valuable and important experiences interested by MARD in implementing the Law on Irrigation or Law on Hydraulic Works. Dr. Phong commented that the water pricing for different purposes for different uses should be based on different pricing mechanism.

Regarding the construction of water use norms for crops, the price for each type of crop and depreciation, the principle of asset calculation ..., Assoc.Prof.Dr. Nguyen Tung Phong said that the Vietnamese side would need further research and that the Vietnam Academy for Water Resources would be willing to cooperate with the Ministry of Agriculture and Rural Development and Australian experts to explore the next research.

Assoc. Mr. Nguyen Van Tinh - Director General of the Directorate of Water Resources

On behalf of the Ministry of Agriculture and Rural Development, appreciated the three presentations of the three presenters as well as the exchanges of delegates present at the workshop.

Dr. Tinh said that the Law on Hydraulic Works/Irrigation was passed by the National Assembly and came into effect on July 1, 2018. There are many new points, comprehensive changes, many problems in which there are problems it is the water pricing.

The water pricing mentioned in the workshop, there are two main issues that, firstly, in the law, the principles of cost management, operation, maintenance and depreciation, the Ministry of Finance unanimously agreed on the framework of water pricing in general, the specific price level depending on each project decided by the Ministry of Agriculture and Rural Development; Secondly, irrigation services are classified into two types: public irrigation service and other services. Farmers will still be provided with subsidized policies with proper mechanism. The State will collect and support only a part of it. Therefore, the Director General of the Directorate of Water Resources wants the Australian side to support Vietnam’s research on this issue.

In addition, the Director General of the Directorate of Water Resources has also requested Australian side to support the development of water pricing for Vietnam, especially for the Dau Tieng Phuoc Hoa systems and support for two more typical systems, In the Central Highlands (just supplying water to irrigate rice, supplying high value industrial crops such as coffee, pepper, cashew) and systems in the Red River delta (supplying water for irrigation for cultivation).

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