The Dung Quat Bio-Ethanol plant of PetroVietnam Central Biofuels JSC. — VNA/VNS Photo Ngoc Ha

The Government has asked the Ministry of Industry and Trade to take prompt action on five ineffective investment projects, to ensure maximum protection of the State’s capital and assets.

A Government resolution adopted last month shows investments worth thousands of billions of dong, but flawed calculations and predictions on demand, or weak management, caused losses of State capital.

The five projects are the Dinh Vu Polyester Fibre Plant, with an investment worth VND7 trillion (US$311 million) from the Viet Nam Oil and Gas Group’s PetroVietnam Petrochemical and Textile Fiber Company, VND2.2 trillion in the Dung Quat Bio-Ethanol Plant by PetroVietnam Central Biofuels JSC, and Phase 2 of the Thai Nguyen Iron and Steel Corporation’s (TISCO) Production Expansion Project with a capital of VND8 trillion.

The Phuong Nam wood pulp mill in southern Long An Province with an investment of VND3 trillion by the Transport, Communication, Development and Investment Corporation (Tracodi). This project was handed over to Viet Nam Paper Corporation (Vinapaco) in 2009 in accordance with a prime ministerial decision.

The final one is by the Viet Nam Chemical Group’s Ninh Binh Fertiliser Plant which invested VND12 trillion in the Ninh Binh Nitrogenous Fertiliser Plant.

Minister of Industry and Trade Tran Tuan Anh said investments had been made in the five projects since 2008. All had failed to meet deadlines set for completion. — VNS