VietNamNet Bridge – State agencies at central and local levels spent nearly VND2.76 trillion buying around 2,391 automobiles last year, according to a government report.

Investment in nearly 32,000 state cars is the biggest waste

Illustrative image. (Source: Internet)

Central State bodies bought 973 cars for VND956 billion while local authorities acquired 1,418 others worth nearly VND1.8 trillion, says the report presented to the NA by Minister of Planning and Investment Bui Quang Vinh on behalf of the Prime Minister.

There are currently more than 34,565 cars owned by State agencies nationwide with a total cost of nearly VND18.3 trillion. However, their total remaining value is only VND5.8 trillion, or 32.25% of the total cost, says the report.

According to the report, most State cars have been used for more than half of the time limit for a car, which is 10 years, with a depreciation rate of 10% per year. Over 12,600 cars have been used beyond the specified time, 36.69% of the total.

Among them, 151 units are used to chauffeur senior State officials, making up 15% of the total autos serving this purpose; some 9,600 are for general use, nearly 41%; and 2,920 are specialized vehicles, 29%.

The latest number of State cars used in excess of the specified time is higher than the figure in end-2011, nearly 2,000 units, although some 2,000 cars were disposed in 2012.

State cars are classified into three groups depending on whether they serve eligible State officials, general purposes or special purposes.

Now there are 996 cars used to transport high-ranking State officials, accounting for 3% of the total; over 23,400 general-purpose cars, 68%; and 10,097 specialized vehicles, 29%.

The rampant use of State cars for personal purposes has stoked public concern. There has been a proposal for adding a fixed amount of money to wages of officials to cover their own transport costs, instead of using State autos, to ease the State budget burden. But it has not been approved.

Source: SGT