3:26:39 PM | 7/8/2005
Vietnam Determined to Adjust Gas Business Management
The management of gas business would be adjusted, said Phan The Rue, deputy minister of trade, at a meeting between the Ministry of Trade and authorised agencies on the management of gas business in the Vietnamese market, which was held on May 23, 2005. The gas business has recently shown instability, causing danger to consumers and losses to traders. Statistics from the Hanoi Fire Fighting Police, each year Hanoi sees 15 accidents with severe damage. In Ho Chi Minh City, since 2004, the rate of accidents caused by gas stands at 53.3 per cent for people’s houses, 26.6 per cent for food junctions and restaurants, and 13.3 per cent of gas selling agents. Accidents have killed and injured a few people. Before the alarming situation gets worse, ministries and agencies in Vietnam are seeking measures to stabilise the market.
Dangerous situation
Nguyen Duc Thinh, head of the Market Management Department and representative from the Steering Board N0 127, said that the distribution of gas selling shops in the market remained unsuitable as they were located near populated areas. Many shops put their gas cylinders on the edge of roads to attract customers. In case of explosion, the damage would be very severe.
Furthermore, some establishments illegally extract gas to cylinders under trademarks of famous traders such as VT Gas, Petrolimex, Saigon Petro, Petro Vietnam, Shell Gas, and Total Gas. This has produced a negative impact on business activities of prestigious traders.
Some establishments even buy cylinders without a clear origin in the market. They treat customers and authorised agencies by cutting handles with codes of suppliers.
Establishments which illegally extract gas can not meet safety requirements. They often buy large cylinders, weighing 45, 48 and 50 kilograms, and extract to 12-13 kilogram cylinders of prestigious traders, who have to invested a lot of money in buying modern equipment with secured cylinders, paying tax and buying insurance services. Prestigious traders face difficulties while illegal traders earn big profits with their tricks.
Concrete legal framework needed
Rue said that a concrete legal framework, consisting of decrees and circulars, was needed to stabilise the existing market. Ministries and agencies should co-operate with localities to guide gas traders to reorganise the distribution system. Any violation of regulations should be seriously punished.
Thinh added that localities should examine all gas businesses and traders from now to the end of 2005. They should be determined to withdraw licences of establishments which do not observe the regulations on gas production and trading. The examination of gas extracting establishments should be promoted.
In the coming time, the ministries of trade, public security and science and technology, will issue regulations on the use of equipment and the scale of gas extracting establishments. Vietnam is determined to prevent enterprises from importing old and outdated equipment for gas production and extraction.
Vietnamese
