Decision No. 87/2006/QD-TTg Approving the Master Plan for Socio-Economic Development of Lai Chau Province for the Period 2006-2020

Pursuant to …;

APPROVE THE MASTER PLAN FOR ECONOMIC AND SOCIAL DEVELOPMENT OF LAI CHAU PROVINCE PERIOD 2006 – 2020

PERIOD 2006 – 2020

_________________

PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;

CONSIDERING the proposal of the People's Committee of Lai Chau Province at Document No. 578/TTr-UBND dated October 12, 2005, Document No. 10/UBND-TH dated January 9, 2006, and the Ministry of Planning and Investment at Circular No. 1532/BKH/TĐ&GSĐT dated March 10, 2006 regarding the Master Plan for Economic and Social Development of Lai Chau Province Period 2006 – 2020,

Pursuant to …;

Article 1. APPROVE the Master Plan for Economic and Social Development of Lai Chau Province Period 2006 – 2020 with the main contents as follows:

I. DEVELOPMENT VIEWS

Maximize the exploitation of internal resources, combined with support from the central government and the whole country, accelerate economic growth, gradually narrow the gap in development levels compared to other provinces in the region, and be consistent with the process of international economic integration.

Concentrate all resources on building economic and social infrastructure; implement structural transformation of the economy to develop commodity production; maximize the advantages of border gate economics; prioritize hydropower, minerals, cement, paper pulp, tea, rubber, turmeric, medicinal herbs, large livestock breeding as key and long-term commodity products. Organize well the relocation of population. Closely combine economic development with environmental protection, care for and protect the headwater forests of the Da River watershed to safeguard water sources for major national hydropower projects.

Economic development must be harmoniously combined with addressing urgent social issues such as poverty alleviation, stable settlement, improving public awareness, training cadres, especially grassroots cadres, ethnic minority cadres, female cadres to effectively implement ethnic policies, assist ethnic minorities to stabilize their lives, escape extremely difficult conditions, gradually improve material and spiritual living standards for the people.

Link the economic and social development goals of the province with the implementation of the national strategic tasks on its territory: build a strong political system, build and consolidate national defense and security, build a united front among ethnic groups in the province, firmly defend national independence, sovereignty, and territorial integrity, combined with building a peaceful, friendly, cooperative, and long-term stable border.

II. DEVELOPMENT OBJECTIVES

1. General Objective

Accelerate the pace of economic development; significantly improve the economic and social infrastructure system; leverage the advantages of border gates, mineral resources, hydropower, land, and climate to develop various sectors of the economy; focus on poverty alleviation, stable settlement, complete basic stable settlement; preserve and develop the cultural identity of ethnic groups, improve the material and spiritual living standards of the people; ensure national defense and security, political stability, and firmly defend national border sovereignty.

During the period 2006 – 2010, accelerate the pace of economic growth, bring Lai Chau out of extremely difficult conditions, shorten the development gap compared to other provinces in the region and nationwide. By 2020, escape the status of a less developed province.

2. ORIENTATION FOR DEVELOPMENT OF SECTORS AND FIELDS

a) ECONOMIC SECTORS AND FIELDS

- Regarding the economy: by 2010, the average GDP per capita (current prices) reaches 7 million VND (double that of 2005, equivalent to 45% of the national average), by 2020 reaching 24.8 million VND (equivalent to 50-65% of the national average).

Structural transformation of the economy towards increasing the proportion of industry - construction, services, reducing the value of agriculture and forestry:

Increase local budget revenue, striving to reach over 165 billion VND by 2010, and over 500 billion VND by 2020.

Rapidly increase the value of exported goods, by 2010, the total value of locally produced exported goods reaches 10 million USD/year, by 2020 reaching over 30 million USD/year.

- Regarding agriculture and rural development.

Strengthen the structural transformation within the agricultural sector, select some crops and animals with advantages to concentrate on developing, shifting to commodity production, linked with processing industries and large domestic and export markets.

+ Crop cultivation:

Develop food production: strive to ensure food security within the locality. Intensify farming, increase cropping intensity, widely apply advanced seed technology and cultivation techniques to increase productivity in areas with favorable conditions. By 2010, the total food production will reach over 150,000 tons, with an average per capita of about 400 kg/person/year, by 2020 reaching over 165,000 tons, with an average per capita of about 370 kg/person/year.

Develop tea production towards intensive farming to increase productivity, by 2010, the tea area will reach 4,500 hectares, including new planting of 500 hectares, by 2020 reaching 5,500 hectares, including 4,500 hectares of commercial tea, new planting of rubber trees in border villages with an area of 3,000-5,000 hectares. Develop turmeric, by 2010 reaching 3,000 hectares, including new planting of 1,000 hectares, by 2020 reaching 5,000 hectares. Encourage the development of short-cycle industrial crops suitable for the province's conditions such as cotton, peanuts, soybeans... to improve land use efficiency and improve residents' livelihoods. Study organizing procurement and sales networks for state-owned trade products.

+ Livestock breeding: supply high-quality breeding stock, veterinary work, mobilize ethnic groups to change traditional breeding practices. The livestock herd growth rate throughout the period exceeds 6%, specifically during 2006-2010 reaching 6-7%. Increase the number of cattle and buffalo herds, by 2010: 111,500 cattle, 20,700 buffalo, annually supplying 8-10 thousand tons of fresh beef and buffalo meat to the market.

Develop aquaculture, utilize existing water surface areas, expand ponds and lakes; move towards concentrated and large-scale farming when the Son La, Lai Chau, Huoi Quang, Ban Chat... hydropower reservoirs form.

+ Forestry

Protecting and developing forest capital, striving to increase forest coverage from 37.5% in 2005 to over 45% by 2010 and over 60% by 2020 to enhance the protective function of upstream forests and regulate water sources for hydroelectric projects. Selecting tree species that both serve protective functions and achieve high economic efficiency. Combining new planting with regeneration and conservation of existing forests to create raw material bases for the development of paper, particleboard, and household furniture industries. Preserving primary forest areas and establishing natural conservation zones on the southwestern slopes of the Hoang Lien Son range.

Implement appropriate investment policies for particularly difficult mountainous and border communes lacking agricultural land, transitioning to livelihoods based on rotational forest protection and conservation.

Strive to plant 10,000 hectares of new forests from 2006 to 2010, and 30,000 hectares from 2011 to 2020. Encircle and regenerate an additional 200,000 hectares of forest, focusing mainly in Muong Te and Sin Ho districts.

+ Rural construction

Develop planning for resettlement and stable settlement of ethnic minorities, prioritizing areas with insufficient residential and agricultural land, particularly difficult living conditions, high landslide risks, and border regions. Alongside the construction of irrigation works and resettlement sites, during the period 2006-2020, reclaim at least 5,000 hectares of paddy fields and terraced fields, with 3,000 hectares reclaimed from 2006 to 2010.

Vigorously construct rural infrastructure: electricity, transportation roads, potable water, irrigation systems, school systems, health stations...

Develop crafts and shift the rural economy's structure, forming additional craft villages and farmsteads in agriculture and forestry.

- Industry and Construction

Focus on developing advantageous industries such as hydropower, processing of agricultural and forest products, production of building materials, mining, traditional small-scale handicrafts, and industrial facilities serving the resettlement program of hydropower projects.

+ Energy industry (hydropower).

Orient towards constructing hydropower plants in Lai Chau, Ban Chat, and Huoi Quang. Survey, plan, and develop mechanisms and policies to attract businesses to invest in medium and small hydropower projects.

+ Mining industry.

Encourage enterprises to conduct exploration and investment in the exploitation and processing of gold, rare earth, copper, lead, zinc mines, and small mines within the region.

+ Building materials production industry.

Orient towards forming the Muong So industrial zone (cement production, mineral processing, and building materials production) and some clusters. Study and organize the exploitation and processing of black, colored, and white stones for construction and export. Exploit sand, gravel, and pebbles to meet construction needs within the province. Construct brick and cement factories to meet domestic construction and hydropower project needs.

+ Processing industry of agricultural and forest products.

Enhance the production and business efficiency of the Lai Chau Paper Factory; orient towards increasing the capacity and quality of tea factories and establishing processing facilities in concentrated production areas.

+ Other industries.

Orient towards developing hand tools manufacturing suitable for local labor practices and encourage private investment in mechanical workshops in Lai Chau city.

- Commerce and Services.

Accelerate the development of service sectors to become a high proportion in the provincial GDP.

Develop a comprehensive system of commercial centers in cities, towns, and commune centers, prioritizing the construction of markets in border areas. Ensure the supply of essential goods for highland residents and stabilize market prices.

Develop various forms of tourism including resort, ecological, and cultural tourism, linking tourism development with the preservation and promotion of ethnic culture, making tourism one of the important sectors driving economic and social development, implementing poverty reduction policies, maintaining national security and social order. Tourism activities focus on exploiting the potential of the Hoang Lien Son pass, Tien Son Cave, Tien Binh hot spring, Tac Tin waterfall, Dong Pao lake, and connecting with restaurant and hotel development in Tam Duong town; developing Lai Chau city into a provincial tourism center; organizing good tour routes, especially international travel services to attract Chinese tourists through Ma Lu Thang border gate; investing in developing Sin Ho plateau into a resort and research destination for medicinal herbs, flowers, fruit trees, and distinctive ethnic cultures; investing in restoring and building the Le Loi monument complex, Van Long pass scenic area connected with ecological tourism around Son La and Lai Chau hydropower reservoirs and ethnic cultures of Muong Te district.

Transportation services: develop cargo and passenger transport services on inter-provincial and intra-provincial routes, and aim for international combined transport when conditions permit, utilizing inland waterway routes when hydropower reservoirs are formed.

b) Infrastructure Development.

- Transportation

By 2006, 100% of communes had motorable roads to their centers, by 2010, 70%, and by 2020, 100% of rural roads were accessible year-round.

Emphasize the construction of bypasses along National Highway 4D through Lai Chau city; upgrading sections of National Highway 4D passing through the city and towns; Phase II of National Highway 32; bypasses for flood-prone sections of National Highway 12, Provincial Road 127, and National Highway 279. Prioritize the early construction of border road rings. Construct interconnecting roads, upgrade provincial and district roads to connect with the national highway system. Continue investing in rural roads to commune centers without motorable roads. Renovate, upgrade, and ensure year-round accessibility of rural roads.

For inland waterway transportation and port systems: conduct surveys and construct several inland waterway ports on the Da River such as Pac Ma Port, Polach Port, Nam Hằng Port, Chan Nu Port, Pa Ha Port, etc., to develop inland waterway transportation when large hydropower projects in the area are constructed.

- Water resources management.

Prioritize investment in water resources management to gradually meet the demand for irrigation water in agriculture and industrial and domestic water supply.

- Domestic water supply and electricity.

+ Develop the domestic water supply system: invest in upgrading and constructing new clean water supply systems for the city, towns, and industrial zones. Continue to invest in building domestic water supply facilities for rural areas, prioritizing investments first for highland villages and areas with difficulties in accessing domestic water. By 2010, over 80% of urban residents and 30% of rural residents will have access to clean water, and by 2020, the demand for clean water for all people will be basically met.

+ Develop the power grid: by 2010, 100% of communes will have access to national power grids, and 80% of households will be using it. By 2020, the demand for electricity for all people will be basically resolved.

- Urban system development.

During the period from 2006 to 2010, focus on investing in building new urban areas: Lai Châu City, Phong Tho Town, Tam Duong Town, Ma Lut Hang Border Gate.

During the period from 2011 to 2020, continue to renovate and improve existing towns: Than Uyen, Tan Thuoc, Sin Ho, Muong Te; build new towns: Nam Tam (lowland Sin Ho), Houoi Luong (Muong Te) in conjunction with relocation and resettlement for hydropower projects and adjustment of administrative boundaries for some districts. Upgrade Lai Chau City to a third-class city and promote it to a city by 2015.

c) Social fields.

- Education and training.

Consolidate and maintain the results of universal primary education and literacy, achieving the standard of universal primary education for children of appropriate age by 2008; complete universal lower secondary education by 2009; complete universal upper secondary education by 2015. Each year, the number of students enrolled increases by 4.47%, by 2010 there will be: 20,087 students in kindergarten, 49,994 students in primary school, 27,610 students in lower secondary school, 10,611 students in upper secondary school.

Orient towards expanding the scale of boarding schools for ethnic minorities, developing dormitory schools at the centers of clusters of villages and village centers. Accelerate the implementation of the program to solidify school buildings, expand and construct new middle and high schools to meet the requirements of universal lower secondary education during the period from 2006 to 2010 and universal upper secondary education during the period from 2011 to 2015. Strengthen equipment for teaching and learning according to the reformed general education curriculum. Invest in building housing for teachers and lecturers, especially those in remote, deep, and border areas.

Orient towards preparing conditions to soon establish training institutions such as community colleges, provincial political schools, vocational schools, provincial military schools, and political training centers in counties and cities... to train cadres for grassroots levels, particularly ethnic minority cadres, female cadres, and increase the proportion of trained labor. Increase the proportion of trained labor, reaching 25% by 2010 and over 45% by 2020.

- Health care and public health.

By 2010, 50% of communes will have health stations meeting national standards as stipulated by the Ministry of Health; strive to reach 5 doctors per 10,000 people, and 50% of communes will have doctors. By 2020, over 90% of commune health stations will meet national standards, and there will be 10 doctors per 10,000 people.

Consolidate and expand the network of health facilities and public health services. Basically control various types of diseases: malaria, tuberculosis, effectively prevent HIV/AIDS. Reduce the rate of malnutrition among children under five years old to 20% by 2010, reduce the rate of low birth weight infants below 5%, ensuring that over 96% of children are fully vaccinated. Expand health insurance and support forms for ethnic minorities in remote and deep areas to ensure their health care.

Orient towards investing in building provincial general hospitals, Phong Tho General Hospital, Tam Duong District General Hospital; upgrade and repair Sin Ho District General Hospital and Muong Te District General Hospital. Construct new social disease prevention centers and Lai Chau City Health Centers. Accelerate the upgrading of commune health stations to meet the prescribed standards.

- Population development.

Implement family planning programs and reproductive health programs to improve population quality. The average annual population growth rate during the period from 2006 to 2010 will reach 2.2%; of which, natural growth is 1.8%, mechanical growth is 0.4%, and the population size will be 368,000 people by 2010 and 445,000 people by 2020.

Encourage residents from other regions to settle down and build new hometowns according to the province's planning and plans, including ethnic groups from southern provinces and non-agricultural households from the Son La reservoir area of Dien Bien and Son La provinces... to create additional human resources and develop the economy and society of the province.

- Culture and Information.

Enhance the level of cultural and information enjoyment; preserve and promote the cultural values of ethnic minorities while combating backward customs that hinder development. All communes will have telephones and cultural postal service points to provide newspapers, books, and information to the people. Orient towards investing in building libraries, cultural centers, museums at the provincial level; libraries, cultural houses at the district level, and cultural houses at the commune level. Renovate and restore historical and cultural relics, preserve cultural heritage in the reservoir area. Build village and hamlet cultural systems suitable for the traditions of each ethnic group. Annually, 100% of villages, hamlets, and neighborhoods will register to build cultural units, with at least 50% and over 70% of hamlets achieving the title of cultural village by 2020.

Promote widespread activities in mass physical training and sports, with particular attention to traditional ethnic sports. Gradually build and promote high-performance sports disciplines, striving for medals in regional and national multi-ethnic sports congresses. Orient the construction and development of sports training and competition facilities in provincial capitals and district townships; every commune and ward shall have land reserved for physical training and sports activities.

Construct a provincial television and radio broadcasting station to expand coverage areas and develop television receiving stations in villages with electricity conditions.

- Information: By 2010, 100% of communes will have internet access at the commune center; 100% of towns will be covered by mobile phone signals. By 2020, basic needs for information technology usage among all citizens will be addressed. In 2010, over 90% of households will have access to radio broadcasts, and over 80% will have access to television broadcasts. Increase broadcasting time in ethnic languages. By 2020, basic needs for listening and viewing among all citizens will be met. Modernize the postal and telecommunications network throughout the province, including telephone services from the province to communes.

- On poverty alleviation, reducing poverty, and employment generation

By 2010, eliminate households in extreme poverty, reduce the poverty rate below 30% (according to new poverty standards), and below 10% by 2020. Focus resources on poverty alleviation for highland communes, border areas, and particularly difficult ethnic minority groups (Máng, La Hù, Khơ Mú, Cống, Kháng...). Provide drug rehabilitation for 1,000 individuals annually. By 2020, fundamentally eradicate the problem of drug addiction.

Annually create additional job opportunities for 4,000 to 4,500 people. Accelerate the restructuring of the labor force to address employment issues and increase social labor productivity towards industrialization and modernization. Increase rural labor time participation to 78-80%, and reduce urban unemployment rates below 3%. Improve labor quality to enhance economic productivity and efficiency.

d) Regarding the organization of relocation and resettlement for large national hydropower projects within the jurisdiction.

During the period from 2006 to 2012, organize resettlement for approximately 9,000 households located in the inundation area of the Son La Hydropower Project and other hydropower projects totaling 7,000 households. In the short term, focus on effectively implementing the relocation and resettlement work for the Son La Hydropower Project according to the approved planning by the Prime Minister. Simultaneously, prepare conditions for organizing resettlement to serve the construction of hydropower projects such as Ban Chat, Huoi Quang, and Lai Chau.

đ) Planning for spatial and territorial development.

Orientation for the development of three economic zones as follows:

- The economic driving zone along National Highway 32 and National Highway 4D (including Lai Chau city, Phong Tho district, Tam Dao district, and Than Uyen district): Develop trade and service industries, border gate economy, production of commercial agriculture and forestry products, and processing industry with key products being tea, rice, cardamom, beef, milk; exploitation and processing of mineral resources and building materials...

- The ecological agricultural and forestry economic zone along the Da River (including Muong Te district and lowland communes of Sin Ho district): Preserve existing natural forest areas, strongly develop protective forests combined with livestock breeding, medicinal plants cultivation; exploit the transportation advantages of river waterways and national highways 12 and provincial road 127 to develop transport services, eco-tourism, and forestry product processing industry. Develop plans for aquaculture, fishing, and aquatic product processing, effectively utilizing surface water areas of hydropower reservoirs.

The ecological tourism, cultural ethnic, and high-quality agricultural economic zone on the Sin Ho plateau: Develop this region into an eco-tourism, cultural tourism, and rest area, linked with the development of high-quality agriculture, medicinal plant cultivation, flowers, and temperate fruit trees.

e) Adjustment of administrative boundaries.

During the period from 2006 to 2010, research the division of communes with areas larger than 100 km², aiming to stabilize at a scale of 130 communes, wards, and towns.²towards stability at the scale of 130 communes, wards, and towns.

During the period from 2011 to 2015, research the division and adjustment of administrative boundaries of Muong Te, Sin Ho, and Than Uyen districts to stabilize at a scale of 7 districts and 1 city.

g) Construction and gradual modernization of office buildings for Party, mass organizations, and state agencies.

During the period from 2006 to 2010, prioritize the construction of office systems for Party, mass organizations, and state agencies in Lai Chau city, and county-level agencies in Phong Tho town and Tam Dao town; orient the construction of solid headquarters for communes that have not yet been newly built. During the period from 2011 to 2020, continue to renovate, upgrade, and expand offices that have deteriorated, with working space reaching less than 70% of the standard and prescribed usage regulations for office space.

III. IMPLEMENTATION MEASURES:

- Review, adjust, and supplement sectoral and regional planning; improve the quality of construction planning... serving as a basis for socio-economic development, ensuring national defense and security. Properly carry out investment planning and preparation work.

- Develop human resources, prioritizing local cadre training, female cadres, ethnic minority cadres, and using village elders and village chiefs to mobilize the people to implement policies and guidelines of the Party and State well. Implement special incentive policies for cadres working in border communes and particularly difficult communes. Establish a Provincial Vocational Training Center to improve the quality of trained workers, especially in small-scale industries, agricultural and forestry product processing. Strengthen cadres in education, health, border guards, agricultural extension workers, forestry extension workers, and fisheries extension workers.

- Build mechanisms and policies to attract investment and trade promotion programs...

- Vigorously apply scientific and technological progress. Implement incentive policies to attract talent.

Mobilize resources for investment:

- The central and provincial budget mainly allocates for economic and social infrastructure investment (meeting approximately 25-30% of capital needs). To enhance state budget investment funds, it is necessary to increase the internal accumulation rate from the provincial economy, maintain high growth rates, and implement measures to encourage savings for development investment. Call on the central government to invest in major infrastructure projects such as transportation networks, power supply, irrigation...

- Capital investment from enterprises and the public is estimated to account for about 40-45% of the total investment capital structure. To increase this source of capital, administrative reforms must be implemented, creating a more open environment for investment, and implementing measures to encourage both the public and enterprises to invest in construction and expanding production and business activities within the province.

- The demand for investment capital in the province during the 2006-2020 period is very large compared to available resources and the province's balancing capacity. Therefore, Lai Chau Province needs to propose funding mobilization plans for each phase, prioritize and select projects, and develop specific and reasonable solutions to attract investment, ensuring the achievement of set goals.

- Strengthen and expand production relations according to household economy models, farm economy, cooperative economy. Enhance the role of state-owned economy to ensure the supply of consumer goods, input factors, and the collection and consumption of agricultural and forestry products for farmers. Accelerate the pace of shareholding and ownership transformation of state-owned enterprises under provincial management. Encourage and create conditions for private enterprises and cooperatives in production and processing of agricultural and forestry products.

- Review, supplement, and issue mechanisms and policies for development.

- Enhance management, exploitation, and effective use of natural resources while protecting the environment.

- Consolidate national defense and security.

- Build political systems and cadres at all levels to meet requirements and tasks.

IV. PRIORITY PROGRAMS AND PROJECTS FOR INVESTIGATION AND INVESTMENT STUDY

- Priority development programs: (1) Poverty eradication program; (2) Economic and social infrastructure development program; (3) Resettlement program for Son La Hydropower and other hydropower projects; (4) Border economic zone development program; (5) Human resource training and improvement of the quality of the political system program; (6) National defense and security assurance program.

- Priority projects for investigation and investment study (details in the attached annex).

Article 2. The approved planning will serve as the basis for the establishment, approval, and implementation of specialized planning (construction planning, land use planning, and other specialized planning), and investment projects within the province as stipulated.

Article 3. The People's Committee of Lai Chau Province is tasked with establishing and approving, and implementing according to regulations the following contents based on the targets, tasks, and development directions of the province outlined in the approved planning report; coordinating with relevant ministries and sectors to direct these activities.

- Urban system development planning, residential point planning, construction planning, land use planning, industry and sector development planning to ensure comprehensive and synchronized development.

- Study and formulate or submit to competent state agencies for issuance (if beyond authority) certain mechanisms and policies suitable for the development requirements of the province in each stage to attract and mobilize resources to implement the planning.

Article 4. Relevant ministries and sectors are tasked with supporting the People's Committee of Lai Chau Province in researching and formulating the aforementioned planning; simultaneously studying and formulating and submitting to competent state agencies for issuance certain mechanisms and policies suitable for the economic and social development requirements of Lai Chau Province in each stage to effectively mobilize and utilize resources, encourage and attract investment to ensure the successful implementation of the targets, tasks, and development directions of the province outlined in the comprehensive planning report. Accelerate investment and implementation of projects and works of regional scale and importance to the province's development that have been decided upon for investment. Study, adjust, and supplement industry development planning and investment plans for related projects expected to be invested as outlined in the planning report.

Article 5. This Decision shall take effect fifteen days after its publication in the Official Gazette.

Article 6. The Chairman of the People's Committee of Lai Chau Province and the Ministers, Heads of Ministries equivalent to Ministries, and Heads of Government Agencies are responsible for enforcing this Decision./.