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Home›Macau›Budget Framework Law to reinforce AL’s supervisory power, says Lionel Leong

Budget Framework Law to reinforce AL’s supervisory power, says Lionel Leong

By Catarina Pinto
Tuesday, August 11, 2015
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The Secretary for Economy and Finance, Lionel Leong, has assured lawmakers that the new Budget Framework Law, currently being drafted, will reinforce the Legislative Assembly’s powers to oversee the government’s work, but the budgets of individual public infrastructure projects will not be submitted for AL examination.
A spoken enquiry delivered by lawmaker Ng Kuok Cheong triggered intense debate during yesterday’s AL plenary meeting, as at least 16 lawmakers expressed their views on the subject.
Several legislators asked the government to introduce a new “debate mechanism,” through which the AL would be called on to examine and discuss the government’s foreseen budget for major public infrastructure projects.
Lawmaker Ng recalled that several key public projects, including the LRT, the Macau Dome and the University of Macau’s Hengqin campus, have experienced multiple delays and gone over budget.
He has been calling on the administration to implement a mechanism similar to that used by Hong Kong’s Legislative Council, in which lawmakers are able to examine and approve budgets for key public infrastructure plans.
Ng urged the government to allow for the AL to at least discuss the expected schedules and budget plans for major public works – particularly for multi-annual public works whose budgets exceed MOP40 million.
The Secretary, however, said that budgets for individual public infrastructure projects will not be submitted for AL examination and discussion.
“The government will not – by its own initiative – submit any public works project [budget] to the AL, as this can be discussed and assessed within the AL’s Follow-up Committee on Land and Public Concession Affairs: an entity that is entitled to debate any public infrastructure-related works,” the Secretary replied.
Mr Leong indicated that the new Budget Framework Law will allow for greater transparency, since the government will have to present an annual interim report on budget execution before the end of July.
Furthermore, the Secretary said that another report will be presented to the AL every quarter on the execution of the Public Investment Plan (PIDDA).
The new Budget Framework Law, which lawmakers had been pushing to be reviewed, will undergo public consultation until August 20.  Under the new law, the government’s annual budget, which is already submitted for AL approval, has to be examined and voted on again in case overall expenditure of each budget section increases.
“To increase transparency, when planning the Public Investment Plan and regarding expenditure of multi-annual public projects, the government will have to provide an estimation of the overall project budget; of the project’s calendar; and also an estimation of the budget for each year of the project’s foreseen period,” he explained.
Several lawmakers supported fellow legislator Ng’s request, stating that Macau’s budget supervision mechanism fails to solve delays or budget overrun on key infrastructure projects.
“The current mechanism is bearing fruit. The AL is also responsible for overseeing the government’s work. Some infrastructure projects are worth discussing at the AL. It’s not about interfering [in the public works], but the need to call on the government to explain when there’s a cost overrun,” said lawmaker Au Kam San.
Lawmaker Lei Cheng I added, “There might be plausible reasons behind delays and cost overruns, but these need to be made public, so that lawmakers and the public are well informed.”
Ho Ion Sang said that there’s a lack of transparency when it comes to major public infrastructure projects.
Furthermore, Kwan Tsui Hang recalled that the AL is only required to examine and approve the government’s annual budget, and that sometimes lawmakers are left with little information on particular budgets of public infrastructure projects.
Other legislators, however, expressed a different opinion. Appointed lawmaker Gabriel Tong believes that cost overrun and delays will not be solved if the AL is allowed to examine and approve public works’ budgets.
“Would delays or cost overruns wane if the AL was called on to discuss and assess each public infrastructure project? I believe that what’s crucial is that the population knows their government is taking appropriate measures and stepping up efforts to complete major public works. I don’t see how [discussing budgets at the AL] would speed up public works’ completion,” he said.
For lawmaker Mak Soi Kun, delays have been triggered by new legislation, including noise regulations, which determined new rules on construction time and the level of noise allowed.
Fong Chi Keong, on the other hand, said that the main problem lies in the lack of comprehensive knowledge of professionals working within this field in public departments. Finally, Zheng Anting recalled that there’s a lack of  inspection professionals.
The Secretary pledged to increase the level of information disclosure while working toward finding solutions to problems arising from major public infrastructure. Mr Leong also said that the government is committed to using all adequate means to provide lawmakers with information, and therefore collaborating with the AL’s responsibility to oversee the government’s work.

lack of drivers for public transport

Lawmakers raised criticism over Macau’s traffic woes and public transportation system yesterday. A spoken enquiry delivered by legislator Au Kam San triggered further debate, as lawmakers demanded the government take action. The Secretary for Transport and Public Works, Raimundo do Rosário acknowledged that there’s a lack of young drivers willing to work for public bus operators. Most drivers are aged 50 or above and, if the current trend remains, he said, “We will soon have buses… without drivers.”
Nevertheless, the newly appointed Transport Bureau (DSAT) head, Lam Hin San, said that four new bus routes will soon be added.

200 ‘wifi go’ hotspots by year-end

The Secretary for Transport and Public Works, Raimundo do Rosário, revealed that the government is planning to increase the number of “Wifi Go” hotspots from 164 to 200 by year’s end. This would cover a total of 26 new locations, including additional tourist sites. In a spoken enquiry, lawmaker Si Ka Lon asked whether the authorities would be planning to extend “Wifi Go” services to the entire city. The Secretary said that covering the entirety of Macau is not currently part of the government’s plans. The Secretary added that they are negotiating with telecommunications operators regarding 4G service tariffs to ensure that companies offer competitive and diversified 4G plans.

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