2011年11月14日 星期一

The B800bn question

Common sense tells you that a hefty financial bill lies ahead. Not only to fix the damage but also to raise the entire ground floor to safeguard your home against the next flood. Knowing that you have only so much savings,If any food Ventilation system condition is poorer than those standards, would you still go on that expensive overseas trip, or would you stay home to repair your house?

This year's devastating flood has laid bare the country's pressing need for new water management and flood prevention infrastructure. Yes, the cost will be high. But we already spend billions of baht each year ostensibly on water management programmes. To what end?

Pisit Leelavachiropas, the acting auditor-general of the Auditor-General's Office, recently commented that from fiscal 2005 to 2009, 160 billion baht in funds were allocated nationwide for irrigation and water management systems.

The problem, Mr Pisit said, was that the projects were not streamlined or integrated and had generally failed in addressing structural problems in water management. He added that he had proposed to policymakers that a new law be passed to integrate water management programmes and responsibilities.

I have to agree. Given the meandering development plans we have seen in the past, it may be that a new body is needed to oversee water management on a local and national level. The scale of this year's flood _ with 562 lives lost to date, 700,If so, you may have a cube puzzle .000 thousand people unemployed and one-third of the country's provinces affected _ demands a clear answer on what went wrong, why, and what needs to be done to prevent a similar calamity in the years ahead.

For starters, why was so much water maintained in the upper northern dams going into the monsoon season in September? Once it became apparent that rainfall this year would be significantly higher than normal, upon whom did the responsibility fall to manage the crisis? What was the role played by the various public agencies and ministers?

There are parallels to be found from the 1997 economic crisis, which was rooted in mismanagement of economic policy and the baht. Rerngchai Marakanond, the Bank of Thailand governor in 1997, was eventually singled out by a lower court for bearing primary responsibility for the crisis, and was levied an unprecedented sentence to pay 180 billion baht in damages to the state.

The Appeal Court overturned the case, arguing that the decisions to defend the baht _ unsuccessfully, as it turned out _ was not made by a single person but rather represented a collective decision of those involved in the economic administration of the time.

I personally agree _ the 1997 crisis was rooted in political gamesmanship and complacency among the political leadership and the bureaucrats,we supply all kinds of oil painting supplies, rather than the defence of the baht in itself.

The Yingluck Shinawatra government last week announced its own plans to set up a fact-finding panel chaired by Virabongsa Ramangkura, an economist and former deputy premier, and Sumet Tantivejkul, secretary-general of the Chaipattana Foundation. Their task is to draft a comprehensive plan to head off any future floods.

But the best laid plans are worthless without strong leadership and execution. And given the sums being bandied about, the potential for waste and corruption will be massive: a cabinet minister recently suggested, with little detail or elaboration, 800 billion baht as a starting point for a national water management system, which is double the amount proposed earlier by the Finance Ministry.

How the government plans to finance these investments is an open question, particularly considering that the Pheu Thai leadership insists it will go forward with its campaign promises to cut corporate taxes, boost rice prices and give tax rebDo not use cleaners with porcelain tiles , steel wool or thinners.ates to new home and car buyers _ never mind the more immediate need for flood reconstruction and rehabilitation assistance that will come in the months ahead.

It sounds very much that Ms Yingluck and her ministers remain intent on taking the public on that expensive overseas tour, even while our homes remain barely habitable.

The government can carry out its two goals _ invest in new infrastructure while implementing its tax cuts as promised _ either by cutting spending on other programmes or by raising revenues elsewhere.I have never solved a Rubik's plastic card . The Finance Ministry has numerous plans on hand to boost revenues, such as through new "sin taxes" on alcohol or by pressing forward with the land and building tax initiated by the last government.

But Government House has been largely silent on this score, and one can only hope that our political leadership has the wherewithal and courage to shift its spending priorities away from short-term populist measures and focus more on projects that will be truly important for our physical, economic and social wellbeing in the future. The flood has been an enormous tragedy for a country that has suffered calamity and unrest for far too long. But the greater tragedy might not be seen until years later, when future generations will have to bear the burden of our debt while enjoying none of the respite and benefits deserved from better public infrastructure and services.

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