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VIETNAM ACADEMY OF SOCIAL SCIENCES GRADUATE ACADEMY OF SOCIAL SCIENCES VU THI LA “DEVELOPMENT MANAGEMENT OF INDUSTRIAL PARKS IN HUNG YEN PROVINCE TOWARDS SUSTAINABILITY” Major : Economic Management Code : 9340410 ECONOMICS DOCTORAL THESIS SUMMARY HANOI - 2019 THE THESIS IS COMPLETED AT GRADUATE ACADEMY OF SOCIAL SCIENCES Scientific Advisors: Associate Professor, PhD: Cu Chi Loi Associate Professor, PhD: Vu Thanh Son Opponency 1: Professor, PhD: Nguyen Quang Thai Opponency 2: Associate Professor, PhD: Nguyen Duc Tuan Opponency 3: Associate Professor, PhD: Phi Manh Hong The thesis is protected at Doctoral Thesis Appraisal Council at Graduate Academy of Social Sciences At time, date month year 201 The Thesis can be referred at: - National Library of Vietnam - Library at Graduate Academy of Social Sciences PREFACE The neccessity of the thesis Industrial parks (IPs) and export processing zones are formed and developed in association with the renovation and opening of the national economy, orginating from proper guidelines of the Party and the Government in building a breakthrough model for investment attraction, industrial growth and economic restructuring towards industrialization and modernization Industrial parks and export processing zones have mobilized a big amount of investment capital from domestic and foreign economic sectors for nearly 30 years of renovation Foreign direct investment (FDI) into industrial parks and export processing zones accounts for 3540% out of total registered investment capital increase of the whole country; particularly, the industrial sector presents for approximately 80% every year IPs and export processing zones have also created a relatively synchronous and long-term infrastructure system contributing modernization of the infrastructure system all over the country Especially, IPs and EPZs have made a quite big contribution to the industrial mannuafcturing growth and enhanced export value as well as competitiveness of the economy which has taken a part in economic restructuring of localities & the country towards industrialization and modernization, job creation, human resource training, improvement of income & living standards and qualifications of laborers, and made positive contributions to ecological environment protection The sustainable development is an inevitable trend in the development process of the world Vietnam has sustainable development strategies and considers the sustainable development as a through goal in the current and future national development strategies We are implementing the National Action Plan for implementation of the UN 2030 Agenda for Sustainable Development (VSDGs), the green growth strategy and clean energy & renewable energy development and environmental friendly production; the sustainable development of IPs is a critical task for maintenance of the sustainable economic growth which is a priority choice in Vietnam's sustainable development strategy Nevertheless, IPs management in coordination with the sustainable development of regions and provinces in Vietnam still has a lot of outstanding problems in both policy mechanisms and implementation methods, including Hung Yen Hung Yen is the province who plays an important role in the socio-economic development of the Northern key economic region The province always has high industrial mannufacturing value as a result of the industrial park develoment Hung Yen province has implemented IPs planning and development in the area which has already been approved by Prime Minister to be included into the Master Plan of the industrial park development in Vietnam with orientation until the year 2020 (with total 13 IPs and total area of 3,685 ha) IPs have created stable jobs for some 37,000 laborers In addition to those achievements, industrial park management in Hung Yen also shows many weaknesses and a shortage of factors for sustainable development assurance Industrial park development in Hung Yen has just focused on economic objectives, but not yet comprehensively considered environmental and social aspects as shown below: - The IPs construction and planning quality has not been good, has had no long-term visions and has not taken the region connection factors as well as conditions, potentials and advantages of each region in Hung Yen into considerations This is also one of the reasons for the low occupancy rate of industrial parks - Compensation for land acquisition and infrastructure construction in industrial parks has not been implemented well - Investment attraction into industrial parks is still slow, not yet compatible with potentials and advantages of the industrial zone development - Issues such as human resource training, housing, culture, spirit, education and health care for workers working in industrial parks has not been much interested - Environmental pollution, water pollution, air pollution and solid waste from industrial parks have still occured and no effective solution has been taken yet - The current industrial development policy system of Vietnam in general and of Hung Yen in particular still has many problesm, particularly policies on employment, land, environment and investment, etc Ineffectiveness management of the State agencies has resulted into the situation that some foreign enterprises run away from industrial parks These are the very urgent issues with big impacts on the sustainable development of Hung Yen which should be concluded and researched, and then improvements shall be proposed Thus, the research of solutions for industrial park management in Hung Yen Province towards the sustainable development is - 1- an urgent issue which aims to make Hung Yen become an industrial province and promote the big role in the Northern key economic region In considerations of the above issues, the author selected the subject "Management of Hung Yen industrial park development in a sustainable way" as the doctoral thesis title Research purposes and tasks of the thesis a Overall objective: The overall objectives of the thesis is to find out solutions for industrial park development management in Hung Yen in towards sustainability with a vision to the year 2030 and make a contribution to theoretical and practical terms of IPs development management towards sustainability in the local b Specific objective: - Systematize and interpret selectively theoretical bases of IPs Development Management in a Sustainable Way; - Make clear the factors affecting State management of the sustainable development of IPs and study international and domestic experiences for the sustainable development management of industrial parks and learn lessons for the IPs development management in Hung Yen Province towards sustainability; - Analyze and evaluate the actual status of the sustainable development management of industrial parks in Hung Yen in the past time, and then point out successes, outstanding problems and causes of those problems; - Propose basic solutions for finalization of State management towards the sustainable development of industrial parks in Hung Yen with a vision to 2030 Object and scope of the research 3.1 Research object of the thesis Reseaarch object of the thesis is the State management towards the sustainable development of industrial parks in Hung Yen 3.2 Scope of the research - Content: The research content of the thesis is to study the State management towards industrial park development in Hung Yen Province towards sustainability in three aspects of economy, society and environment - Time: The research period of the thesis is from 2010 to 2016 - Space: The research space of the thesis is the industrial zones in Hung Yen Province in the development relationship with industrial parks in the Northern key economic region Methodology and research method of the thesis 4.1 Approach - Systematic approach: Industrial park maangement consists of many different tasks such as planning, investment attraction, and enterprise support in industrial parks, human resource training, and housing for laborers, infrastructure construction and wastewater treatment in industrial zones All these issues will be recognized, analyzed and assessed by the author in a close relationship - The thesis approaches the research topic from the economic management perspective - Practical approach: The thesis applies the data showing the actual status of the sustainable industrial park management in Hung Yen Province 4.2 Research method The research methodology means both qualitive and quantitive approaches, but mainly the qualitive one The research methodology is both qualitative and quantitative approaches, mainly qualitative - Qualitative research serves the purpose of systematization and selective interpretation of the theoretical basis for Industrial Park Development Management in a Sustainable Way; Clarify the factors affecting State management of the sustainable development of industrial parks and research international and domestic experiences for the sustainable development of industrial parks, and learn lessons for IPs development management in Hung Yen Province towards sustainability - Quantitative research aims to analyze the actual status of management of IPs development in Hung Yen Province in a sustainable way, thereby clearl demonstrate successes, outstanding problems and causes of the problems The applied research methods include the below: - Desk research methods: The author collects and systemizes documents: Collect research works in the form of reference books, articles and theses by domestic and foreign authors as the bases for research - 2- issues Besides, the author also systematizes documents and policies on management of industrial parks, especially the regulations with direct and indirect impacts on the sustainable development of industrial parks Analysis and comments on management policies of industrial parks in towards sustainability are thereby given The desk research methods include: + Comparison method: consists of both chain comparison and cross comparison used to calculate some indices reflecting the sustainable development of industrial parks This method is also applied to analyze the actual status of IPs development management in Hung Yen Province in towards sustainability in the past time and in relation to IPs in other provinces + Statistical methods: the list of data taken from the collected reports and documents is made and shown in tables, diagrams or charts over the years to illustrate and help the research results reflect more clearly and effectively + Analytical & synthetical methods: Based on the collected data the author analyzes and synthesizes them according to the content of the title - Expert method: Used by the author to interview several policy makers, scientists and industrial park managers at the central level, in Hung Yen Province and some other localities - Methods of investigation and actual survey of industrial park development management towards sustainability in Hung Yen + Investigated and surveyed areas are Pho Noi A Industrial Park, Pho Noi B Industrial Park, Thang Long Industrial Park and Kim Dong Industrial Park + Objects: Enterprises in the industrial park territory and the State management agencies + Scale: 208 votes 4.3 Research questions From the research objectives, the research questions which need to be answered by the thesis are: 1) What is management of industrial parks in a sustainable way? Which contents are included? 2) What are criteria on assessment of IPs development management towards sustainability? 3) Which factors affect IPs development management in a sustainable way? 4) How is the actual management of IPs development in Hung Yen? 5) What are solutions for IPs development management towards sustainability in Hung Yen Province? 4.4 Research sequence of solutions to issues mentioned in the thesis Research of IPs development management theory towards sustainability Expert methods Theoretical frame of IPs development management towards sustainability Expert methods Documents and data collection Stastical & analytical methods Criteria on IPs development management towards sustainability Expert methods Actual status analysis of IPs development management in Hung Yen towards sustainability Proposed orientation and solutions for IPs development management in Hung Yen towards sustainability Figure 1.1: Sequences of reasearch and resolution of issues mentioned in the thesis (Source: Proposed by the author) - 3- New scientific contributions of the thesis: - The thesis adds theoretical bases and scientific arguments on industrial park development managementtowards sustainability including the concept of industrial park development management towards sustainability, contents of IPs development management in a sustainable way, a set of criteria on assessment of industrial park development managementtowards sustainability, and the factors with impacts on management of the industrial park development towards sustainability; - Analyze management experiences of IPs development towards sustainability of some nations, territories in the world and several provinces in Vietnam and then learn lessons which can be applied to manage develop Hung Yen industrial parks in a sustainable way; - Analyze and assess the existing situation of industrial parks development management in Hung Yen Province towards sustainability including State management of industrial parks, evaluation of management criteria of industrial park development in Hung Yen Province towards sustainability and then give out achievements and limits of industrial park development management in Hung Yen Province towards sustainability and the factors affecting industrial park development management in Hung Yen Province towards sustainability; - Propose points of view, orientations and solution systems for industrial park development management in Hung Yen province towards sustainability until 2025 and a vision to 20130 Theoretical and practical meanings of thesis The thesis has already completed the the theoretical system with criteria on evaluation of industrial park development managementin towards sustainabilityin the conditions of Vietnam The research results and solutions of the thesis are the reliable references for managers and policy makers for mânement of industrial park development toward sustainability in Hung Yen Province in particular and the reference source for other localities inVietnam in general Structures of the thesis In addition to preface and conclusion, the thesis is divided into following chapters: Chapter 1: Overview of the research situation related to IPs development management towards sustainability Chapter 2: Theoretical and practical bases for industrial park development management in a sustainable way Chapter 3: Actual situation of industrial park development management in Hung Yen Province in a sustainable way Chapter 4: Solutions for industrial park development managementin Hung Yen Province towards sustainability Chapter OVERVIEW OF RESEARCH SITUATION RELATED TO INDUSTRIAL PARK DEVELOPMENT MANAGEMENT TOWARDS SUSTAINABILITY 1.1 Foreign research works IP is one of the specific models of the special economic zone (EZ) in the world The book Economic zones in the giant and Asean published by the Unido National Office in Vietnam in 2015 writes about competitiveness of economic zones It gives out overviews of ASEAN's economic zones and recommendations for construction and development of Economic Zones in ASEAN nations The article Development of Eco-efficient industrial parks in China clarifies China's efforts in coordination and promotion of ecological and low-carbon industrial parks The work China's special economic zones an national industrial park – Door openers to economic reform is about economic opening policies, effectiveness of State industrial parks, organizational structure of industrial parks, and specific characteristics of industrial parks in China and industrial parks developing key industries of China The works "The application of industrial ecology principles and planning guidelines for the development of eco-industrial parks: an Australian case study", the clean production journal by B.H Roberts Elsevier introduces a new point of view in the sustainable development of industrial parks - 4- towards development of ecological industrial parks with specific criteria and evidences in the conditions of Australia The International Conference on "Ecological Industrial Parks" held in Hyderabad, India on July 6-8, 2009 attracted participation of over 80 delegates from nations such as Germany, Tunisia and India, Indonesia, Morocco and Philippines, etc The main purpose of the Conference is to facilitate experience exchange in the field of the sustainable management of industrial parks and strengthen future cooperation of relevant parties in Asia, Africa and Europe At this conference, researchers and managers focused on concepts, legal aspects and policies related to industrial parks and ecological industrial parks According to the "Manuals for development of ecological industrial parks for developing Asian countries" by the Asian Development Bank (ADB), there are basic principles for building an industrial park in the direction of an ecological industrial park (KCNST) includes: Harmony with nature; Energy systems; Management of raw materials and waste; Water supply and drainage; Effective management of KCNST; Construction / renovation; Integration with the local community Concentrated industrial park planning for attraction of investors to industrial park infrastructure construction and application of preferential mechanisms for enterprises who invest and operate in industrial parks shall facilitate local industrial production and enhance State management capabilities for industrial parks 1.2 Domestic research works In the past time IPs development in Vietnam has attracted attention by the governement, Ministries, sectors and locals Many scientific confierences have been held and some IPs studies have been posted on newspapers Many studies have had deep assessments and highlighted special characteristics and basis problems of IPs Some other studies exploit new directions for the sustainable development of IPs 1.2.1 Research works for industrial park management The first scientific works are the economic doctoral thesis by the author Le Tuyen Cu (2004) under the theme "Development and finish measures of State management for industrial parks in Vietnam" The doctoral thesis by the author Le Hong Yen (2007) "Completion of policies and organizational models of State management for the industrial park development in Vietnam (from the practice of industrial parks in the North)" Some researches have found out solutions to make sure social issues in IPs operation such as the thesis "Dealing with housing problems for laborers in industrial parks Studied in some North Central provinces” by the author Bui Van Dung (2015) Additionally, there are several studies by the authors Le Xuan Ba, Ngo Thang Loi and Vu Thanh Huong on this issue like "Attraction mechanisms and policies of economic sectors into housing construction for workers in industrial parks and export processing zones" These works have systematized welfare issues for laborers in IPs and served as the important theoretical basis for the author when analyzing one of the functions of industrial park management which is the sustainable industrial park management in the social term The economic doctoral thesis by the author Phan Quoc Tuan (2012) "Supportive solution for enterprises in industrial park development in Ho Chi Minh City until the year 2020" has pointed out the theoretical aspects of supportive policies for enterprise development in IPs including supports from the Government and supports from the Management Board of Industrial Parks Researches on support for enterprises in industrial parks have suggested many research ideas for the PhD student in economic management of industrial parks These studies concentrate on the function of State management of industrial parks, paying much attention to mechanism and policies of central and local industrial park management 1.2.2 Research works on the sustainable development of industrial parks The sustainable development of IPs is an urgent task after a hot development period of IPs resulting into many environmental and social issues in the recent years - 5- 1.2.3 Research of ecological industrial parks Construction and development of eco-industrial parks is a new direction in research and development of IPs towards sustainability in Vietnam Some typical authors in research of ecological industrial parks are Nguyen Cao Lanh and Tran Thi My Dieu, etc Researches of eco-industrial park development have given out many useful recommendations for the author in finding out new directions in IP management towards environmental sustainability in a modern approach 1.3 Basic theories for management of IPs development in towards sustainability The thesis is carried out based on the following theories: + Theory of State management functions + Theory of industrial park development + Theory of the sustainable development 1.3.1 Theory of State management functions State management function theory is the scientific foundation for the PhD student to access State management functions including: Orientation function: The State guides through plans, planning and policies Organizational functions: The State arranges and organizes activities within its management scope Regulatory functions: The State regulates relations and distributes resources, policies and macro management tools Inspection and supervision functions: This function makes sure activities subject to inspection and supervision by the State in the proper direction for achievement of set goals 1.3.2 Theory of industrial development Industrial cluster theory Industrial positioning theory Theory of industrial development according to advantages Center position theory Theory of extreme growth 1.3.3 Theory of sustainable development In Vietnam, according to the research by the Institute of Development Strategies, SD is comprehensively understood "Sustainable development covers all aspects of social life, meaning that economic development shall be associated with implementation of social progress and justice, environmental preservation and improvement, socio-political stability maintenance, national defense and security” As such, it can be seen that the sustainable development is a harmonious development among three major objectives: economic growth, social development, and environmental preservation and improvement Contents of sustainable development Contents of sustainable development consist of the sustainable economic development, the sustainable social development and the sustainable environmental development The sustainable development is the basis and the standard for directing management of IPs development towards the economic, social and environmental sustainability 1.3.4 Application of theories into IPs development towards sustainability 1.4 Research orientation of the thesis 1.4.1Assessment of previous resesearches to point out research gaps a Oversea researches Foreign researches pointed out and criticized limitations of traditional management of industrial parks, resulting into environmental pollution and social issues in industrial parks The studies supported the ecological industrial park model and call on countries to apply this model to look forward to the sustainable development However, the research by D.Gibbs and P Deutz only researched SD of industrial parks in terms of economy and environment, but not took social issues into satisfactory considerations Susan M Walcott's work reviewed the role of high-tech industrial parks - 6- but not yet attached these high-tech IPs to the sustainable regional and national development issues b Domestic researches In general, domestic researches have helped strengthen the theoretical bases for the development of IPs towards sustainability and given out many practical experience as well as solutions for development of industrial parks towards sustainability Nevertheless, these researches still focused on resource employment for IPs development No thesis directly studied management of IPs development in towards sustainability in the province Especially, there is no set of criteria for assessesment of the sustainability in industrial park development management 1.4.2 Research orientation Pursuant to the gaps from the previous researches and research objectives, the thesis focuses on evaluation, analysis and proposed solutions for IPs development management towards sustainability based on three criteria (1) Sustainable development management of IPs in economic term, (2) Sustainable development management of IPs in social term and (3) Sustainable development management of IPs in environmental term This is the theoretical research framework for all analyses and evaluation of actual management of IPs development towards sustainability in Hung Yen Province and serves as the basis for proposed solutions The thesis shall concentrate on clarification of some following issues: Clarify theoretical issues and international & domestic experiences related to industrial park development managementin a sustainable way Analyze and make clear the existing status of industrial park development management Hung Yen Province towards sustainability and then evaluate achievements, limitations and find out causes of limitations in industrial park development management in Hung Yen towards sustainability Propose points of view, orientations and solutions for industrial park development management in Hung Yen Province in a sustainable way Chapter THEORETICAL AND PRACTICAL BASES FOR INDUSTRIAL PARK DEVELOPMENT MANAGEMENT TOWARDS SUSTAINABILITY Theoretical basis for industrial park development management towards sustainability 2.1.1 Some basic concepts a Industrial park concept After studying the IP concepts in the world and in Vietnam, according to the author of the thesis, the industrial park is a part of the national territory with defined geographical boundaries and an appropriately built infrastructure for industrial production, is a concentration area of enterprises specialized in manufacturing industrial goods and providing services for industrial production with defined boundaries and without residents b Development concept According to the Vietnamese dictionary, "development" is understood as the process of movement, progresstowards increase As specified in the Literally Encyclopedic Dictionary of Vietnam, "development is a philosophical category that indicates the nature of the transformations taking place in the world Development is an attribute of matter Everything and phenomena of reality not exist in a different State from the time of appearance to the time of death the origin of development is the unity and struggle between opposites " Development is not consistent with the concept of "movement" (alteration) in general, it is not a mere transformation of quantity or cycle alteration that is repeated in the old substance but existence and nonstop movement, changes in scale and quality towards increasing completion of things at higher and higher levels c Industrial park development concept Industrial park development is an increasing process in terms of quantity, quality and system development inside industrial parks Industrial park development consists of two aspects - Development of infrastructure (technical infrastructure) for industrial parks - 7- - Development of production and business in industrial parks Infrastructure development for industrial parks is an increase in the number of infrastructure for industrial parks to maximize the use of resources for industrial parks, mainly land sources, to fill industrial parks with projects with suitable scale and field to the functional orientation planning of each IP The production and business development in industrial parks in terms of quantity is an increase in the production and business enterprises in the industrial park d Management concept There are many ways to divide management functions based on different approaches According to the author, management has basic functions: making plans (planning), organization, leading and inspection Managers shall perform well these four functions so as to ensure completion of management objectives Planning: “Is the process of goal identification and way selection for achievement of those goals” Naturally, planning is a subjective, conscious, organized activity of human beings on the basis of awareness and application of objective laws in order to determine the goals to be achieved and plan to achieve that goal Organization is the plan implementation process which is a function of governance including assurance of organizational structure and personnel for organization's operation Leadership is determination of guidelines, purposes, properties, operational principles of a system under certain environmental conditions Common leadership methods are methods of education, advocacy and propaganda; administrative methods; economic methods; and modern leadership methods Testing is the activity review process to help activities more effective and at the same time inspection for detection of any mistakes and deviations in order to take corrective measures to ensure proper operation e IPs development management concept - Industrial park development management is the organized operation by the State laws on the development of industrial parks to make sure that the industrial park can promote its role in compliance with the orientation of the State and ensure enterprises' objectives in the IP and socio-economic development of the local and the nation Industrial park development management includes below contents: - Industrial park development planning including planning of location, scale and investment attraction field - Industrial park infrastructure construction: There are two forms of investment industrial park that is invested by the State or private (domestic or foreign) Each form of investment has its own advantages and disadvantages which can affect the sustainable development of industrial parks to which management shall pay attention - Business and production development includes creation of incentive mechanisms and policies and investment promotion activities - Evaluation, inspection and supervision f Sustainable development concept Sustainable development is understood as a development way which harmonizes three main objectives of (1) high, stable & long-term economic growth, and reasonable and efficient use of available resources, (2) social issue settlement towards progress and fairness, (3) environmental protection towards ecological diversity maintenance and mitigation of negative impacts on the environment g Concept of IPs development towards sustainability Industrial park development managementin towards sustainability is an organized impact in compliance with the State laws on the quantity, quality and development of systems inside industrial parks for the sustainable development objectives including the sustainable economic, social and environmental development 2.1.2 Role of IPs development management towards sustainability - 8- assessment of the sustainable social development, (3) assessment of the sustainable environment development In which, each index group is divided into sub-groups, which are indices of sustainable development assessment in the IPs and assessment of the spread of IPs to the locality where the IP is located Results of indices in these criteria groups reflect effectiveness of State management for sustainable development of industrial parks, as follows: - Suitability of strategy, planning and State management policies for industrial parks - Feasibility of policies and State management measures for industrial parks - Validity of policies and State management measures for industrial parks - Effectiveness of policies and State measures for industrial parks 2.1.5.1 Indices for evaluation of IPs development management towards economic sustainability a Indices for assessment of IPs development management towards economic sustainability inside IPs Industrial zone planning quality Occupancy rate of industrial parks Total registered capital, implemented investment capital Results and performance of industrial parks Production integration activities of enterprises in the IP Index of investors' satisfaction b Indices for assessment of IPs development manangement towards economic sustainability of the region where IPs are located This criterion shows IP spread to the local economy Contribution of industrial parks to local economic growth Economic restructuring of the local where the IP is located Impact of IPs on local infrastructure 2.1.5.2 Assessment criteria for IPs development management towards social sustainability One of the important indices for the sustainable development is the social evaluation criteria The social development is to demonstrate positive change tendency in social issues of the locality where industrial parks are located Jo creation and income increase for local laborers Contribution to local labor restructuring Social responsibility of enterprises Ability to ensure social security surrounding the industrial zone 2.1.5.3 Evaluation criteria for industrial park development management towards environmental sustainability This criterion is shown via the ability to well resolve environmental pollution problems caused by manufacturing and show negative impacts onto the living environment and human health and environmental protection Key indices assess the sustainable development including waste water treatment, solid waste and air pollution Indices for wastewater treatment assessment in IPs Indices for solid waste treatment evaluation in industrial parks Evaluation criteria for air pollution and noise in industrial parks Resource saving ability and renewable energy use 2.2 Domestic and foreign experiences of IPs development management towards economic sustainability and lessons for Hung Yen - IPs planning - IPs infrastructure completion - Investment environment improvement Experiences in management of IPs development towards social sustainability Chapter ACTUAL SITUATION OF MANAGEMENT OF IP DEVELOPMENT IN HUNG YEN PROVINCE TOWARDS SUSTAINABILITY - 11 - 3.1 Overview of establishment and development of IPs in Hung Yen Province 3.1.1 Overview of natural conditions and socio-economic conditions in Hung Yen Province Hung Yen is the province in the Northern Delta which is located in the center of the Red River Delta and one of provinces and cities in the Northern key economic region located in the low plain of the Red River Delta Hung Yen has 23 km of the 5A national road with lanes, and 26 km of the 5B national road with lanes running from the west to the east and connecting Hanoi with Dinh Vu Port Besides, it has 56 km of the 38 national road from Bac Ninh and Hung Yen, and 43km between the national road and the national road in Hanam Province, the provincial roads such as the 202 PR, the 200 PR, the 203 PR, THE 195 pr and the connecting road between the 5B national road and Cau Gie-Ninh Binh highway The Hanoi - Hai Phong railway running through the Hung Yen territory is 17 km long, considered an important point for economic connection with other localities It can be said that in addition to favorable geographical locations, the transportation system of Hung Yen has many advantages for socio-economic development and investment attraction Hung Yen province has 10 district-level administrative units, including town, 09 districts and 07 wards, 09 towns and 145 communes In 2016, GDP increased by 8.1%; agricultural and aquaculture production value raised by 2.53%; Industrial production index increased by 8.5% Industrial production index increased by 8.5%; Total per capita products reached 44.5%; export turnover reached 3,197 million USD; Total budget revenue is estimated at 9,009 billion The natural population growth rate is 0.92%; the poverty rate is expected to be 5%; the rate of trained workers is 56%, creating new jobs for 2,180,000 laborers 3.1.2 Overview of IPs in Hung Yen Province Hung Yen has 10 IPs with total area of 2,481ha approved by Prime Minister to be added in the List of Master Plan of IPs Development in the whole country Table 3.2: Area of IPs planned in Hung Yen No Name of IPs Planned area Pho Noi A IP 596,44 Pho Noi Textile and Garment IP 21,81 Thang Long II IP 345,2 Minh Duc IP 198 Yen My II IP 190 Minh Quang IP 150 Kim Dong IP 100 Tan Dan IP 200 Ngoc Long IP 100 10 Ly Thuong Kiet IP 300 Source: IPs Management Board, 2016 3.2 Actual status of management of IPs development in Hung Yen Province towards sustainability 3.2.1 Actual status of management of IPs development in Hung Yen Province towards economic sustainability 3.2.1.1 Management of IPs development in Hung Yen Province towards economic sustainability a IPs development planning IPs accepted for planning shall comply with regulations on industrial park planning and have coordination with the provincial socio-economic development planning The locations of industrial parks have convenient traffic and near the locations where labor resources are abundant and services for laborers' life are supplied The planned industrial parks have satisfactory infrastructure facilities such as frontage roads and traffic interchanges with provincial roads and national road Actual construction and implementation of planning, adjustment and supplementation of planning for times shows that industrial park planning is still spreading, short-term, high latency as compared to reality The planning quality has been positively changed according to the industrial planning demands Industrial parks are planned at the first stage, typically Pho Noi Industrial Park has low quality - 12 - planning, infrastructure is not synchronous and modern, especially lack of modern waste treatment system, unsatisfactory green environment and water surface, missing sustainable development factors, however the planned industrial parks after that have overcome these limitations Thang Long Industrial Park II is a typical example for modern and sustainable industrial park planning Planning has sufficient technical infrastructure works including available site areas for construction of factories, power and water systems with large capacity, modern drainage system, and waste water treatment system with a total capacity of 3,000m3/day and night, telephone and internet systems in accordance with international standards, especially the greenery and water environment with a high rate The planning process of industrial parks of Hung Yen has changed from spreading to narrowing in the direction of key planning However, a lot of land areas planned for industrial parks are abandoned, narrowing land fund for agriculture and wasting land resource use b IPs infrastructure construction Economic infrastructure construction in industrial parks plays an important role in the sustainable development of industrial parks In Hung Yen, local authorities and the Management Board of Industrial Parks in Hung Yen province have faciliated infrastructure construction companies in land acquisition and and infrastructure construction of IPs However, infrastructure construction in industrial parks in Hung Yen still has many shortcomings Infrastructure construction in industrial parks in Hung Yen province is all funded by private entities With the policy of no mass land acquisition avoiding any wild land which can affect production of local residents, Hung Yen province selects some IPs with favorable conditions, quick attraction to investment and capable investors for investment project implementation It can be seen that IPs infrastructure development in Hung Yen still have many limitations in implementation that make a waste of land planning for industrial parks wasted, lack of sustainable factors in industrial park development c Investment attraction at IPs in Hung Yen Province Provincial People's Committee has directed the renovation of investment attraction in Hung Yen IPs in the direction of selection, effectiveness and no attraction at all costs The province has selected a number of IPs with favorable conditions, ability to attract investment quickly and the owners who are capable of investment project implementation For effectiveness of investment attraction, the province determined to well implement land acquisition and infrastruction completion at IPs in order to ensure sufficient site areas for receipt of investment projects Specifically, the province supported industrial parks such Pho Noi A Industrial Park, Pho Noi Textile and Garment Industrial Park and Thang Long II Industrial Park in quick and strong implementation of land acquisition Early handover of land by industrial parks is a favorable basis for investors to push up progress of investment in synchronous construction of technical infrastructure, ensuring sufficient areas for receipt of investment projects Hung Yen is active in investment environment improvement Investment encouragement policies Incentives on investment capital and credit: Preferential policies on import tax exemption and reduction, corporate income tax: Investment support policies Preferential investment in industrial park infrastructure construction Incentive on advertising information and mobilization of investment in IZs: 3.2.1.2 Assessment of criteria on management of IPs development in Hung Yen Province towards economic sustainability a Criteria on assessment of management of IPs development in Hung Yen towards sustainability inside IP (1) Planning quality and IPs occupancy rate * IPs planning quality Most of IPs in Hung Yen are planned at the areas with favorable geohraphical conditions on big traffic roads which are convinient for goods conveyance from Hung Yen to airports, ports and vice versa - 13 - IPs are mainly concentrated in the northern areas of the province such as in Yen My and My Hao districts Of which,Yen My has out of 11 IPs in the whole province and My Hao has out of 11 IPs in the whole province The high concentration of industrial parks in some districts puts great pressure on social and environmental issues in localities with dense industrial park content Prices in Yen My and My Hao Districts are often much higher than other localities in the province Especially, demands in kindergartens and schools are big due to crowded workers while the current situation cannot meed those demands yet Industrial parks are too close together resulting into fiercer competition among enterprises There has been a phenomenon that some enterprises are concerned about difficulties into workers recruitment, so they not dare to continue investtment in the IPs IPs occupancy rate Table 3.4 Summary table of IPs in Hung Yen No Name of IPs Pho Noi A Pho Noi Textile and Garment Thang Long II Minh Đuc (according to Planning) Total Occupancy rate (%) 73.94 52.97 85.33 29.33 68.1% Source: IPs Management Board, 2016 (2) Total registerd capital, implemented investment, average investment/project, investment/ha of land use Table 3.5 Total registerd capital, implemented investment at IPs in Hung Yen up to 2016 Registere d projects Projects in operatio n Total registere d investme nt (millions USD) Total implement ed investment (millions USD) 596 170 148 1,391 1,155 8.19 121 78 64 183 143 345 31 18 1,848 198 31 25 65 Area Nam of IPs e of accordin IPs g to planning Phố Nối A Dệt may Phố Nối Thăn g Long II Minh Đức Total 1,260 310 255 3,488 Registered investment/1 of land use Implement ed capital/1ha of land use (millions USD) 7.80 2.33 1.94 2.35 2,23 1.52 1.18 1,503 59.60 83.52 5.36 4.36 42 2.10 1.67 0.33 0.21 11.25 11.15 2.77 2.26 Average Average investment/registe investment/operat red project ed project (millions USD) (millions USD) 2,842 Source: Conclusion Report of the year 2016 and main tasks of the year 2017 by IPs Management Board in Hung Yen Province (3) Results and effeciency of IPs operation Revenue/1 land unit of IPs (comparision): Total rented industrial land area at IPs in current operation is 619 Revenue/1 IP land unit in 2016 are 3.51 millions USD/ha Revenue and labor productivity of IPs in Hung Yen have increased year by year It proves that effeciency of operation by IPs has been increasingly enhanced Revenue has risen to 1,268,57 millions USD between 2010 and 2016, equivalent to 241%; labor productivity has increased to 17,424.27 millions USD/capita/yeat, corresponding to 166% Source: IPs Management Board in Hung Yen in 2016 Production connection among enterprises at IPs Production connection among enterprises at IPs is a criterion on evaluation of long-term & effective planning quality of IPs Hung Yen also develops production connection and region - 14 - connection with other locals such as Bac Ninh, Hai Duong and Hanoi Nevertheless, production connection among enterprises at IPs in Hung Yen is still limited The number of the enterprises with production connection in the IPs in Hung Yen is very few The number of enterprises with demoestic production connection is very few, mainly focusing on some multinational groups who develop domestic suppliers b Criteria on evaluation of management of IPs development in Hung Yen towards economic sustainability Hung Yen is a merely agricultural province in the Red River Delta However, the socioeconomic situation of the province has positive changes since appearance and development of IPs Contributions to the ecnomic growth of the local During the past years IPs in Hung Yen have played an important role in the GDP growth of the local IPs in Hung Yen have played a major part into industrial production value of the province and increasingly promoted this value Enterprises in IPs have increasingly made bigger contributions to the State budget of Hung Yen Province The tax amount submitted to the State budget by enterprises in IPs in Hung Yen Province have reached 900billions VND which have raised to nearly VND1,500billions in 2015 and VND1,700billions in 2016 Contributions to industrial production value 3.2.2 Actual status of management of IPs development in Hung Yen towards social sustainability 3.2.2.1 Actual status of management of IPs development in Hung Yen towards social sustainability a Actual status of compensation, land acquisition and resettlement for residents when land acquisition for IP construction For compensation management, land acquisition and resettlement for residents when land accquition for IP construction, Hung Yen Province Peoples's Committe has already abided legal regulations on land acquisition and supported resettlement for residents and also make many law documents in order to create legal corridors for implementation by the relevant agencies Ađitionally, Hung Yen Province proactively propagandized benefits of construction and development of IPs by media and meetings among State agencies, the owner and the residents whose land is acquired, persuaded the residents to comply with the State's policies on land acquisition Of which, it is affirmed that the State policy on implementation of the land acquisition task for IPs construction for the socio-economic development demands, but not negotiation on land sales between residents and enterprises b Career training, human resource development and local laborer encouragement by enterprises For human resource development at IPs, Hung Yen Province People's Committe has carried out simplization of land fund support policies and administrative procedures, etc so that investors, schools and career training centers can feel comformtable to invest into business of career training filed for the purpose of skilled human resource supply for many enterprises in IPs Hung Yen Province also regulated enterprises who use land acquired from residents to facilitate jobs for those residents One of the enterpise attraction goals into IPs is the hope to create jobs for local residents Hung Yen Province career center usually holds job festivals as a bridge between enterprises at IPs and laborers IPs Management Board is the contact person between enterprises and career centers for laborers Nevertheles, most of enterprises at IPs are lack of laborers, mainly workers due to few supply sources, limitted high skilled laborers, and the relevant agencies have failed to stop this status despite of having taken many measures c Actual management of social infrastructure development at IPs in Hung Yen Social infrastructure development at IPs in Hung Yen, especially housing which is very critical for IPs development towards social sustainability because laborers will feel comfortable to work only when their lives are stable Hung Yen Province faciliates development of housing development projects, especially compensation and land acquisition for the owner Management of workers' - 15 - accommodation at IPs is a difficult problem for the State agencies in Hung Yen Accommodation areas of workers have polluted the environment and damaged architectural landscape of the rural areas Many workers resign from work after each holiday which affects production and business of enterprises Work resgination by workers is caused by many factors, but mainly caused by unsatisfactory accommodation Besides, accommodation management for laboreers and commercial, sport & helathcare work management for laborers in Hung Yen are still very limitted, Social infrastructure planning at IPs in Yen Province abuses social infrastructure outside IPs d Actual status of encouragement and support of IPs enterprises in implementation of benefit harmonization relationship between employees and employers at IPs During the period between 2000 and 2013 enterperises who invest into IPs in Hung Yen are mainly capable domestic ones Moreover, some new enterprises have not ensured beneifts of laborers Labor law propaganda for employers and employees at enterprises has been paid attention by the State agencies For enterprises whose trade unions were established, IPs trade union shall have to frequently coordinate with enterprise owener and the enterprise's trade union officials in organization of meaningful activities e Security and social order control at IPs in Hung Yen Province Security and social order situation at IPs in Hung Yen Province is always a hot issue for the relevant agencies Foreigners working at IPs are now crowded (about 470 foreigners in Hung Yen), but the number of those foreigners register temporary residence are limited Besides, some enterprises are bankrupted, so workers are unemployed Other enterprises abuse law gaps to loose benefits of laborers which leads to strikes by workers 3.2.2.2 Evaluation of criteria on management of IPs development in Hung Yen towards social sustainability (1) Job creation and income increase for local laborers Hung Yen currently has 2,631 enterprises, corresponding to 153,596 laborers; of which, IPs of the province have only 310 enterprises (accounting for 11.8%), but the current number of laborers are 42,500, presenting for 27.7% That shows that IPs have attracted a large number of laborers of the province Esspecially, FDI enterprises are only 172 (accounting for 6.5% of the province), but the number of laborers are 30,114, corresponding to 19.6% of the province and 70.9% of IPs) Average income per person for laborers in IPs is much higher than residents in the province This income has annualy increased during the past years and has been higher than region minimum wage as regulated by the State It proves that living standards of residents have been improved (2) Labor restructuring by industries According to stastics, up to 2015, the whole province has 153,196 laborers at enterprises Laborers at FDI enterprises have increased times between 2011 and 2015 Laborers in IPs have raised by 3.1 times, thereby making laborers in the whole privince increasds by 1.58 times Of which, laborers for engineering industry have rasied by 1.8 times (3) Assessment of improvement of local resident's living standard IPs are formed and developed, so resident's living standards are improved Ability to access healthcare services is enhanced and average number of doctors per ten thousands of residents and number of patient beds per ten thousands of residents have increased The number of cases suffered from diseases has reduced strongly (4) Ability to ensure security of the locality where IPs are located With development of IPs, along with attraction results of FDI projects into IPs, residents' living standards have been improved However, some negative impacts like social security have occured 3.2.3 Actual management of IPs development in Hung Yen towards environmental sustainability 3.2.3.1 Management of IPs development in Hung Yen towards environmental sustainability a Environment management mechanisim Summary and making Report of environmental protection of IPs has had many difficulties because of totally depending on reports monitoring reports and results by infrastructure companies and - 16 - enterprises in IPs while many enterprises have not well implemented periodical monitoring works and submitted the reports to Management Board Regarding pollution control, Hung Yen has actively built and completed environmental pollution control documents at IPs in terms of air quality, environmental pollution control activities and environment monitoring activities b Actual status of waste water treatment at IPs Good management of waste water treatment at IPs is one of covontralized waste water treatment works with câpcity the decisive issue of SD IPs all have concentralized waste water treatment work with capacity of over 16,000m3/day+night Despite the State agencies in Hung Yen have made their efforts to enhance effeciency of these activities, enterprises still violate regulations on waste treatment c Actual status of solid waste treatment at IPs Hung Yen has focused on proposing mechanisims and policies and found out resources and solutions for solid waste treatment in the province, mainly at IPs The province made Decision No 300/QĐ-UBND dated 01/2/2013 on Approval of solid waste management in Hung Yen until 2015 with policy on solid waste management at IPs such as planning of classification system, collection and conveyance of solid waste Hung Yen IPs Management Board also usually organizes Propaganda Conferences on environmental protection of the IPs for enhancement of enterprise's awareness of IPs environment protection, but not yet highly effective d Audit and treatment of violations on environment protection IPs Management Board regularly coordinates with Infreastructure companies in inspection and supervision of IPs environment protection in order to timelt find out, prevent and treat any violations on legal regulations on environment protection Additionally, monitoring and supervision of compliance with conclusions by Auditors by violation cases at IPs have not been paid attention to 3.2.3.2 Evaluation of criteria on management of IPs development in Hung Yen towards environmental sustainability Up to 2016, the province has out of 11 IPs taken into operation, namely Pho Noi A IP, Pho Noi Textile and Garment IP, Thang Long II IP and Minh Duc IP with total area of 1,261,45ha The whole area has greener area of 175.44ha, accounting for 13.9% of the entire area Natural resource saving, recycled energy use have played an important rol in clean production and maintained SD of IPs in Vietnam in general and in Hung Yen in particular However, this has not been strictly implemented by enterprises 3.3 Analysis of factors affecting management of IPs development in Hung Yen towards sustainability 3.3.1Factors belonging to State management tools for IPs a Policies and strategies of IPs development by the Governement b Clasification and decentralization of management c Impacts by legal documents of the State 3.3.2 Factor group belonging to the local authority a IPs development planning in association with socio-economic development in Hung Yen - 17 - b Policies related to compensation and land acquisition c IPs Management Board of Hung Yen d Factor group belonging to enterprises 3.4 Evaluation of actual status of IPs development management in Hung Yen towards sustainability 3.4.1 Assessment of good points of management of IPs development in Hung Yen towards sustainability Infrastructure planning and development of IPs IPs of the province are formed, built and developed in compliance with general planning approved by Prime Minister IPs planning quality has been improved Planning includes all technical infrastructures such as available areas for construction of factories, power and water systems of high capacity, waste treatment system and greenery system with high rate Infrastructures of IPs are increasingly invested which helps development promotion of IPs infrastructures Infrastructure construction State management agencies in Hung Yen selected projects to resources mobilization into infrastructure completion at IPs, avoiding a waste of investment into IPs IPs infrastructures are increasingly completed and morder Investment attraction The province has well implemented investment environment improvement by transparentalization and shortening administrative procedures, and strict application of investment encouragement policies Consequently, the number and the scope of investment projects into IPs in Hung Yen have increased Investment attraction to IPs is to promote economic growth along with economic restructuring towards modernization, create jobs for ten thousands of laborers and enhance land use effeciency Compensation, land acquisition and resettlement for residents when land acquisition for construction of IPs Based on State regulations, Hung Yen specificalized and introduced policies on compensation, land acquisition and resetlement for residents in the areas with acquired land area for construction of IPs in order to create legal corridors for land acquisition and infrastructure construction at IPs Career training and resource development Determination of laborer supply ability and human resource quality is the important factor for advantage determination of investment attraction into IPs Hung Yen People's Committe have implemented many supporting policies and called for investors to career training for the province Thus, trained laborers have highly increased Strict implementation of career traing projects for rual laborers has promoted labor transition and met demands in the number of laborers for IPs in Hung Yen Environment management Environment management at IPs is more closely established Many legal documents related to environment management at IPs are issued, creating legal corridors for enterprises and relevant ulations agencies Waste control is mentioned at planning stage Audit and supervision of any violation on environment protection regulations are frequently carried out - 18 - 3.4.1 Assessment of limitations of management of IPs development in Hung Yen towards sustainability Industrial zone planning Planning industrial zones in the direction of sustainable development: Actual planning implementation, adjustment and supplement for many times have shown planning is still spreading, shorrt-term and slow Construction of industrial park infrastructure Infrastructure construction in IPs in Hung Yen has many outstanding problems sucgh as land policies, and land acquisition policies, slow implementation of infrastructure Investment attraction in industrial zones Investment attraction into IPs Investment attraction into IPs has had some limiations: + Few projects with big investment and high-tech contents at IPs + Ineffective investment promotion, sometimes passive Training, development and supply of human resources The training, development and supply of human resources for enterprises in the IPs are still limited, resulting into failure to meet requirements of investment attraction Industrial parks were established and put into operation in the northern area of the province; this area concentrates nearly 80% of enterprises/projects in the province Therefore, laborer recruitment in this area faces many difficulties, especially enterprises with a big demand for labor In addition, some vocational training centers in the province are still incapable, so they cannot meet demands of enterprises, especially the demands in high skilled human resources; Social infrastructure management at IPs + Inadequate supply of housing for laborers in the industrial park Construction and supply of social housing for laborers and assurance of living environment for laborers in industrial parks such as markets, schools, medical facilities, cultural houses, etc only had unfeasible results due to limited budget and difficult invesor mobilization caused by slow capital recovery, low investment efficiency, difficulties in bank capital approach while investment profits from these projects are low Abandoned land is a waste of social properties which reduces investment use effeciency + Inadequacies in management of rental accomodations for laborers in IPs Laborers away from home in industrial zones in Hung Yen mostly rent accommodation at local resident's houses in rural areas These are spontaneously formed next to industrial parks and industrial clusters Most of houses for laborers in industrial zones have not met construction standards, basic living conditions such as unsatisfactory living areas, toilets, electricity, water, security On the other hand, living in rural areas is unsuitable due to working shifts There are very few cultural/sport activities for laborers in residential areas Moreover, accommodation areas also make environmental pollution and damage architectural landscape of the rural areas Environmental management in industrial parks Several IPs have failed to comply with investment into internal environmental protection projects succh as surface water collection system, waste water collection system and internal waste - 19 - water treatent plant s as shown in the approved environment impact assessment reports or approved environment protection commitment Some IPs have not yet implemented the internal environmental protection projects according to the approved environmental impact assessment report or the approved environmental protection report, so the environmental pollution of some IPs still occurs Compliance with legal laws by some enterprises is not good so they intentionally run ây from any inspection and supervision by the relevant agencies The legal system on environmental protection has many limitations, especially unstrict sanctions for any violation by enterprises Although IPs Management Board is the direct agency for implementation of environment protection of IPs, this board has not been authorized by the provincial people's committe to verify enviroment impact evaluation reports, so effeciency of the Statement mângement of enviroment by the management board is not high yet 3.4.3 Causes of limitations Main causes of outstanding problems at IPs in Hung Yen Provinces come from many different aspects, from managerial levels to enterprises at IPs Pointing out those causes and improvement of these limitations shall help development of IPs in Hung Yen towards sustainability Incomprehensive awareness of sustainable development Although Vietnam 's sustainable development strategy is strongly committed through many programs, decrees and commitments, the country in general and Hung Yen province in particular have not been fully aware of the role and the meaning of the sustainable development Socio-economic policies are still prone to the rapid economic growth, but not paying attention to the sustainability while expoitation and use of natural resources and environment protection In the other word, environment protection policies fucus on resolution of environment incidents, but not have any long-term orientation for satifaction of future social demands Planning and making plans of socioeconomic development and making environment protection policies are not yet closely coordinated Management mechanisim and SD supervision have not been clearly established and taken into valid Missing institutions of State management of IPs development Currently, legal law system on IPs development in our country still has many outstanding problems Policies are slowy updated and renewed in accordance with general development of IPs There are no master planning of IPs in the direction of IPss developent in association with growth model renewal and socio-economic development of the nation Ineffective management tools for IPs development in Hung Yen towards sustainability Despite Hung Yen always proactively pushes up investment attraction activities towards SD via introduced policies, IPs development strategies of the province have not been specifically given out Resource training and development in terms of quality and quantity are still limitted Incentive policies have been given out for investment attraction into IPs, but policies, assessment sanctions and violation treatment have not been sufficient This has resulted into that enterprises run ây from obligations of taxes and insurances for employees and investment into industrail waste Cororrdination between IPs Management Board and departments and district people's committes where IPs are located is inefffective, so there is no connection in production - 20 - Limitations of mamnagement capacility of IPs Management Board in Hung Yen Currently, all leaders and officials under IPs Management Board in Hung Yen clearly understand importance and nessessity of SD implementation; however, capability of working in the integration environment is limited and they have no ability to directly communicate with foreign enterprises Furthermore, incapailities of some officials have resulted into failure to affirm position and rold of Management Board in modernization and industrialization of the province Chapter SOLUTIONS FOR MANAGEMENT OF IPs DEVELOPMENT TOWARDS SUSTAINABILITY 4.1 Domestic & worldwide context 4.1.1 Worldwide context Impacts of the sustainable development requirements Impacts of International Integration Impacts of climate change, natural resource & environment degradation (Agreement COP21) Fourth industrial revolution (Revolution 4.0) 4.1.2 Context in Vietnam Management of IPs development towards sustainability in Hung Yen suffers strong effects of changes in environmental & socio-economic situation in Vietnam First of all, it is required to mention about environmental pollution in Vietnam at alarming level to be solved Climate change has big impacts on industries and developments of IPs Sustainable economic development goal oritentation during the period 2016-2020 by Vietnam has created basic legal frame for IPs development For implementation of SD targets as set out by National Party Conference and implementation of international committement on SD, Prime Minister already approved Orientation of SD Strategy in Vietnam (Meeting Agenda 21 of Vietnam) Currently, Vietnam has been the official member of ASEAN, APEC, ASEM, WTO The Poliburo Decision No 22-NQ/TW dated 10/04/2013 on International integration há already orinted and identifies opinions for instructions for international integration; of which, "economic integration is the core issue and integration of the other fields shall facilitate economic integration and make active contributions to economic development, national defense consolidation, national security, national culture identity preservation and promotion and socio-cultural development promotion" The deeper the international integration is, the greater the impacts on SD are, bringing both more opportunities and challenges for the country Globalization tendency and stable growth are big challenges requiring enterprises to change Vietnamese enterprises shall have to face competitiveness not only in terms of production criteria such as prices and quality but also cope with pressure in creation of high-tech service products which are friendly with the environment and users - 21 - 4.2 Potentuions and advantages of Hung Yen Province for IPs development 4.2.1 Potentials and advantages 4.2.2 Difficulties and challenges 4.3 Points of view and orientation of management of IPs development towards sustainability in Hung Yen Province 4.3.1 Points of view of management of IPs development in Hung Yen Provine towards sustainability In view of the worldwide and domestic contexts along with actual status of management of IPs development towards sustainanability, the author hereby gives out points of view of management of IPs development in Hung Yen Province towards sustainability as follows: Management of IPs development in Hung Yen Province shall be suitable to internaltional integration tendency and sustainable development, comply with national & economic region planning principles of IPs establishment and development Manage IPs development in the Hung Yen Province teritory towards sustainability and with harmonization of "three key factors" namely economy, culturesociety-human and environment Manage IPs development towards development quality enhancement and concentration on quality, operation effeciency, investment restructuring via technology reenewal, product quality enhancement, industry connection enhancement and sector development orientation suitable according to the local conditions Accordingly, construction and development of specialized and creative IPs IPs development management in Hung Yen Province towards modernization and effeciency via construction and implementation of mechanisms and policies on IPs management in compliance with national regulations and sepecific policies/characteristics of Hung Yen Province in order to create specific advantages for IPs development in Hung Yen towards sustainability IPs development management in Hung Yen Province towards sustainability starts from homogenous and modern IPs infrastructure construction and development including both technical infrastructures and social infrastures 4.3.2 IPs development management orientaion in Hung Yen Province towards sustainability The author hereby suggests for IPs development management orientations in Hung Yen Province towards sustainability including: IPs planning shall have to be according to the sustainable development in terms of economy, society and environment IPs development planning shall be synchronous and ensure connection between the local and nearby provinces Domestic & oversea investment attraction shall be selective to ensure occupancy of IPs of Hung Yen Province Homogenous construction of synchrounous & modern infrastructures of IPs Resolution of jobs for laborers and human resource training, living standard enhance for laborers at IPs, especially resettlement of accommodation issues for workers at IPs Acceptance of advanced technologies and management experiences Sttudy and application and development of ecology IP model in Hung Yen Province IPs development mangement shall be along with strengthening, innovation, effeciency enhancement and effectiveness of State management agencies for industrial parks - 22 - 4.4 Solution for IPs development management towards sustainability in Hung Yen Province Solutions for IPs development management in Hung Yen Province towards sustainability proposed in the thesis are based on some experiences in the sustainable development of IPs in Vietnam and in the world and also pursuant to anayses and limitations of IPs development management in Hung Yen towards sustainability 4.4.1 Solution group belonging to the Government's general mechanisms and policies * Legal completion of IPs management For creation of legal corridors, it is necessary to have a separate Law on IPs, EZs and EPZs, which clearly defines the functions, tasks, authority and organizational structure of IPs Management Board, especially the authority in the environment field and audit for inspection enhancement during IPs & EZs investment and development and environmental protection towards sustainable development Besides, it is required to finish IPs development comprehension towards the sustainable development (estimated in the separate laws on IPs and EZs), including regiona development orientation (sustainable); investment attraction careers, functional areas for comprehensive development in the industrial park * Completion of hierachical classification and decentralization of State management for IPs Clearly fix authority and resonsibilities of each agency and organization for EZs & IPs management Build effective cooperation mechanisms for IPs management between IPs Management Board and the local agencies Finish IPs management organization models in accordance with IPs development planning orientation across the country 4.4.2 Solutions to awareness of sustainable development a The State agencies should clarify responsibilities of objects related to IPs sustainable development b Change the State agencies' awareness of IPs development management towards sustainability 4.4.3 Solutions directly related to IPs development management towards sustainability 4.4.3.1 Solutions for IPs development management towards economic sustainability a Quality enhancement of IPs development lanning towards sustainability b Solutions for sustainable development of IPs infrastructure Enhancement and diversification of investment capital for Hung Yen IPs infrastructure construction; of which, maximize public-prive cooperation Synchronous and modern technical and social infrastructure construction both inside and outside industrial park fences c Investment attraction towards sustainability into IPs 4.4.3.2 Solutions for IPs development management towards soicial sustainability a Policy mechanism related to land acquisition and compensation b Solution to housing for workers at IPs - 23 - c Solution to living environment quality enhancement for workers d to career training and laborer supply for IPs in the conditions of scientific revolution 4.0 e Propagandize, encourage and facilitate enterprises at IPs to build and develop harmonized labor relationship between employees and employers 4.4.3.3 Solutions for IPs development management towards environmental sustainability a Solutions for IPs development management towards environmental sustainability b Research and application of ecological industrial park model Traditional industrial park model reveals certain limitations, especially in view of environment friendly aspect The creative industrial park modle increasingly affirms its important role in IPs development towards sustainability Therefore, construction and development of creative industrial parks is one of the solutions for successful implementation of IPs development towards sustainability in Hung Yen Province 4.4.4 Enhancement of management capability of Hung Yen Province IPs Mangement Board 4.5 Recommendations To National Parliament To Prime Minister and the Governement To Provincial People's Committee and Chairman of People's Committee CONCLUSIONS The conclusion shows core research results of IPs development management towards sustainability such as theeoretical basis systemization of IPs development management towards sustainability including concept of IPs development towards sustainability, contents of IPs development management towards sustainability, criteria on evaluation of IPs development assessment towards sustainability and subjective factors and objective factors affecting IPs development management towards sustainability After IPs development management analysis in Hung Yen Province towards sustainability in aspects of economy, society and environment, the author already demonstrated limitations and analyzed causes of those limitations and then give out solutions for IPs development maangement in Hung Yen towards feasible & effective sustainability However; some data are insufficient due to inefffective implementation and supply of data casued by cooperation by agencies and enterprises; therefore, IPs development management analysis towards sustainability is not really comprehensive to reflect the similar situation of other locals in the country Thus, the thesis should be more studied for widening application of IPs development maangement towards sustainability for many locals all over the country - 24 - LIST OF RESEARCHES BY AUTHORS (2016), Solutions for FDI Attraction to Industrial Parks in Hung Yen Province, Giải pháp thu hút FDI vào khu công nghiệp tỉnh Hưng Yên, Number and Event Journal, No 5/2016, pages 32-33 (2018), Improvement of Living Environment for Workers towards Hung Yen Industrial Park Development towards Sustainability, Asian Pacific Economy Journal, No 511, 2/2018, pages 54-56 (2018), Industrial Park Development Management towards Sustainability, Financial Journal, No 675, 2/2018, page 153 ... RESEARCHES BY AUTHORS (2016), Solutions for FDI Attraction to Industrial Parks in Hung Yen Province, Giải pháp thu hút FDI vào khu công nghiệp tỉnh Hưng Yên, Number and Event Journal, No 5/2016, pages... goals 1.3.2 Theory of industrial development Industrial cluster theory Industrial positioning theory Theory of industrial development according to advantages Center position theory Theory of extreme... attraction at IPs in Hung Yen Province Provincial People's Committee has directed the renovation of investment attraction in Hung Yen IPs in the direction of selection, effectiveness and no attraction