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"3 public consumptions" still buried in govt reports

2011-07-20 15:22    Ecns.cn     Web Editor: Su Jie
By July 18, 45 of the 98 ministries have unveiled their fiscal information regarding funds used for the three public consumptions.

By July 18, 45 of the 98 ministries have unveiled their fiscal information regarding funds used for the "three public consumptions."

(Ecns.cn)--Since May, the State Council has repeatedly called on its ministries to disclose by the end of June their fiscal information regarding funds used for the "three public consumptions"! overseas travel, official receptions and government cars.

Nearly half a month past the deadline, about half of the ministries have failed to do so, stirring speculation about potential "squandering practices" by government officials.

"The ministries should publish their expenses as soon as they are asked," said Shu Kexin, a researcher from the Workshop in Institutional Analysis and Public Policy at Renmin University. "There must be something on their minds if they find it so hard to disclose the information."

Are the ministries shy?

Statistics from the Ministry of Finance show that the central departments and government-owned public institutions spent 9.47 billion yuan ($1.47 billion) on the three items in 2010, including 6.17 billion ($955 million) on vehicle purchases and maintenance, 1.77 billion ($274 million)) on overseas trips and 1.53 billion ($237 million) on receptions.

For 2011, the related budget has been set at 9.43 billion yuan ($1.46 billion), dropping by 0.5%, with allocations for official cars, overseas travel and receptions registered at 5.92 billion ($916 million), 1.99 billion ($308 million) and 1.52 billion yuan ($235 million), respectively.

Though the decrease is small, said Jia Kang, director of the Institute of Research at the Ministry of Finance, it is a painful step forward.

But most of the ministries are still hiding behind a veil, according to Zhu Lijia, a professor at the Chinese Academy of Governance. They are afraid that such disclosures will be questioned by the public, which further proves that potential corruption and extravagance might still exist.

Loopholes in govt budget system

Experts say the current government budgetary system might also be to blame for the delayed disclosure of spending on the "three public consumptions."

There are no separate and specific sections for the three items in the current system, said Li Yan, deputy director of the Institute of Finance at the Central University of Finance and Economics. "That's why it takes so long to reveal the figures."

Budgetary expenditures are categorized on one hand by function, such as education, health care and public security, and on the other hand by specific purpose, including wages and construction fees, explained Li.

"The 'three public consumptions' should be covered in the latter category," Li added. "However, items like official receptions are not listed."

"Many specific items need to be adjusted to calculate spending on the three consumptions," Li continued. "This requires further reforms in the budgetary system."

"Some ministries are worried about the accuracy of figures being summed up in this way, and are unwilling to publish their statements," noted Jia Kang.