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Policy showering: the investment in farmland water conservancy this winter and next spring exceeds 300billion

policy showering: the investment in farmland water conservancy this winter and next spring exceeds 300billion

China Construction Machinery Information

Guide: the water conservancy construction industry is expected to welcome another spring since the No. 1 central document and the central water conservancy work conference in 2011. Recently, driven by the notice on accelerating the construction progress of key water conservancy projects issued by the Ministry of water resources, relevant policies in the field of water conservancy construction have entered an intensive release period, with 50Hz water first

the water conservancy construction industry is expected to welcome another spring since the central "No.1" document and the central water conservancy work conference in 2011. Recently, driven by the notice on effectively accelerating the construction progress of key water conservancy projects issued by the Ministry of water resources, the relevant policies in the field of water conservancy construction have entered a period of intensive release. First, the Ministry of water resources has launched the supervision of the supporting continuation and water-saving transformation of large and medium-sized irrigation areas across the country, and now it has begun to lay out the annual "tough battle" of farmland water conservancy infrastructure construction in spring and winter. Water conservancy construction industry policy "rain" fell

insiders pointed out that under the "supervision" of a series of policies, the investment in farmland water conservancy construction of more than 300billion yuan proposed by the Ministry of water resources is expected to accelerate the release to the market, and enterprises such as infrastructure engineering companies, water-saving irrigation pipe pump manufacturers and engineering companies are expected to harvest a new round of orders, thereby consolidating the foundation of annual performance

however, some analysts pointed out that the implementation of water conservancy investment is directly related to the availability of local supporting funds, and there is uncertainty, which may affect the capital circulation cycle of water conservancy construction enterprises

the construction of farmland and water conservancy has launched a "tough battle"

since the second half of the year, the field of water conservancy construction has been reported frequently. At the end of September, the Ministry of water resources issued the notice on accelerating the construction progress of key water conservancy projects, requiring to accelerate the construction of projects that have issued investment plans but have not completed the preliminary work. Subsequently, the Ministry of water resources sent several research teams to various places to supervise the construction progress and fund implementation of key water conservancy projects. An annual "tough battle" in the field of irrigation and water conservancy construction has quietly started. The relevant person in charge of the development research center of the Ministry of water resources told the China Securities Journal that the central "No.1" document in the first half of last year and the convening of the central water conservancy conference in the second half of last year supported the good situation of national water conservancy investment and construction in the whole year. In particular, the "No. 1" document proposed that "10% of the national land transfer income should be used for farmland and water conservancy construction", which has brought about the climax of farmland and water conservancy investment and construction that has seriously lagged behind in the past. However, since the beginning of this year, there has been a situation of "big thunder and little rain" in the implementation of the central work plan. Based on this, the Ministry of water resources urged all localities to accelerate the pace of implementation to ensure that the central policy deployment was completed on schedule

according to the law of the water conservancy construction industry, the winter and spring period is from November to march of the next year, and the construction in various fields of water conservancy will usher in a centralized promotion period. It was learned that this year, the Ministry of water resources will issue the "national winter and spring farmland water conservancy infrastructure implementation plan" in advance, proposing that the total investment in the national farmland water conservancy construction this winter and next spring will exceed 300billion yuan, which is more than 15% higher than that in the same period last year at the technical level

the above person in charge said that the national investment in farmland and water conservancy construction will increase year by year, which will become a long-term direction. The purpose is to achieve the goal of "by 2020, the national farmland and water conservancy construction fund will reach 4trillion yuan" proposed in No. 1 central document last year. In addition, the progress and investment in other water conservancy construction fields, such as the "water saving and grain increasing" in Northeast China and the construction of key counties for small-scale farmland and water conservancy, will also be gradually increased

water saving irrigation leads the investment theme

according to the Research Report of Cinda securities, the investment in fixed assets of water conservancy completed 265.194 billion yuan in the first three quarters of this year, with a year-on-year increase of 17.15%. The year-on-year high-speed growth trend of water conservancy investment continues. The report predicts that the total investment in fixed assets of water conservancy in 2012 is about 400billion yuan

it is worth noting that combing the water conservancy policy documents released successively this year, we can find that the focus of national water conservancy construction this year and in the future is to make an article on water-saving irrigation and transformation of farmland and large and medium-sized irrigation areas. Taking the implementation plan of national winter and spring farmland water conservancy infrastructure construction as an example, the main goal of its implementation is to add more than 45 million mu of efficient water-saving irrigation area to farmland nationwide in this winter and next year (for shear wave test)

some market analysts pointed out that the main areas of water conservancy construction are the "Three North" water shortage areas in the northwest, North China and northeast. The fundamental task of farmland water conservancy construction in these areas is to increase the area of efficient and water-saving irrigation. In view of this, the water-saving irrigation industry market in these regions is driven by the investment of more than 300billion yuan

in fact, since last year, affected by a series of favorable policies, the domestic water conservancy construction market has also benefited the most from the water-saving irrigation sector. It can be seen from the three quarterly reports of listed companies that the performance of relevant equipment production and engineering business with water-saving irrigation as the main industry is remarkable. Among them, the net profit of Dayu water saving, New Territories pump and Guotong Co., Ltd. in the third quarter increased by 80.2%, 39.83% and 19.61% year-on-year respectively. Under the current situation that the overall net profit of A-share companies in strategic emerging industries fell by 15% in the first three quarters, water-saving irrigation can be said to be unique

Wang Guangming, Secretary of Dayu water saving board, said that at present, the effective irrigation area of farmland in China is more than 900 million mu, of which the area of efficient water-saving irrigation is less than 10%. The effective utilization coefficient of farmland irrigation water is also nearly half lower than the level of 0.8 in developed countries. There is still much room for China to vigorously promote efficient water conservation

Wang Guangming said that as a leading enterprise in the field of water-saving irrigation, Dayu water saving has formed a perfect layout in the "Three North" region with the advantages of drip irrigation and sprinkler irrigation technology. The company signed new orders of 522 million yuan in the first three quarters, an increase of 24.58% year-on-year

"with the increase of water conservancy investment this winter and next spring, the bidding of water conservancy projects in various regions will usher in a small climax in the next few months. At that time, enterprises with scale and technological advantages will harvest a large number of orders, laying a good foundation for supporting the continuous rise of performance next year." Wang Guangming said

local supporting funds to be implemented

according to the requirements of the above plan, in the total investment in farmland and water conservancy infrastructure construction this winter and next spring, the investment in the central financial budget accounts for about 41%, the local financial supporting investment at all levels accounts for 44%, and the investment of the masses and other social organizations accounts for 15%. This shows that although the central investment continues to increase, local supporting funds still account for the main part of the overall investment

some industry experts are worried about this. At present, the "persistent disease" of domestic water conservancy construction is the problem of local supporting funds. Taking large-scale irrigation districts as an example, the research report from the China irrigation and Drainage Development Center pointed out that according to incomplete statistics, at present, the continued construction of this material in large-scale irrigation districts can preserve at least 50% of the bending strength at room temperature at a high temperature of 150 ℃. The national average completion rate of supporting funds is about 50%, and the central average is less than 30%. The proportion of supporting funds implemented in the west is lower, which affects the smooth implementation of supporting and water-saving reconstruction projects in irrigation districts

in addition, the problem of "the last kilometer" of water conservancy pipelines is widespread nationwide, which may also become elbow restraint. An enterprise executive said that last year, the company won the bid for the BOT project of a water-saving reconstruction project in a large irrigation area in Inner Mongolia. It won the bid in March. When the water-saving irrigation pipeline facilities were fully configured in June, the main diversion channel was still not completed, which directly affected the operation efficiency of the project, and the advance payment of the project could not be recovered in time

Wang Guangming said that since last year, a series of central policies have strongly promoted water conservancy construction, and the engineering orders undertaken by the company have continued to grow. But at the same time, due to the lack of fund allocation, a large amount of funds advanced in the early stage of related projects can not be settled in time, which also affects the improvement of the company's performance to a certain extent. "We hope that the bottleneck problem of the industry can continue to attract policy attention, so as to effectively improve the enthusiasm of enterprises to participate in the development of the industry." He said