15.4 Key Sectoral Reforms
323
15.4.2.3 After 2005
In 2005, in light of agricultural water resources management problems since the
beginning of the decade, Opinions on Developing Irrigation Infrastructure Construction New Mechanisms issued by the NDRC, the Ministry of Financing, the MWR,
the Ministry of Agriculture and the MLR proposed a substantial increase in public
financial support for field-level irrigation by means of “guiding by the governmental
aid and depending on farmers’ voluntary labor and investment.” Governments should
gradually increase support for water resources development and emphasize smallscale rural water resources development. At the same time, an increase in government
investment should be combined with an increase in farmer labor input. The document
proposes setting up a special fund to provide aid to small-scale irrigation projects
and to subsidize farmers building them. The document also required the NDRC to
increase support for irrigation infrastructure, and arrange land premiums in irrigation
infrastructure.
Although the document emphasizes government support as the seed for both
government and farmer to increase irrigation works, it is clear that lead responsibility
rests with the government and further, considerable public investment is envisaged.
In the following years, the central government was continuously required to increase
investment in rural areas and agriculture, as defined in the following State No. 1
Document issued after 2005.
The 2008 Some Opinions on Strengthening Agricultural Infrastructure Development and Further Promoting Agricultural Development and Farmer’s Income
Increase defined ways of improving support for agriculture by adjusting financial
expenditure, fixed investment, and loan structures. The aim was to guarantee an
increase in investment that exceeded general revenue, as well as a substantial increase
in public investment in rural infrastructure. The document prioritized improvements
to irrigation infrastructure as the core of the sector and an important condition for
modern agriculture. It also called for improvements to medium- and low-yield cultivated land, and for the improvement of large-scale and key irrigation and drainage
projects. With regard to small-scale projects, the document developed an innovative
investment mechanism to “encourage and reward replacing subsidy” to stimulate
farmers to develop small-scale irrigation infrastructure widely.
The 2010 No. 1 Document called for an increase in the amount and proportion
of capital invested in farmers, agriculture, and rural areas. In terms of agricultural
water resources management, the document called for expanding sources of funding
for the development of water resources, largely through the increase in capital of the
central and provincial small-scale irrigation infrastructure construction aid special
funds.
The 2011 Decision on Speeding Water Sector Development and Reform, called
for irrigation infrastructure to be fully developed to increase effective irrigation areas.
At the same time, central and provincial finance should be increased for special aid
funds in particular, while prefectural and county governments should increase their
irrigation infrastructure construction investment and encourage farmer input labor
voluntarily. Public investment in water resources development should be doubled
323
15.4.2.3 After 2005
In 2005, in light of agricultural water resources management problems since the
beginning of the decade, Opinions on Developing Irrigation Infrastructure Construction New Mechanisms issued by the NDRC, the Ministry of Financing, the MWR,
the Ministry of Agriculture and the MLR proposed a substantial increase in public
financial support for field-level irrigation by means of “guiding by the governmental
aid and depending on farmers’ voluntary labor and investment.” Governments should
gradually increase support for water resources development and emphasize smallscale rural water resources development. At the same time, an increase in government
investment should be combined with an increase in farmer labor input. The document
proposes setting up a special fund to provide aid to small-scale irrigation projects
and to subsidize farmers building them. The document also required the NDRC to
increase support for irrigation infrastructure, and arrange land premiums in irrigation
infrastructure.
Although the document emphasizes government support as the seed for both
government and farmer to increase irrigation works, it is clear that lead responsibility
rests with the government and further, considerable public investment is envisaged.
In the following years, the central government was continuously required to increase
investment in rural areas and agriculture, as defined in the following State No. 1
Document issued after 2005.
The 2008 Some Opinions on Strengthening Agricultural Infrastructure Development and Further Promoting Agricultural Development and Farmer’s Income
Increase defined ways of improving support for agriculture by adjusting financial
expenditure, fixed investment, and loan structures. The aim was to guarantee an
increase in investment that exceeded general revenue, as well as a substantial increase
in public investment in rural infrastructure. The document prioritized improvements
to irrigation infrastructure as the core of the sector and an important condition for
modern agriculture. It also called for improvements to medium- and low-yield cultivated land, and for the improvement of large-scale and key irrigation and drainage
projects. With regard to small-scale projects, the document developed an innovative
investment mechanism to “encourage and reward replacing subsidy” to stimulate
farmers to develop small-scale irrigation infrastructure widely.
The 2010 No. 1 Document called for an increase in the amount and proportion
of capital invested in farmers, agriculture, and rural areas. In terms of agricultural
water resources management, the document called for expanding sources of funding
for the development of water resources, largely through the increase in capital of the
central and provincial small-scale irrigation infrastructure construction aid special
funds.
The 2011 Decision on Speeding Water Sector Development and Reform, called
for irrigation infrastructure to be fully developed to increase effective irrigation areas.
At the same time, central and provincial finance should be increased for special aid
funds in particular, while prefectural and county governments should increase their
irrigation infrastructure construction investment and encourage farmer input labor
voluntarily. Public investment in water resources development should be doubled