Nghe An: Consider allocating 2,394 billion VND in land use fees for 4 urban areas to upgrade and expand Vinh Airport, build a bridge to Cua Lo deep-water port

Currently, Nghe An Provincial People's Committee is collecting opinions to submit to the Provincial People's Council for consideration and promulgation of a special mechanism on regulating land use fee revenue from projects with land use fee collection to the provincial budget to create capital for compensation and site clearance for the Vinh International Airport project and investment in the construction of an access bridge connecting National Highway 7C with Cua Lo Deepwater Port.

Accordingly, there are 4 projects expected to be submitted to the Provincial People's Council for comments, including: Nghi Lien Urban Area Project in Nghi Lien Commune, Vinh City with a planned area of ​​103.68 hectares. The estimated cost for compensation and site clearance support is 402 billion VND. The expected budget source used after deducting the cost of compensation and site clearance support is 1,551 billion VND.

The Bac Nghi Kim Urban Area Project in Nghi Kim Commune, Vinh City has a planned area of ​​17.96 hectares. The estimated cost for compensation and site clearance support is 55.38 billion VND. The estimated budget source used after deducting the cost of compensation and site clearance support is 314 billion VND.

The new residential area project in Hung Hoa commune, Vinh city has a planned area of ​​4.22 hectares. The estimated cost for compensation and site clearance support is 13.2 billion VND. The estimated budget source used after deducting the cost of compensation and site clearance support is 151 billion VND.

The Vinh Riverside Urban Area Project in Vinh Tan Ward, Vinh City has a planned area of ​​20.07 hectares. The estimated cost for compensation and site clearance support is 92 billion VND. The estimated budget source used after deducting the cost of compensation and site clearance support is 378 billion VND.

Previously, on December 9, 2022, the People's Council of Nghe An province issued Resolution No. 26/2022/NQ-HDND stipulating a special mechanism for regulating land use fee revenue from projects with land use fee collection for the provincial budget to create capital for compensation and site clearance for the Vinh International Airport project and invest in the construction of an access bridge connecting National Highway 7C with Cua Lo Deepwater Port, including 4 urban area projects in Vinh City: Song Lam Urban Area in Hung Dung Ward; Song Lam Exhibition Urban Area in Hung Dung Ward; Urban Area in Hung Loc Commune; Urban Area in Nghi Phu Commune and Hung Loc Commune.

However, the implementation of Resolution No. 26/2022/NQ-HDND has encountered many difficulties, including: The Song Lam Urban Area Project in Hung Dung Ward is taking steps to review the investment policy, but there are still problems with planning, so the ability to generate capital in 2024 and 2025 is not feasible; The Song Lam Exhibition Urban Area Project in Hung Dung Ward has not been implemented in 2024 due to problems with the project's legal procedures, leading to insufficient capital for the provincial budget to carry out compensation, site clearance for the Vinh International Airport project and invest in building a bridge connecting National Highway 7C with Cua Lo Deep-water Port.

Therefore, it is extremely necessary to add highly feasible projects to Resolution No. 26/2022/NQ-HDND to create additional revenue for the provincial budget, thereby promptly ensuring resources to implement key projects in the province.

If the Resolution on Supplementing the List of Projects under Resolution No. 26/2022/NQ-HDND dated December 9, 2022 of the Provincial People's Council promulgating regulations on a special mechanism for regulating land use fee revenue from projects with land use fee collection for the provincial budget, to create capital for compensation and site clearance for the Vinh International Airport project and investment in the construction of an access bridge connecting National Highway 7C with Cua Lo Deepwater Port is approved, the total amount expected to be collected from the above 4 urban area projects is about 2,394 billion VND, plus the projects that can be implemented in Resolution 26/2022/NQ-HDND of the province, the expected revenue in 2024 is 3,599 billion VND.

Currently, in Nghe An province, there are large infrastructure investors such as: WhA Industrial Zone1 - Nghe An Joint Stock Company, VSIP Nghe An Company Limited, Hoang Thinh Joint Stock Company have invested in industrial park infrastructure and attracted secondary investors to invest in Nghe An province.

However, the current state of the province’s infrastructure is still inadequate, which has affected investors’ choice of investment locations. In particular, the current state of the seaport infrastructure in Nghe An has not met the demand for transporting goods by sea.

Currently, Cua Lo port is operating with 20,000 - 30,000 DWT ships with reduced capacity, with an output of about 6 million tons/year, while the import and export demand of Nghe An province in the coming period is 20-30 million tons, so it cannot meet the import and export requirements. Therefore, many export enterprises have to go through other ports.

In addition, Vinh International Airport has not yet met the needs of serving customers, many times the check-in area is overloaded, the international passenger terminal has not met the requirements because it is using the old renovated terminal; there is no cargo terminal, the hangar area is under repair; the number of parking lots can only accommodate a maximum of 6 aircraft, while at times 8 to 9 parking positions are needed; the existing runway is 2,400m long and can only accommodate A320/A321 aircraft (code C aircraft) or equivalent, and cannot receive large-body aircraft code E such as A350, B777, B787...

Low flight capacity/hour (4 flights per hour, maximum 5 flights), degraded runway quality, frequent maintenance and repair required; no parallel taxiway system affects flight take-off and landing times.

To create momentum for socio-economic development, Nghe An is promoting steps to implement investment in key projects in the province such as: Vinh International Airport, Investment project on construction and business of Cua Lo deep-water port in Nghi Thiet commune, Nghi Loc district; Investment project on construction of bridge connecting National Highway 7C with Cua Lo deep-water port.