Why is the progress of the Vinh urban sub-project being affected?

(Baonghean) - According to a report from Vinh City, obstacles in land clearance have significantly affected the progress of the Vinh Urban Sub-project. Many packages lack sufficient cleared land for construction, and some packages have had their implementation deadlines extended. According to Decision No. 4522/QD.UBND-CN dated April 20, 2016, of the Nghe An Provincial People's Committee approving the project, the project is scheduled to be completed by June 2017. Therefore, the project is at risk of not meeting its deadline.

Land clearance issues exist in many areas.

The family of Ms. Hoang Thi Luong in Yen Binh hamlet, Hung Dong commune, is subject to land clearance for the Vinh - Hung Tay road construction project (connecting the 72m road) to Hung Nguyen. She was one of the first households to accept the compensation plan and wishes to hand over the land to relocate to a new resettlement site.

In the resettlement area of ​​Quan Bau ward, many families have not yet been cleared of their land.

Recently, due to giving up land for the construction of a railway overpass, and coupled with heavy rain, the entire area was severely flooded, leaving the family without access. They had to use wooden planks to climb over the wall to get outside. Speaking with reporters, she stated that, according to the initial agreement, the nearly 500 square meters of land where her house was located would be exchanged for a similar area in the resettlement zone. However, to date, her family has not received the full amount of land and therefore has not been able to relocate. Since her family is eligible for government assistance, she hopes for fair compensation. She is eager to receive a new land title deed soon to ensure the necessary procedures for building a new house can be completed.

The problem isn't limited to Ms. Luong's case; the entire Yen Binh hamlet has yet to clear the land. The construction contract for the Vinh - Hung Tay road section from Km4+620.00 to Km6+224.34 and the railway overpass was signed on February 29, 2016, and was scheduled for completion on July 14, 2017.

However, construction volume is estimated at 30%, while the implementation time is approximately 50%. The slow progress is due to land clearance issues. Land belonging to businesses such as Automobile Transport Company No. 5, Kim Lien Trading Company Limited, Vinh Locomotive Enterprise, etc., still lacks approved compensation and land clearance plans, significantly impacting the construction progress of the section crossing the railway overpass. Other packages under the Vinh - Hung Tay road project regarding residential land lack approved compensation and resettlement plans, and the on-site resettlement area has not been completed.

In the contract for upgrading and renovating the canals surrounding Vinh Ancient Citadel, signed on January 27, 2016, with a planned completion date of August 10, 2017, the estimated construction volume is 25%, while approximately 50% of the project has already been implemented.

In Cua Nam ward, 195 households had their land expropriated. Compensation plans for land clearance have been approved for 188 households, totaling 62.5 billion VND. 32.5 billion VND has been disbursed, with 99 households having already received compensation. The remaining households are still being processed and are expected to be completed in November 2016.

Many hamlets in Hung Dong commune, along the 72m Vinh City - Hung Tay road, have not yet been cleared of obstacles.

In Quang Trung ward, 25 households had their land expropriated. Compensation plans for land clearance have been approved for all 25 households, totaling 14.2 billion VND. Of this amount, 7.4 billion VND has been disbursed, with 18 households already receiving compensation. The remaining 3 households are still being processed and are expected to be completed in November 2016.

In Doi Cung ward, 54 households had their land expropriated. Compensation plans for land clearance have been approved for all 54 households, totaling 11 billion VND. 8.5 billion VND has already been disbursed, with 52 households receiving compensation. The remaining 1 household is still being processed and is expected to be completed in December 2016.

However, many households have yet to hand over the land, causing difficulties for the contractor in carrying out the construction. The remaining households still lack a land clearance and resettlement plan to proceed with the project.

Currently, 11 construction packages are underway, but each is facing difficulties with land clearance. The package for constructing the road connecting National Highway 46 with the Lam River embankment road from km0+0.0 to km4+359.54, contracted on January 28, 2016, and scheduled for completion on June 11, 2017, has achieved an estimated 35% completion rate, while approximately 64% of the planned timeframe has elapsed...

Meanwhile, in the Quan Bau ward resettlement area, designated for the resettlement of those affected by the ancient citadel moat construction project and other projects, construction remains incomplete due to land clearance issues. Currently, the Vinh City Land Development Center has handed over and cleared all agricultural land and over 90% of the residential land, reaching 90% of the total resettlement area; four households have yet to receive compensation because residents are appealing the compensation rates. In this area, although some households have built new houses, they have not yet handed over the land to the project, while the Vinh City Land Development Center has yet to find an effective solution to persuade the residents.

Lack of matching funds

To date, the total disbursed capital for the Vinh Urban Sub-project is US$42.03 billion, reaching 50% of the total project capital, with 77% of the project implementation time completed. The counterpart funding for the project has currently reached VND 805 billion, including VND 321 billion from the central government budget and VND 484 billion from the local government (province and city). The cumulative disbursement of counterpart funding as of October 10, 2016, is VND 745/805 billion, equivalent to 92.5%. Therefore, VND 337 billion in counterpart funding is still needed for the entire project. Currently, the Provincial People's Committee, the Vinh City People's Committee, and the Project Management Board are expediting procedures to request central government funding and seeking other sources of funding to prioritize the allocation of the remaining VND 337 billion needed for the project.

The 72m Vinh - Hung Tay road still has many hamlets where land clearance has not been completed.

The reasons for the slow progress in land clearance can be attributed not only to the low level of public awareness regarding land acquisition and acceptance of compensation plans for large-scale urban projects, but also to the lack of decisive involvement from responsible agencies and local wards/communes in assisting individual households. Given the risk of missing commitments made to the World Bank, all levels and sectors need to prioritize accelerating land clearance, intensifying communication and explanation of compensation policies, ensuring transparency, and protecting the rights of displaced people. Furthermore, it is crucial to secure funding and disburse it promptly according to the plan to meet project needs.

Pearl