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Project delays plague HCMC, Da Nang

Update: September, 21/2013 - 10:06

HCM CITY (VNS)— The municipal authorities of HCM City and Da Nang have pulled the plug on many urban projects that have been suspended or delayed for long, but there are many more that have dragged on for decades, causing huge inconvenience for people living in their vicinity.

For instance, a 426-hectare urban development project in the Binh Quoi - Thanh Da Peninsula in Binh Thanh District was approved 20 years ago but has made no progress.

Residents living in the project site are not allowed to repair or sell their houses in the meantime.

To build a house, they must undertake not to claim compensation when their land is finally acquired for the project.

Similarly, the Van Thanh Youth Urban Area proposed in wards 17, 19, and 22 of Binh Thanh District remains in limbo 20 years after it was approved.

A 40ha park in ward 15, Go Vap District, has made no progress after 14 years. After vexed residents in the area illegally built hundreds of houses, they were demolished recently.

Only 3,000sq.m have been handed over to the Tan Thuan Co. Ltd, the approved developer of a 52,000sq.m residential area in Tan Phong ward, District 7.

The project has been suspended for more than 10 years now.

Dao Anh Kiet, director of the city Department of Resources and Investment, said 882 property projects had been approved, compensation had been paid in 785 cases, but only 45 had been carried out.

The large amounts of compensation required to pay landowners was one of the biggest hurdles facing many projects.

Others included the complex formalities related to planning and construction permits.

Vo Van Sen, a member of the HCM City People's Council, said investors of a number of suspended projects sought to sell them to other developers.

Their low financial capacity and difficulties related to land clearance and compensation were among other hurdles they face, he added.

In Da Nang, the Department of Construction has recommended the scrapping of 32 projects, changes to 50 others, and a review of 70 that have been delayed.

The projects are mainly in the inner districts of Lien Chieu and Son Tra and the suburban district of Hoa Vang.

Twenty two projects in Thanh Khe District have been reviewed while construction of a residential area meant for An Hoa Garment Company workers has been called off.

An application to turn the proposed Nguyen Hoang private high school into a residential area has been rejected. The investor has been ordered to complete the work on schedule failing which the licence would be revoked, authorities have warned. — VNS

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