Around US$15 million energy pellet project still on paper

The VND24 billion (around US$15 million) energy pellet project was still on paper, said the Management Board of Quang Binh Economic Zone.

Around US$15 million energy pellet project is a vacant land

The management board today said that the construction of the energy pellet factory of Korean Dohwa Resource Development Company in Hon La Economic Zone worth VND240 billion project expires on December 31, 2023, but the Korean Company has had no move to complete.

According to the Management Board of Quang Binh Economic Zone, the Dohwa Energy Pellet Factory Project was granted an investment registration certificate by the provincial Economic Zone Management Board on April 8, 2016, with a total investment of VND240 billion. The project is expected to be built on an area of 3 hectares and put into operation in the second quarter of 2017, with the highest capacity reaching 200,000 tons of pellets per year.

After being granted the land, from 2016 until now, Dohwa Quang Binh Resource Development Co., Ltd. has only built a fence around the land and a 2-story house. After 9 years from the date of issuance of the investment certificate and through 4 extensions of the project completion date, the factory has not yet been built but is empty. The land is left for grass to grow and becomes a grazing land, also a place to dump waste.

Director Phan Van Thuong of the Management Board of Quang Binh Economic Zone said that in 2021, Quang Binh Province permitted Dohwa Resource Development Limited Company, under South Korea’s Dohwa Engineering, to delay its energy pellet factory by one year to December 31, 2022. However, in 2023, this unit continues to ask for an extension until December 31, 2023 to complete the factory, but so far there has been no construction activity.

In the meeting between the local government and the company on May 25, 2023, this unit committed to the operation of the factory on schedule in the working minutes. Moreover, if it has not been implemented, the Economic Zone Management Board will report to the Provincial Party Committee and Provincial People's Committee to take back the project according to the present regulations.

Permanent Vice Chairman Doan Ngoc Lam of the People's Committee of Quang Binh Province said that the extension until the end of 2023 is the final extension, and if it has not been implemented up to now, the company has breached its commitments and agreements under land law.

Meanwhile, Chairman Nguyen Duc Hien of the People's Committee of Quang Dong Commune said that initially, people expected the factory to have more jobs and create the development of planting material forests for the factory, but now the factory is just on paper that makes people planting raw material forests frustrated.

The People's Committee of Quang Dong Commune said that leaving the land vacant is causing a loss of land tax and production tax. If the project is completed by 2017 until now, it will create many jobs. However, up to now, the project is still a very wasteful vacant land.

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