Out of the approximately VND63 trillion (US$2.50 billion) of public investment capital that remains unspent, a substantial portion of up to VND30,000 billion is allocated for site clearance. Amid the upcoming implementation of a new land price list from October 31, Ho Chi Minh City is intensifying its efforts to accelerate the progress of site clearance procedures.
In late October, leaders of the Ho Chi Minh City People's Committee continuously inspected the site and urged the progress of disbursement of public investment capital at key projects in the city.
During their inspections, leaders of the Ho Chi Minh City People's Committee called upon local authorities to accelerate the progress of site clearance and the subsequent handover of sites to investors.
The project to build the road connecting Tran Quoc Hoan and Cong Hoa streets has affected 85 households. As of September 30, of VND394 billion of the project investment capital, Tan Binh District People's Committee has only disbursed VND21 billion accounting for about 5.3 percent.
Tan Binh District People's Committee Chairman Nguyen Ba Thanh noted that the compensation and site clearance process for the project is still facing challenges related to land division and the overarching compensation and resettlement policy framework.
To address these issues, the district proposed that Ho Chi Minh City People's Committee enact regulations specifying the minimum allowable land division area. These regulations would serve as a foundation for developing comprehensive compensation, support, and resettlement plans.
Once these decisions are finalized, Tan Binh District will convene a meeting with affected residents to disseminate policies on detailed compensation and resettlement support for each individual household. Chairman Nguyen Ba Thanh reaffirmed the district's commitment to disbursing the remaining VND373 billion and transferring the site to the investor by November 2024.
At the site inspection on October 23, Vice Chairman of the Ho Chi Minh City People's Committee Vo Van Hoan requested the Tan Binh District People's Committee to urgently complete compensation procedures, support site clearance and hand over to the investor no later than November 30.
Prior, on October 22, Vice Chairman Vo Van Hoan conducted a site inspection and emphasized the need to expedite the compensation and site clearance processes for the National Highway 50 upgrade project in Binh Chanh District.
The Vice Chairman of the Ho Chi Minh City People's Committee has asked Binh Chanh district to meet with and explain the compensation plan to residents who have not yet agreed to it. This is to ensure that these individuals clearly understand the regulations and compensation details so that they agree to hand over the project site.
Simultaneously, city authorities are swiftly addressing infrastructure issues in the project area to expedite the disbursement of public investment capital. The Xuyen Tam canal project—aimed at dredging, environmental improvement, and infrastructure development, spanning from Nhieu Loc - Thi Nghe canal to Vam Thuat river in Binh Thanh and Go Vap districts—has been allocated over VND9,512 billion in public investment capital for 2024.
Out of this, over VND9,300 billion is allocated for compensation while more than VND212 billion covers construction, consulting, and other expenses. The disbursement of site clearance funds for this project is expected to significantly contribute to the city's overall disbursement performance.
Head Nguyen Van Hung of the Go Vap District Compensation and Site Clearance Board said that the project spans approximately 1.3km through the district and roughly 138 households are affected by the project. About 40 houses will be totally cleared while the area of 14 other houses will be shrunken. The initial compensation cost totals over VND354 billion. With the changes in the 2024 Land Law regarding compensation, support, and resettlement policies, the total estimated cost is expected to rise to VND670 billion.
By October 9, Go Vap District had paid compensation to 39 cases with an amount of nearly VND109 billion. It is expected that in December 2024, the district will pay compensation and support to all affected cases and mobilize people to hand over the site.
Meanwhile, the project has impacted a total of 2,077 households in Binh Thanh District, comprising 2,017 households and individuals, along with 60 organizations. A survey conducted among 1,435 households and individuals revealed that 71 percent expressed a desire to resettle and purchase a home within Binh Thanh District while 15.5 percent of respondents preferred to relocate to another district.
Furthermore, 27 percent indicated a need for assistance in job placement or career changes due to income fluctuations, and 20.7 percent showed interest in matters related to education, vocational training, and selecting appropriate schools for their children.
The People's Committee of Binh Thanh District is currently formulating a comprehensive plan for compensation, support, and resettlement associated with this project, with an anticipated approval of the plan scheduled for December.
In relation to this initiative, the Ho Chi Minh City Urban Infrastructure Construction Investment Project Management Board stated that once the two localities finalize the compensation, support, and resettlement plan, it will facilitate the disbursement of the total compensation and site clearance funds amounting to VND9,300 billion by December 2024.
