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HCM City struggles to relocate slum dwellers

Lack of funds has been blamed for the slow progress of plans to relocate residents of 20,000 houses in slums along canals and rivers in Ho Chi Minh City.
HCM City struggles to relocate slum dwellers ảnh 1Children in a slum in HCM City’s District 4. The city has tried to lure private funds to relocate slum dwellers but investors pulled the plug after seeing little in return (Photo: VNA )
HCM City (VNA) - Lack of funds has been blamed for the slowprogress of plans to relocate residents of 20,000 houses in slums along canalsand rivers in Ho Chi Minh City.

According to the city’s Departmentof Planning and Investment, relocating those families will require about 30.8trillion VND (1.37 billion USD), while the current budget is only 2.1 trillionVND (93 million USD).

The city has tried to lureprivate funds to the project but some interested investors pulled the plugafter seeing little in return.

Districts still face manydifficulties in defining boundaries, land recovery, resettlement lands,compensation and site clearance. In particular, the amount of compensationallocated for the projects is insufficient for people to build their ownhousing or buy a house.

A recent reported released by theDepartment of Construction also shows many difficulties in implementing theprogramme, such as cumbersome administrative procedures.

Therefore the city’s slumrelocation programme will likely not meet its 2020 deadline for completion, thedepartment said. So far, only 502 houses have been cleared.

Slums have existed along thecanals for more than half a century, mainly in districts 4, 7, 8 and BinhThanh. The houses are seriously degraded and often lack toilets. Most oftheir residents lack steady jobs.

Le Quynh Dai, Vice Chairman of theDistrict 8 People’s Committee, said the progress of relocation was slowand lacked of investors. By June 2018, the district may announce plans forcompensation, he added.

Most slum inhabitants would liketo remain in the area where they live, adding to the obstacles since thecompensation for which they are eligible is low and inadequate to pay forhousing in the vicinity.

Architecture Pham Tu, deputychairman of the Vietnam Association of Architects, said that based on theexperience of countries around the world, such urban development is inevitable,but vacating entire large areas is not a suitable option.

Under current economicconditions, to make the plan feasible, the city should divide land plots forsale to those who are able to build their own houses, Tu said. This willchange the land value in the canal areas, especially those in favourablelocations, he said.

It will also be less expensiveand will not disrupt the habitat of generations of families that have relied onrivers and canals for their living, Tu added.

According to architect Pham AnhTuan, land adjustment is an important tool to address the challenges ofrenovating and improving homes along rivers and canals. Instead of moving toother places, residents will have their own land to build new houses. Althoughthe plots will be smaller than their old ones, the value and environment of thearea will improve, Tuan said.

A number of vacant plots can besold to obtain funds for building public infrastructure or low-income housing,he said.-VNA
VNA

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