Province working to determine status of long-delayed projects and will push for implementation by existing or new investors.
It has inspected all delayed projects and revoked the licenses of those with particularly slow implementation.
A report sent to VET revealed that 138 projects are delayed and 32 projects have been approved but are yet to complete administrative procedures.
Twenty-two projects are in industrial parks, 78 outside of industrial parks, and 38 in the housing sector.
“The reason for the long delays is the investor lacking capital to proceed,” a representative from the provincial Department of Planning and Investment (DPI) told VET.
Moreover, “they have been waiting to sell their projects for a profit, and some have not cooperated with local residents in site clearance work,” he added.
“The government has allocated land to investors but their projects have stalled for three years, five years and even ten years, which is a serious waste of land resources,” Mr. Nguyen Huu Loi, Deputy Director of the Ba Ria Vung Tau Department of Natural Resources and Environment, told the conference.
“Many investors have been assigned numerous projects but do have sufficient financial capacity to implement them all at the same time,” he added.
“Some investors have applied for projects to be transferred through acquisition, capital contributions, or separating and merging businesses.”
Meanwhile, the evaluation of investors’ financial capacity has been limited and primarily based on unverified profiles provided by the enterprises.
The Huong Sen Golf Course and Service Complex project, located at a favorable site in Phuoc Hai township of Dat Do district, is being developed by the Huong Sen Corporation and was granted an investment license in 2008 with registered capital of around $36 million.
The project was to build an 18-hole golf course, a five-star hotel, villas, an entertainment area and coastal resorts.
When it was licensed many local people believed Dat Do would benefit from social and economic development.
Eight years later, site clearance and compensation have been completed but the investor has not been in contact with local authorities regarding legal procedures for further implementation.
Vung Tau city currently has 50 tourism and real estate projects with delayed implementation, with total investment in the billions of dollars and in favorable sites along the coast and on its popular Back Beach.
One of the largest projects not only in the province but also in Vietnam is the Saigon Atlantis Hotel, a major tourist complex with hotels, tourism services, entertainment areas and facilities in Chi Linh – Cua Lap.
The project was to be developed by the Winvest Investment Vietnam Company Ltd. under the US’s Winvest LLC on an area of 307 ha of land and 610 ha of reclaimed land with total capital of $4.1 billion.
It has been nearly ten years since it licensed and only site clearance of 215 ha has been completed.
The province is therefore keen to address delayed projects to create a healthy environment and investment opportunities for new investors.
It will work closely with enterprises and investors to provide support solutions, resolve difficulties and obstacles, reform administrative procedures, improve the investment environment, and create the best conditions possible for business.
VN Economic Times
The article "Ba Ria Vung Tau tackling delayed projects" was originally published on https://www.talkvietnam.com/2016/09/ba-ria-vung-tau-tackling-delayed-projects/