The Nghi Son Economic Zone (NZZ) has currently attracted over 300 direct investment projects from businesses. However, some projects are still facing difficulties and obstacles, preventing their implementation or causing delays. Currently, Thanh Hoa province is actively directing relevant departments and localities to make the utmost effort to resolve legal procedural and land clearance issues for these projects as soon as possible.
Provincial leaders and departmental officials review the investment location for the Nghi Son High-Tech Mechanical Manufacturing Plant Project. Photo: Tung Lam.
The Duc Giang Chemical Complex, dubbed a "mega-project" of Duc Giang Chemical Company Limited, boasts a total investment of 12,000 billion VND across two phases. Phase 1 of the complex received investment approval in 2020, with a total investment of 2,400 billion VND. The project, covering 30 hectares, has a production capacity of 151,000 tons of chemicals per year; including 50,000 tons of 100% concentrated NaOH (sodium hydroxide), 30,000 tons of PAC (polyaluminum chloride), 20,000 tons of calcium carbonate (Ca) bleaching powder, and 15,000 tons of hydrochloric acid (HCl). Once Phase 2 is operational, PVC (polypropylene) plastics will be produced, promising to be the first time Vietnam has manufactured a product with such complex processing technology.
Currently, the investor has coordinated with the Nghi Son Town People's Committee to complete the compensation and land clearance for the entire 30 hectares of the project. However, in addition to obstacles related to fire safety procedures under the responsibility of the central government, the project is also facing difficulties because it is located in Industrial Zone No. 15, but the 1/2000 scale zoning plan has not yet been approved. Therefore, there are no locations for connecting transportation and water supply and drainage systems close to the project boundary, and there is insufficient basis for the Ministry of Industry and Trade to appraise the feasibility study report. Furthermore, the relocation and resettlement project for some households in Lam Quang village, Tan Truong commune (Nghi Son town) has not been completed, affecting the implementation of some project components.
To expedite the project's implementation, Thanh Hoa province recently directed relevant departments and agencies to provide support to the company in completing investment procedures and related legal matters. Simultaneously, it requested Nghi Son town to accelerate the investment in the resettlement project for some households in Lam Quang village, Tan Truong commune, to facilitate the relocation of households eligible for resettlement. These objectives aim to support the investor in carrying out related tasks to ensure the project can commence in the third quarter of this year.
Regarding the Nghi Son High-Tech Mechanical Engineering Factory Project, the Provincial People's Committee has approved the investment policy and the project investor in Decision No. 2270/QD-UBND, dated June 27, 2023. With a designed capacity of 50,000 tons of products per year, the project aims to boost the production of metal components, mechanical processing, and the installation of industrial machinery and equipment, meeting the needs of key national and international construction projects. According to Dai Dung Construction and Trading Mechanical Engineering Joint Stock Company, this is a strategic project for the company, with products primarily supplied to petrochemical plants, heavy industries, thermal power plants, high-rise buildings, prefabricated steel structures, public infrastructure, and other components. The factory aims to export 70-80% of its products, with transportation from Nghi Son seaport.
The project involves a total land area of 10.2 hectares affected by land clearance, impacting 320 households and 1 organization. Currently, the investor has completed the inventory of the current land status and verified land ownership; the Nghi Son Town People's Committee has approved the first phase of compensation and support for 141 households/4.23 hectares/7.18 billion VND. However, the project still faces obstacles due to overlapping land areas, as the Provincial People's Committee has already approved investment policies for a portion of the Cong Thanh Fertilizer Plant Construction Project.
To address this issue, Thanh Hoa province is also directing the People's Committee of Nghi Son town, Cong Thanh Fertilizer Joint Stock Company, and Cong Thanh Cement Joint Stock Company to coordinate in providing documents and records related to the payment of compensation to households affected by the former Cong Thanh Fertilizer Plant Project. This is to consider the reimbursement of previously paid funds and to facilitate land acquisition for the project's implementation.
Another project still facing obstacles is the Dong Vang Industrial, Urban, and Service Zone Infrastructure Construction and Business Investment Project. The project, approved in 2022 with a scale of nearly 492 hectares and a total investment of 2,400 billion VND, is currently facing difficulties primarily related to land clearance. Specifically, over 48 hectares involve overlapping land acquisition areas and lack sufficient basis for compensation and land clearance; resettlement areas are also incomplete. Thanh Hoa province is currently directing the Nghi Son Town People's Committee to expedite the construction of resettlement areas and resolve all related issues.
In addition to the projects mentioned above, many key projects are currently underway in the Nghi Son Economic Zone, such as: the Dai Duong Cement Plant complex project of Dai Duong Cement Joint Stock Company; the investment, construction and operation of the VAS industrial-urban-service zone infrastructure project of Nghi Son Steel Joint Stock Company; and projects of Cong Thanh Group Joint Stock Company... These are all large-scale projects by existing investors who are already operating in the Nghi Son Economic Zone.
The Southern Economic Zone (KKTSN) annually contributes over 20,000 billion VND to the State budget through taxes. "Paving the way" for key projects is not only valuable for the growth of the KKTNS but also acts as a driving force for the entire southern Thanh Hoa and northern Nghe An region. Although specific directives have been issued for each project, the outcome depends heavily on the responsibility of the relevant sectors and localities.
Tung Lam
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