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State money wasted on empty resettlement areas

A series of resettlement houses in Hanoi remain partially empty as their intended residents have not moved in, wasting State resources.
State money wasted on empty resettlement areas ảnh 1Nam Trung Yen resettlement area in Hanoi (Photo: VNA)
Hanoi (VNA) - A series of resettlementhouses in Hanoi remain partially empty as their intended residents have not movedin, wasting State resources.

Kinh Te Do Thi (Economic & Urban Affairs)newspaper reported, three six-floor resettlement buildings constructed by the HanoiHousing Development and Investment Corporation 3 (Hacinco3) have been leftempty for more than ten years, surrounding by fields of grass and garbage. Thecomplex’s facilities, including electronic cabinets and hygienic equipment,have degraded.

A representative of Hanoi’s ConstructionDepartment told the newspaper that the resettlement area with 150apartments was built between 2001 and 2006 to accommodate residents who had togive up their land for the Sai Dong Street expansion project. Due to disputesin the site clearance process, residents refused to receive the houses, whilethere has been no progress on the Sai Dong Street expansion project.

It is only one of many abandoned resettlementareas in the capital city. A security man at the Hoang Cau resettlementarea said that most of the apartment buildings have been handed over toresidents, but only a few of them have moved in.
“Many of them sent me the keys and asked me forhelp to sell their apartments,” he said.

According to the city’s Construction Department,there are nearly 1,000 resettlement apartments left uninhabited. Authoritiesblame legal issues relating to the land clearance for projects such as RingRoad 2 and Nhon-Hanoi Railway Station elevated railway project. At the moment,authorities have no plans to use as many as 76 of the resettlement apartments.

Most of the land clearance projects have beenbehind schedule. Since residents see no progress on construction, they refuseto leave their homes for the resettlement houses. This leaves the resettlementhouses empty and causes their subsequent degradation, the department said.

Professor Dang Hung Vo, former Deputy Minister ofNatural Resources and Environment, said that house sellers buy resettlementhouses at low prices then sell them to earn profits. Because the homes arepurchased by people the State is not responsible for resettling, Stateresources are wasted.

“People in need of resettlement are turning their backson resettlement houses. The policy of resettlement houses is appropriate buthas not been implemented thoroughly,” said Professor Tran Chung, head of theQuality Department under the Vietnam Construction Association and former headof State Department for Construction Quality Supervision ofthe Ministry of Construction.

It is a sacrifice for the residents to give theirland and move to a place far from the main road, and give up their businesslocations while their children must travel far to attend school, he said.

“The resettlement house model we have used in thepast does not truly reflect the spirit of settlement, which means providing aplace for residents to settle down and set themselves up in business. Themajority of people the State resettles have to move to hard-to-access areas,”he said. “Many do not want to move because their homes are located on highfloors, preventing them from easily running businesses.”

Theabandonment of resettlement houses is not only a huge waste of the Statebudget, but also imposes potential risks for people who do end up moving in.
Pham Hung Cuong, deputy principal of ConstructionUniversity said that high rises must follow maintenance careful maintenanceprocedures. Installed technical systems such as pipes and electricity that havenot been put into use and maintained will degrade and be unsafe for users. Thisis a particular concern in Vietnam’s humid, tropical weather.

“First we waste money for building resettlementhouses. Then we waste money for maintenance work for abandoned houses. Thewaste is doubled,” Chung said.

Hanoi aims to complete more than 9,000 resettlementapartments by 2020, at a cost to the State budget of dozens of billionsof VND. This number exceeds the city’s budget, which slows downconstruction progress on the resettlement houses.

Pham Sy Liem, former Deputy Minister ofConstruction and Vice Chairman of the Vietnam Construction Association, saidthat if construction on the resettlement apartments is behind schedule,residents will be reluctant to hand over land.
However,when the resettlement houses are completed too far ahead of schedule, residentsare worried about the quality of degraded homes.

While many residents are in desperate need ofresettlement houses, a lot of the houses have been deserted, Liem said, notingthe paradoxical nature of the situation.

Chung said that the State should give residents aspecific amount of money to buy suitable commercial houses. The residents willthen be able to purchase accommodations similar to what they already use.

Hanoi recently proposed to the Prime Ministerputting in place a special mechanism to build 22,300 commercial apartments,which would help add to the housing stock for resettlement. Therewill be 20 projects with 14,525 ordered apartments, basically meeting thedemand of resettling people between 2017 and 2020.

The city’s Construction Department proposeddismantling 150 uninhabited apartments of Hacinco3 resettlement project toreduce damages for the investor and to make room for the commercial houses tobe ordered by the Government.

A financial expert said the dismantlement is ahuge waste worth hundreds of billions of VND.

The department also proposed withdrawing desertedresettlement apartments after two years past completion.

Chung said that to solve the deserted houseproblem, we should not build any more new resettlement areas but utilize thebudget to deal with degradation.

Chung also said that site clearance should beconducted together with building resettlement areas to avoid early completionof resettlement houses, which leads to their desertion.-VNA
VNA

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