Homes along the canals in Ho Chi Minh City. (Source: VGP/Nam Dan)

According to statistics from the Ho Chi Minh City Department of Construction, there are approximately 48,143 houses located on or near rivers, canals, and channels in the city, along with 9 relocation and clearance projects aimed at urban improvement.

In 2021, the Ho Chi Minh City People’s Committee issued a decision on the plan for urban improvement and development for the period of 2021-2025, setting a target of compensating and relocating 6,500 houses built on or along canals and channels.

However, as of now, with nearly 2/3 of the period elapsed, the city has only compensated and cleared the site for 1,149 out of the 6,500 houses, with another 243 in progress. The remaining 46,000+ houses along the water bodies have not been addressed, and no compensation or resettlement plans have been proposed.

According to the Ho Chi Minh City Department of Construction, the modest results are mainly due to the challenges of compensating and relocating residents living in these areas.

Some households do not meet the requirements for housing or have small plots of land but large families. In other cases, the current occupants of houses that have existed for many periods do not have the necessary paperwork to qualify for resettlement. Additionally, some residents expect compensation at market rates and refuse to relocate when the offered amount does not meet their expectations.

Furthermore, accurately predicting the demand for social housing for canal-side relocation in Ho Chi Minh City is difficult due to a lack of sociological survey data. The city’s districts and Thu Duc city can only provide an estimated figure of approximately 8,150 resettlement houses out of the 46,452 that need to be relocated, which is only about 17.6%.

This estimated demand level may fluctuate higher or lower than the predicted number depending on factors such as topography, current conditions, and the social characteristics of each locality.

To expedite progress towards the goal of relocating all houses on or near rivers, canals, and channels, the Ho Chi Minh City Department of Construction suggests the need for a comprehensive proposal. This proposal should identify households eligible for resettlement and provide a social housing support plan for those who do not qualify for compensation.

Additionally, the proposal will offer a financial overview of the expected costs associated with implementing the plan, including amounts for eligible resettlement cases, preparing the resettlement and social housing fund, and total expected revenue for the state budget.

In response to the proposal by the Department of Construction, Chairman of the Ho Chi Minh City People’s Committee, Phan Van Mai, has decided to establish a special Steering Committee and Working Group. They are tasked with developing a project to invest in the construction of social housing projects and compensation policies to address the relocation of over 46,000 canal-side houses in the city.

Mr. Phan Van Mai assigned the Ho Chi Minh City Institute for Development Studies to lead and coordinate with relevant departments, Thu Duc city, and district People’s Committees to conduct sociological surveys and collect data on canal-side housing situations. This task must be completed by the end of December 2024, with District 8 chosen as a pilot site for implementing the project’s components due to their practical experience.

The Department of Planning and Architecture is responsible for coordinating with relevant departments to determine the locations for new housing and land sources. The Department of Natural Resources and Environment will establish the legal basis for land retrieval, while the Department of Construction will focus on calculating the construction of new housing and improving the canal system.

Hong Giang

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