"The Korean contractor will sue us for breach of contract," said Citenco director Huynh Minh Nhut at a meeting held on February 3 between the Ho Chi Minh City People's Committee and the company.
The burial site number three of Phuoc Hiep landfill is a collaboration project between Citenco and KBEC Korea Co., Ltd. (KBEC). It was designed to process an estimated 2,000 tonnes of waste per day within nine years. Two thirds of the project has been completed as of December 31, 2014 when the city decided to close the project.
Citenco and its partner KBEC each invested VND400 billion ($18.8 million) into burial site number three of the landfill. In case the landfill is closed, all investments would be lost.
After the closure the garbage will have to be relocated to the Da Phuoc landfill located in Binh Chanh district. “The closure will also make the 300 employees of Phuoc Hiep landfill, mostly coming from the Cu Chi district, lose their jobs,” added Nhut.
The Ho Chi Minh City People's Committee did not respond immediately to VIR’s enquiries of the reasons why they decided to close the landfill.
What the stars mean:
★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional