Revocation of $3.2 billion Vung Ro refinery places residents into limbo

The revocation of Vung Ro refinery and petrochemical complex put residents into dilemma situation

When Vung Ro Petroleum Co., Ltd. (VRP) was granted the investment certificate for the $3.2 billion Vung Ro refinery and petrochemical complex project in 2008, the project was expected to bring new opportunities for residents that would be relocated.

However, during the past ten years, none of the residents have broken out of poverty. A number of locals who handed over land years ago are still waiting to be relocated, affecting the security of their everyday lives.

Notably, during the first phase of site clearance, 200 households received compensation and were relocated to the resettlement area, however, the lives of these residents are still unstable because they have to do temporary jobs with low incomes.

Temporary houses

Even worse, households affected by the second phase of the site clearance have already handed over the land, but have yet to be relocated to the resettlement area. Their fates are still uncertain as there are no jobs or accommodation available.

Le Minh, one of the residents affected by the second phase of the site clearance, said, “My family handed over land to the authorities five years ago, but we have not received compensation or been relocated ever since.”

Le Van Thieu, head of Phuong Long commune, told Nong Nghiep Vietnam that the lives of over 20 households affected by the second phase of the site clearance are in limbo. Those still living in their houses are growing increasingly worried about the dilapidated conditions, yet they do not have the funds to move or build new houses.

Other residents complained that they did not dare to repair damage to their houses or invest money to develop farms and aquaculture ponds.

They have been living from day to day, waiting to be relocated, however, after learning that the project’s investment certificate was revoked, they are wondering whether they will receive compensation.

Responding these complaints, Vo Dinh Tien, Deputy Chairman of the Dong Hoa People’s Committee, stated that there will be other projects replacing the revoked Vung Ro refinery and petrochemical project because this area was designated to develop refinery and petrochemical projects.

At present, the province has completed the site clearance of 134 hectares and built the compensation and resettlement plan for the second phase of the site clearance with a total expenditure fund of VND55.3 billion ($2.43 million).