Attention to abandoned water plant amid severe drought
  • | | May 23, 2020 08:53 PM
As the Central Highlands and southern region are suffering from severe drought, a water plant project in Can Gio, HCM City remains unused.

Since early 2020, the Central Highlands and southern region have suffered from severe drought. The government allocated VND350bn (USD15m) to five provinces in the Central Highlands. But a water filtering plant has been abandoned for over 10 years and there's still no specific plan to repair it.

In 2008, Dang Doan Nguyen Company invested in the Can Gio Water Plant in HCM City that filters saltwater into freshwater. When the plant went into operation, many people were glad to have more water sources that provide water to 8,000 households in the drought-vulnerable area in Can Giuoc District, Long An Province.

The project cost VND95bn (USD4m) and was supposed to operate for 20 years following three periods. From 2007 to 2011, the plant should provide 5,000 cubic metres of water a day. From 2012 to 2016, the plant should provide 10,000 cubic metres of water and 20,000 cubic metres of water from 2017 onwards.

The project had the land rent, water surface rent, and import duties waived for two years. The authorities also reduced corporate tax by 20% a year in the first 10 years and 28% in the following years and 50% other taxes in three years.

The plant used reverse osmosis technology that can filter seawater. The water was sold to Can Gio Public Service Company before it was given to the locals.

Due to saltwater intrusion, Dang Doan Nguyen Company spent VND105bn to upgrade the equipment. The company asked to start the upgrade earlier than scheduled but was refused in 2010. They asked again the following year but was refused because HCM City was constructing a pipeline from the inner city to Can Gio District.

In late 2011, the Department of Transport negotiated to buy the plant and the deal succeeded. However, the plant still hasn't been transferred and the plant has been abandoned until now. The facility has deteriorated and equipment became rusty.

Nguyen Thuy Dong Dao, general director of Dang Doan Nguyen Company, said, "We are frozen now and can't do anything. We are being sued by the bank over a big loan. We also hope HCM City People's Committee will deal with this problem quickly."

HCM City People's Committee has asked the Department of Planning and Investment to review and provide financial support for the plant.

Some photos of the abandoned plant:






Abandoned water plant in Can Gio District

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