Houses along canals are "diverse legally", low support money
According to statistics, Ho Chi Minh City currently has 398 rivers, canals, and ditches that have not been renovated, with about 39,600 houses that need to be relocated.
The city aims to complete the relocation of 20,000 houses by the end of 2030, thereby improving the quality of life of people, improving the environment, preventing flooding and embellishing the urban appearance.
Many areas have a very large number of houses along the canal that must be relocated, typically such as: The Southern bank urban embellishment project of Doi canal (5,800 houses); Van Thanh canal renovation project (1,077 houses); Ong Be canal dredging and renovation project (1,636 houses); Rach Ngua - Rach Lang - Rach Ba Luu embellishment project (1,937 houses); Xom Cui canal embellishment project (1,190 houses); construction and renovation project of Ton That Thuyet street and park along Kenh Te canal bank (598 houses)...
However, the process of implementing these projects is facing major obstacles regarding compensation and support policies.
According to the Ho Chi Minh City Department of Construction, the origin of land and the process of use of households living along canals and ditches are very complex, divided into 3 groups.
Group 1: Land outside the scope of canals and ditches, which may be legal or encroached upon. Group 2: Land within the scope of canals and ditches that has been encroached upon or leveled, the current status is land. Group 3: Land within the scope of canals and ditches that is encroached upon, building stilt houses, and the water surface is still below.
According to regulations, only group 1 is compensated, while group 2 and group 3 are only supported, not resettled. Meanwhile, most houses along canals have very small areas, encroaching on a part.
For example, at the Doi Canal North bank renovation project, statistics of 1,024 cases of complete clearance show that the average area of each household is only 22 m2, with the lowest area being only 16.6 m2.
With small areas and low levels of support, the money people receive is often not enough to buy commercial houses or social housing.
According to old regulations, encroached houses on and along canals and ditches are only supported according to the time of land use. In case of use before October 15, 1993, 40% of the land price is supported; from after this milestone to before July 1, 2004, it is 30%; from after July 1, 2004, it is not supported. If built on drainage canals, the support level is even lower, only 32% or 24%.
Mr. Nguyen Hong Thuan - Head of the Compensation and Site Clearance Board of District 8, said that the north bank of Doi canal is a drainage and drainage canal, so the support level is very low. "Low support money makes people not want to relocate, because after receiving the money, they have difficulty finding a new place to live.
Reality shows that in the period 2016 - 2020, Ho Chi Minh City set a target to relocate 20,000 houses along the canal but only implemented 2,479 houses.
In the period 2021 - 2025, Ho Chi Minh City sets a target of relocating 6,500 units and is expected to complete about 5,542 units by the end of this year, reaching 85.3% of the plan.
New policies provide higher support, easier resettlement
Faced with the above situation, many opinions suggest that Ho Chi Minh City needs a breakthrough policy to increase compensation and support for houses along canals. This is a key condition to complete the plan to relocate 20,000 houses in the next 5 years.
The Ho Chi Minh City Department of Agriculture and Environment said that the city will apply support policies according to the 2024 Land Law, with more incentives for people living along canals.
According to Decision 5516 of the Ho Chi Minh City People's Committee, households and individuals using land before July 1, 2014, not violating land law but not meeting the conditions for issuing Certificates, if they are certified by the commune-level People's Committee for stable use, without disputes, will be supported 100% of the land price for cases of using non-agricultural land before October 15, 1993.
In case of land law violations but stable use, the support level is determined according to the time of use: 70% of the land price if used before October 15, 1993; 56% if used from October 15, 1993 to before July 1, 2004; and 42% if using non-agricultural land from July 1, 2004 to before July 1, 2014, according to the current land type.
Mr. Nguyen Hong Thuan cited an example, a household with a 30 m2 house on the south bank of the Doi canal, used before October 15, 1993, previously only received more than 300 million VND in support money, not enough to buy a resettlement apartment.
When applying the new policy, the amount of support increased to about 630 million VND, helping people have the ability to buy a minimum resettlement quota or social housing. “The increase in support money makes it easier for people to agree to relocate” - Mr. Thuan assessed.
Regarding resettlement, Ho Chi Minh City will allocate land plots, resettlement apartments or social housing depending on the legal conditions of each case. If the compensation and support money is not enough to buy a minimum resettlement rate, the State will support the difference. People are also considered for installment payments for 15 years for apartments or land use fees for land plots.
In addition, the city is also considering arranging an additional resettlement quota for households with 7 or more permanent residents, actually living in the recovered area.
