Construction to receive compensation
Thai Nguyen is stepping up the expansion of industrial infrastructure to attract investment, in which a series of industrial parks and clusters are planned and implemented such as Yen Binh 2, Yen Binh 3, Ha Chau 1, 2 and Luong Phu - Tan Duc. However, in some areas, illegal construction still occurs, causing obstacles to site clearance (GPMB).
According to Lao Dong Newspaper reporters in early August 2025, in Van Xuan ward, Pho Yen ward (formerly under Pho Yen city) and Diem Thuy commune (formerly under Phu Binh district). Here, many works such as barns, temporary houses, phosphorus tanks, corrugated iron roofs, etc. were urgently built, showing signs of serving the purpose of declaring compensation.
Some households said that they do not have information about the planning or are only temporarily built for living. However, local authorities have drawn up records and requested to stop construction in many cases of violation.
Statistics from working groups in Van Xuan ward, Pho Yen ward and Diem Thuy commune have discovered nearly 100 cases of illegal construction that have been recorded and required to stop construction. Although the administrative fine is up to 50 million VND per case, many works are still secretly completed, despite current regulations.
Statistics from working groups in Van Xuan ward, Pho Yen ward and Diem Thuy commune have discovered nearly 100 cases of illegal construction that have been recorded and required to stop construction. Although the administrative fine is up to 50 million VND per case, many works are still secretly completed, despite current regulations.
In Diem Thuy commune, many households have built barns and temporary houses on the land and have announced their recovery to declare assets pending compensation. This caused disruptions in the counting, creating a gap between the violating household and the household complying with regulations. Mr. Van Phu (name changed) said that the number of new projects has increased rapidly, making it difficult to inventory the current status, easily leading to uneven policy application. People reported that the phenomenon of profiteering is becoming more and more public, even showing signs of colluding with people outside the locality to illegally build and share compensation.
Speaking with Lao Dong Newspaper reporter, Mr. Nguyen Minh Tan - Chairman of Van Xuan Ward People's Committee - affirmed that he will coordinate with the authorities to investigate and resolutely not apply compensation and support policies for violating projects.
"Some households took advantage of the situation before the merger to expand and violate. We have made a record, if we continue to violate the law for the third time, in addition to administrative fines, we will make a record and transfer the file to the police agency for investigation and handling" - the ward leader said.
Violations have not been completely handled, affecting the investment environment
According to information from the People's Committee of Van Xuan Ward, 4 violations have been administratively sanctioned with a total amount of 180 million VND. In Pho Yen ward, nearly 10 violating works have been recorded and fined with a total amount of more than 300 million VND. However, enforcement is still facing many difficulties, while some households continue to build, despite having signed a commitment not to be compensated.
Mr. Le Thanh Son - Chairman of the People's Committee of Diem Thuy commune - said that some households only took one morning to complete the temporary construction. With such a construction speed, if not handled promptly, the violation will continue to spread.
In addition to illegal construction, many households also proposed to change land use purposes, declaring incorrect status to expand the compensation scope. These acts hinder the process of counting and verifying in industrial clusters such as Ha Chau or Luong Phu - Tan Duc.
A representative of a unit participating in the Yen Binh 2 Industrial Park project informed that they had sent a report and images of the violation to the authorities. However, the handling is still slow due to lack of coordination, while some localities are in the process of arranging and perfecting personnel.
In reality, the phenomenon of illegal construction occurring right before the time of site clearance has distorted the inventory of assets. When it is not possible to determine the construction time frame accurately, the application of compensation policies will create inadequacies.
In the long term, this situation not only causes loss of compensation budget but also slows down the progress of industrial projects. When the site is not handed over on time, investors will incur costs, directly affecting production plans and expansion strategies. Meanwhile, the authorities must focus on handling the consequences, creating great pressure on the local apparatus.
Investors are not only interested in incentives, but also pay special attention to the efficiency of land acquisition, a factor that directly affects local competitiveness in attracting capital.
Faced with the situation of profiteering for compensation, local authorities have recommended that the Provincial People's Committee soon establish an interdisciplinary working group to inspect and handle violations, while speeding up the construction of resettlement areas and updating cadastral maps to strictly control land recovery.
