On March 25, 2021, the Vietnamese Prime Minister issued Decision No. 435 / QD-TTg approving the development of the shared infrastructure of the Lien Chieu mega-port in Da Nang. The municipal government was urged by the national leader to urgently implement procedures for the selection of qualified investors to have the capacity to make the investment into the project, and to run effectively the operation of the new port as well as ensure lawfulness, fairness, and transparency in the selection of investors, and ensure the city’s investor selection stays compliant with Vietnamese Laws on Bidding and Land, and other related regulations.

Design perspective of Lien Chieu Port project created by JICA . (Photo: THANH LAN)

Under the new Lien Chieu Port project, the shared infrastructure construction will feature piers and dykes, container terminals and warehouses, developing areas of transport and logistics, equipment used for loading and unloading operations, and transshipment services for an annual capacity of handling a combined total of 3.5 to 5 million tonnes of cargo.

The new port could receive cargo ships of up to 100,000 deadweight tonnage (DWT) and container ships with loading capacities from 6,000 to 8,000 twenty-foot equivalent unit (TEUs), plus 10,000 DTW liquid cargo vessels.

It is known that the shared infrastructure construction in the new port will be carried out during the 2021-2025 period at a total cost of more than VND 3,400 billion funded by the national and municipal governments.

In its efforts to accelerate the project, Da Nang government has taken proactive steps to prepare for an investment and the pre-feasibility study of the would-be Lien Chieu Port project in the PPP form.

Da Nang government coordinated with the Japan International Cooperation Agency (JICA) in Viet Nam to hold a seminar on April 13, 2021, during which the final report on the Data Collection Survey on the Development of Lien Chieu Port project under the JICA sponsorship was reviewed.  The event participants underscored the need for Da Nang to start the construction of Lien Chieu Port as soon as possible.

General Director of the Marine Construction and Consulting Company Pham Trung Kien pointed out the fact that the project would be carried out in the 2021-2025 period in accordance with the Prime Minister's Decision No. 435 / QD-TTg on approving the development of the shared infrastructure of the Lien Chieu mega-port in Da Nang on March 25, 2021, while the consulting company proposed that the construction work should be carried out in the 2026-2027 period.

According to Mr. Kien, the project should be carried out soonest in order to avoid wasting resources of investors as well as avoid waste in public investment.

The Da Nang Department of Transport also highlighted the urgent need to put Lien Chieu Port into operation soonest in order to maximise the efficiency and effectiveness of the new port.

However, the biggest challenges in the implementation of project are relocation of displaced families, funds for the project, impacts of the projet on Da Nang's coastal areas, dredging activities, submerging sediments, and more.

According to the Chairman of Lien Chieu District People's Committee Nguyen Dang Huy, the district authorities find it very hard to relocate 3,000 displaced families with a combined total of 10,000 people due to the shortage of residential land.

It is known that there are many potential investors at home and abroad who have shown keen interest to invest in the Lien Chieu Port project. Included are Boskalis Inter AV based in Netherlands, Mitsubishi Corporation based in Japan, Lotte Group based in South Korea, Vietnam National Shipping Lines, and Saigon Newport Corporation.

Reporting by THANH LAN – Translating by H.L