Phnom Penh Post, Issue 16 / 25, December 14 - 28, 2007
A $2 million plan to develop a "tourist port" south of Siem Reap town in the floating village of Chong Kneas has stalled because of opposition from the people who live there.
The project was approved by the Council for the Development of Cambodia (CDC) in May, but when a South Korean investment company began bringing in its bulldozers later that month, the villagers erupted by blocking the gates. They said it was the first they'd heard of the tourist port.
Now, eight months after receiving the green light from the CDC, the Sou Ching Investment Co. Ltd project appears dead in the water.
"When the Sou Ching Company got their license, they did not talk to the people or the community leaders," said Minh Bunly, project officer for the Fisheries Action Coalition Team (FACT) a local NGO which works with fishing communities. "There is currently no solution to the problem."
Bunly said that many of the residents of the village make a living taking tourists out onto the Tonle Sap lake, but the tourist port would do away with that and set up a centralized boat rental system where all tourists would go through Sou Ching.
Bunly said the company hasn't been trying to solve the problem fairly. "Now there is no activity on the company's part," he said. "They refuse to negotiate with the people. The people are very angry."
The company could not be reached for comment.
According to Korean-language media reports, Sou Ching Port Investment is part of a large investment fund established by two major Korean companies - SK Securities and Golden Bridge Asset Management.
In September the two companies established the first of two planned funds to invest in Cambodia with a focus on developing tourist infrastructure.
Although details of the investments were not disclosed, SK Securities asset manager, Yim Yeo Ngijin, was quoted as saying that the companies were expecting returns on their investment of up to $1 trillion. He described the Sou Ching Port Investment as part of a "cultural exchange package."
Sou Ching received approval May 4, 2007 in a letter from Suon Sethy, secretary general of the Cambodian Investment Board, which is part of the CDC. The letter stated that the Sou Ching company's office in Tnal village, Sronger commune, Siem Reap province, proved it had necessary capital investment of $2.7 million and it could begin construction immediately.
The company moved several old yellow bulldozers into the area and put up billboards depicting the architectural plans.
According to an April 2007 tourism working group meeting at the Ministry of Tourism (MoT), about 60,000 tourists now visit the Chong Kneas area each month in high season. By charging $1 dollar per tourist, the working group estimated that revenues of $120,000 every two months could be achieved rapidly.
Sou Ching requested the rights to invest in road construction, channel restoration and to charge a toll fee, parking fee, and pier fee. The company also asked to charge an entrance fee to the Tonle Sap. The MoT said these requests, especially the entrance fee, were "a problem."
The port issue came up most recently at a tourism working group meeting at the MoT on August 7th, where the MoT noted that 'Sou Ching' company had been granted these rights and obtained its concession on the basis it would also develop the area by building a road and a new port.
The MoT voiced concern that, as of August, Sou Ching was already charging tourists $1 per visit but no infrastructure development had occurred.
The proposed port spans several communes including Chong Kneas commune and Siem Reap commune in the Phnom Krom area.
Siem Reap governor Sou Phirin has given his seal of approval to the port. His approval is contained in official correspondence dated May 21 in which Phirin answered a letter from the developer's director Ros Chhoudeth saying the provincial authorities supported the project. Chhoudeth's letter was asking for help with the "illegal occupation of the concerned area" - in other words - evictions.
"Sou Ching can start port construction in the Chong Kneas area," the letter from the governor said. "But we suggest the establishment of a provincial coalition committee in order to make sure construction goes smoothly."
Such a committee was set up May 25, according to documents obtained by the Post. But no villagers are on it. The committee includes Siem Reap deputy Chan Sophal, other members linked to the provincial government and Sou Ching officials.
An official from the CDC who asked not to be identified, said that just because the CDC approves of the new port doesn't mean that Sou Ching has the right to evict residents from the area against their will. "They must find a solution to this problem that is in accordance with the law," the official said. "Their license to develop the port is not equivalent to an official deed to the land in question."
The residents of the floating village said they oppose the port because it will damage the area's flooded forests and rice fields.
They live mostly in small one-room wooden boats. They could move the boats, but they are worried the developer will either block them from moving in and out or make them pay if they want to enter or leave the new port area.
They said that if the company's port monopolizes the tourist trade it would put them out of work. They also said the larger boats that the port would cater to could damage their floating houses with their wake and make it dangerous for small boats to navigate the entrance to the Tonle Sap Lake.
The project was approved by the Council for the Development of Cambodia (CDC) in May, but when a South Korean investment company began bringing in its bulldozers later that month, the villagers erupted by blocking the gates. They said it was the first they'd heard of the tourist port.
Now, eight months after receiving the green light from the CDC, the Sou Ching Investment Co. Ltd project appears dead in the water.
"When the Sou Ching Company got their license, they did not talk to the people or the community leaders," said Minh Bunly, project officer for the Fisheries Action Coalition Team (FACT) a local NGO which works with fishing communities. "There is currently no solution to the problem."
Bunly said that many of the residents of the village make a living taking tourists out onto the Tonle Sap lake, but the tourist port would do away with that and set up a centralized boat rental system where all tourists would go through Sou Ching.
Bunly said the company hasn't been trying to solve the problem fairly. "Now there is no activity on the company's part," he said. "They refuse to negotiate with the people. The people are very angry."
The company could not be reached for comment.
According to Korean-language media reports, Sou Ching Port Investment is part of a large investment fund established by two major Korean companies - SK Securities and Golden Bridge Asset Management.
In September the two companies established the first of two planned funds to invest in Cambodia with a focus on developing tourist infrastructure.
Although details of the investments were not disclosed, SK Securities asset manager, Yim Yeo Ngijin, was quoted as saying that the companies were expecting returns on their investment of up to $1 trillion. He described the Sou Ching Port Investment as part of a "cultural exchange package."
Sou Ching received approval May 4, 2007 in a letter from Suon Sethy, secretary general of the Cambodian Investment Board, which is part of the CDC. The letter stated that the Sou Ching company's office in Tnal village, Sronger commune, Siem Reap province, proved it had necessary capital investment of $2.7 million and it could begin construction immediately.
The company moved several old yellow bulldozers into the area and put up billboards depicting the architectural plans.
According to an April 2007 tourism working group meeting at the Ministry of Tourism (MoT), about 60,000 tourists now visit the Chong Kneas area each month in high season. By charging $1 dollar per tourist, the working group estimated that revenues of $120,000 every two months could be achieved rapidly.
Sou Ching requested the rights to invest in road construction, channel restoration and to charge a toll fee, parking fee, and pier fee. The company also asked to charge an entrance fee to the Tonle Sap. The MoT said these requests, especially the entrance fee, were "a problem."
The port issue came up most recently at a tourism working group meeting at the MoT on August 7th, where the MoT noted that 'Sou Ching' company had been granted these rights and obtained its concession on the basis it would also develop the area by building a road and a new port.
The MoT voiced concern that, as of August, Sou Ching was already charging tourists $1 per visit but no infrastructure development had occurred.
The proposed port spans several communes including Chong Kneas commune and Siem Reap commune in the Phnom Krom area.
Siem Reap governor Sou Phirin has given his seal of approval to the port. His approval is contained in official correspondence dated May 21 in which Phirin answered a letter from the developer's director Ros Chhoudeth saying the provincial authorities supported the project. Chhoudeth's letter was asking for help with the "illegal occupation of the concerned area" - in other words - evictions.
"Sou Ching can start port construction in the Chong Kneas area," the letter from the governor said. "But we suggest the establishment of a provincial coalition committee in order to make sure construction goes smoothly."
Such a committee was set up May 25, according to documents obtained by the Post. But no villagers are on it. The committee includes Siem Reap deputy Chan Sophal, other members linked to the provincial government and Sou Ching officials.
An official from the CDC who asked not to be identified, said that just because the CDC approves of the new port doesn't mean that Sou Ching has the right to evict residents from the area against their will. "They must find a solution to this problem that is in accordance with the law," the official said. "Their license to develop the port is not equivalent to an official deed to the land in question."
The residents of the floating village said they oppose the port because it will damage the area's flooded forests and rice fields.
They live mostly in small one-room wooden boats. They could move the boats, but they are worried the developer will either block them from moving in and out or make them pay if they want to enter or leave the new port area.
They said that if the company's port monopolizes the tourist trade it would put them out of work. They also said the larger boats that the port would cater to could damage their floating houses with their wake and make it dangerous for small boats to navigate the entrance to the Tonle Sap Lake.
3 comments:
Why the government/authorities didn't make assessment study of the area and the impact of the business on the area's local residents before granting the license. Why development-related decisions always are made first for any given area before talks and negotitions with the local peope living on the area are made? That appears to be the routine business of Khmer leaderrs in the name of "development"!!! That's a sheer irresponsibility from their part while investors care most of making profit out of their investment.
PL
PL? Pleur?
Because the head of Hun Xen goverment got its PHD from HANOI VIETNAME!!!!!!!!!!!!!!!!!!!!!!
What do you expect from Ah Srakey Dr.?
Hey, let's us go by the law before all hell broke loose here.
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