Waste treatment contract in Dai Loc: Stuck with procedures and funding sources

Resolving difficulties in funding sources as well as contracts for solid waste treatment in Dai Loc is an urgent issue that requires synchronous coordination of all levels, sectors and businesses in the area.

The solid waste treatment plant located in Dai Loc district has been collecting and treating waste for more than 6 months now. Photo: HOANG LIEN

The solid waste treatment plant of Huy Hoang Eco Company (located in Ai Nghia town, Dai Loc district) has been officially operating for more than 6 months now, taking on the function of treating domestic solid waste for Dai Loc district and neighboring districts in the northern region of Quang Nam .

According to the design, the factory has a capacity to process 500 tons of waste/day, phase 1 has a designed capacity of 300 tons/day. However, since its operation, Huy Hoang Eco Company and Dai Loc district as well as neighboring localities have not been able to sign a service contract to process domestic solid waste (only signed a contract in principle) due to many difficulties and problems arising.

In early March 2023, Huy Hoang Eco Company sent a document to the Provincial People's Committee requesting consideration and timely direction so that localities can agree to sign a contract for domestic solid waste treatment services at the factory.

According to the Department of Natural Resources and Environment of Dai Loc district, the signing of contracts for the treatment of domestic solid waste between the locality and enterprises is facing difficulties due to the locality's limited funding for service payments as well as the appraisal of final unit prices for enterprises.

Dai Loc District is still signing a contract in principle with Huy Hoang Eco Company to collect and transport domestic waste in the area to the treatment plant. The District People's Committee is waiting for a notice from the Provincial People's Committee regarding information on the bidding process or contractor appointment related to waste collection, transportation and treatment activities. Thereby, it will comply with appropriate regulations related to waste in the area.

At a recent working session with provincial leaders, discussing the above problems and difficulties, Mr. Le Do Tuan Khuong - Vice Chairman of Dai Loc District People's Committee said that Huy Hoang Eco Company requested to sign a contract and make monthly settlements based on the volume of incinerated waste, but the unit price for settlement was not yet available; there was no agency or unit responsible for appraising the unit price as a basis for settlement.

The district has only signed a provisional contract (a contract in principle), while the company has applied the final unit price. Up to now, the company has not signed the contract and for the past 6 months, the unit has continuously requested the locality to make monthly payments according to the company's regulations.

The company requires payment once a month. At the end of each month, the total amount of garbage collected for the month will be accepted and this amount will be multiplied by the unit price of garbage to pay the company. Only then will the company accept the garbage.

“The district has sent documents to the district’s functional departments, but the units are still struggling to appraise the unit price as a basis for implementation. The district People’s Committee has also reported to the higher level, hoping that the provincial People’s Committee will direct the functional departments to support the price appraisal, and at the same time support monthly or annual funding to create conditions for the locality to be proactive in signing contracts and have a source of payment for the company,” said Mr. Le Do Tuan Khuong.

Vice Chairman of the Provincial People's Committee Nguyen Hong Quang said that the Provincial People's Committee has issued temporary regulations on waste treatment, and at the same time supported more than 11 billion VND for 3 localities, including Dai Loc, to support waste treatment in the first 6 months of the year.

However, this support mechanism also needs to be recalculated. The construction of a mechanism to regulate the price of waste collection, treatment and burial in the coming time also needs to be recalculated because the current waste treatment support mechanism is still entangled.

Vice Chairman of the Provincial People's Committee Nguyen Hong Quang requested the locality to strictly control the waste treatment process. With the above difficulties and problems, the Provincial People's Committee will direct the Department of Natural Resources and Environment to review the regulations and rules on domestic solid waste treatment, and the provisional unit price for monthly payment to businesses.

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