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Myanmar: Two new taskforces to monitor and facilitate Dawei SEZ

TWO taskforces have been formed to review Dawei SEZ’s development: one will focus on problems encountered with the developer for the initial phase, the other on upgrading an existing two-lane road connecting Htee Khee to an ASEAN-standard highway.

The initial meeting between the two taskforces – held in Nay Pyi Taw from September 20 to 21 – aimed at assigning which department and personnel should be involved in which taskforce, said U Myint San, vice chair of Dawei SEZ Management Committee on September 26.

The 8th Joint Coordinating Committee (JCC) meeting, which had its first occurrence under the NLD-led government, was held in Thailand on June 29-30. It decided to seek parliamentary approval before asking Thailand for a soft loan to fund the two-lane project and forming the two taskforces, within September.

Commerce minister U Than Myint and Arkhom Termpittayapaisith, Thailand’s transport minister, are co-chairing the JCC.

For the two-lane project taskforce, high-ranking engineers from the highway department, under the Ministry of Construction, and members of the management committee from both government sides will be involved. The taskforce will assess the actual cost for the two-lane project from October 5-7 in order to accept the 4.5 billion Bhat loan from Thailand, offered in May 2015.

“The taskforce will calculate the exact cost of upgrading the road as it can fall behind or exceed 4.5 billion bhat. We have to make sure of the actual cost before submitting the proposal to parliament,” U Myint San said.

Several issues with developers added to impediments in the initial phase. Italian-Thai Development (ITD) received a contract to complete nine projects within eight years – starting from 2010 – for the initial phase which concerns 27 square kilometres within the SEZ.

ITD stopped its operations in the SEZ in 2013 due to financial constraints and community complaints regarding a lack of adequate compensation.

The taskforce in charge of reviewing ITD’s operations is composed of members from the Ministry of Commerce, the Ministry of Planning and Finance and the attorney general’s office on Myanmar’s side. On the Thai side, it is composed of officials from the Economic and Development Plan of Thailand, the Ministry of Finance and members from the Ministry of Foreign Affairs.

The taskforce will ask ITD whether it will continue to implement the project or not. Should they continue, we need to get a timeframe and financing sources. If not, we will ask for compensation. 

– U Myint San, Dawei SEZ Management Committee

The new taskforce will examine why ITD failed to implement the project on time and will decide ITD’s future involvement in the project, as well as the extent of the government’s support, U Than Myint told The Myanmar Times in earlier July.

U Than Myint said that the reason the new government is pushing the project forward is that it will contribute to the economic development of the country, Thailand and the region as a whole.

The US$8 billion Dawei SEZ project is going to be one of the biggest mega-projects in Southeast Asia if implemented. The initial phase alone would cost more than $1 billion.

In July, U Kae Don, a representative of Myanmar SEZ Watch’s working committee, said that the implementation of Dawei SEZ needs to follow the legal procedures during the Myanmar Special Economic Zones Forum held in Dawei on July 11. Any progress or development on the project has to be published and made public.

“The community needs to know what the government is planning to do in the area they are living in.

“If Environmental Impact Assessment [EIA] reports are drafted, there is a need to make the reporters public for the community.

“Only if the community accepts the report, should the project move ahead,” he said.

Source: https://www.mmtimes.com/news/two-new-taskforces-monitor-and-facilitate-dawei-sez.html