A month after groundbreaking, the $1.7 billion Funan Techo Canal has not seen construction yet, although the relevant ministries have commenced interviews with affected people, likely in relation to compensation, but there is no further information on it so far.
On August 5, the groundbreaking day, excavators lined the Funan canal but a month later, the segment, which marks the start of the canal at Prek Takeo, seemed quiet, with no construction machines and activities visible.
Residents reported that a day after the groundbreaking, construction equipment was withdrawn, and no activity was seen at the canal’s starting point.
Unlike those who arrived from other provinces for the groundbreaking, people who lived around the project were not invited to join and were concerned about the effect of the construction on their property and livelihoods.
A week after the ceremony, a team from the Ministry of Economy and Finance (MEF) interviewed residents who might be affected by the project but they have not received any update following that and are increasingly worried about the project’s future.
Ry Sineath, a resident, who lives near the project site, told CamboJA News that after the groundbreaking day, there was no work on the canal, although a week later, MEF and Ministry of Public Works and Transport (MPWT) officers interviewed some of them but she has not heard from them again.
While Sineath was asked about the size of the house and land, and types of crops grown, her sister, who will also be affected by the project, was not interviewed. She asked them why her sister was left out, but was told that it was “only a basic interview”, advising her not to worry.
Although the team had started interviews, she remained worried as the compensation might “not be enough” to buy land.
“I am worried because we don’t have much land. We have lived here for a long time and I do not know how much the compensation is,” she said. “I’m afraid they will pay us low.”
Afraid to plant crops
Another resident, Lim Tong Eng, who was also interviewed by the authorities, is for more information. They asked him about his income, expenses, land and house size, and the trees and crops on his land. After that, they took him to the commune hall to sign the interview report.
“If they haven’t dug yet, it’s okay, but the compensation should be considered so that we don’t have to worry as many don’t have land,” he added.
His son, Eng Veasna, said they told him that the officers conducted the interview upon the “orders of their superiors only”, without providing specific information about compensation so far.
The “lack of clear information” has made him and other residents reluctant to plant crops on the land, which will affect them. They are afraid that if the canal is dug in the spot, they might lose more crops. Owing to that, he has not planted new crops since the groundbreaking ceremony.
“He [Deputy Prime Minister Sun Chanthol] told us not to worry,” he said. “But we depend 100% on farming, yet we can’t plant after the groundbreaking, where there has been no progress so far. If we want to plant crops, we are afraid that they will say that the project has broken ground, so why are we still planting. That’s why we continue to wait.”
Chanthol, also first vice president of the Council for the Development of Cambodia (CDC), during a visit to the canal on August 26, 2024, assured the residents that the government will compensate those affected by the project, urging them not to worry.
“The government has not taken any land yet. Please, don’t worry,” he said, adding that they already have the number of houses, farmland and rice fields which will be affected. However, they have not met the people to explain the compensation yet. That task has been delegated to the MEF, he said.
MEF spokesperson Meas Soksensan declined to comment, saying that the task was “no longer under him”.
Chanthol further said some places may vary in width from 100 meters to 300 meters. These variations would affect the size of the land as some sections of the canal are designated for ships to steer, moor and refuel.
Committed to the project
While there is no construction at the head of the canal following the groundbreaking ceremony, Chanthol said the CDC and MPWT are “discussing bringing in funds to develop the project”.
He confirmed that the first section, stretching 21 kilometers, is controlled by Cambodian investors via a joint venture. Sihanoukville Autonomous Port and Phnom Penh Autonomous Port own 51% while Overseas Cambodian Investment Corp holds 49% in the new company which has been registered with the Ministry of Commerce.
Both CDC and MPWT are in talks to set up a company for the remaining 159 kilometers of the 180 kilometer-long canal. After setting up the companies, they will draw up a concession agreement with the two companies for the upper and lower sections of the canal.
On his visit to China on September 9, 2024, Chanthol, as well as Public Works Minister Peng Ponea and a representative of MEF, met with the board chairman and general secretary of the National Development and Reform Commission (NDRC).
The discussion focused on advancing key investment projects in Cambodia. With regards to the canal project, the NDRC reaffirmed China’s commitment to encourage Chinese companies involved in the project to complete the work on time.
Pending the concession agreement, Chanthol hopes the investment companies will ”make every effort to meet the 2028 deadline set for canal operation”.
MPWT spokesperson Phan Rim declined to comment as Chanthol “already shared information on the canal’s progress”.
Hoeurn Somnieng, deputy CDC secretary-general, also declined to comment, saying that he was busy in the province.
Yang Kim Eng, executive director of People’s Center for Development and Peace, said the government might have delayed the construction of the canal to assess the potential impacts.
“If that was the case, it would be a positive step towards thoroughly addressing related issues, ensuring they are well-prepared,” he said. “If they are well-prepared and start [construction] later, it won’t be too late.”
He also said if there was a “promise” from government officials about compensation, it was a good thing and the people themselves should monitor the progress to ensure that solutions align with the commitments made by the government.
Moreover, the resolution should involve all parties, and ensure that everyone’s voice is heard in order to benefit the people and nation, Kim Eng added.
Asia Pacific geopolitical observer Seng Vanly said the government is highly committed to the canal project, although there were talks that it might be “stuck due to lack of funds”.
“If the project stalls, it will tarnish the image of the government led by Prime Minister Hun Manet. So, I do not think this project is stuck. But, if there was a lack of funds, it would only take a longer [time to complete],” Vanly opined.
He added that the government was “extra careful“ with the project, which has a lot of support from the public and civil servants. If it stalls, the government will be criticized by locals in the country and observers abroad. (Additional reporting Pou Soreachny)
