Taiwan paper plant red-flagged

April 28, 2017 | 13:05
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The $220 million Dai Duong paper plant project, invested by the Taiwanese company Chang Yang Holding Ltd. in the southern province of Tien Giang, may be scrapped due to environmental concerns.
Environmental pollution is becoming a growing concern for the public, authorities, and experts alike, Photo: Le Toan

The Light Industry Department, which helps the Ministry of Industry and Trade regulate paper, leather, garment, and other light industries, has just completed a document containing issues related to the project, and agreed with the opinions of scientists who think this project will do significant harm to the environment.

In March 2016, the Tien Giang Management Board of Industrial Zones granted an investment certificate to Chang Yang Holding to develop a paper factory worth $220 million. The factory would produce duplex and kraft paper as well as products for household use, with a total capacity of 413,000 tonnes per year.

The plant’s timetable calls for two construction phases - phase one with a capacity of 170,000 tonnes a year scheduled to be completed in August 2017, and phase two with a capacity of 238,000 tonnes a year. The facility’s products will be sold domestically and exported to Taiwan and other overseas markets.

Half of the input material for the project would come from waste paper in Vietnam, and the other half would come from imported waste paper. If the waste paper supplies are not sufficient, the investor would use imported paper pulp.

According to the department, after the project was granted an investment certificate, experts raised concerns about the environmental impact of the project. Specifically, the project could pollute the Tien River and its surrounding riverbanks. It would use 7,500 cubic metres of fresh water per hour, while simultaneously ejecting nearly 5,000 cubic metres of wastewater over the same period.

Under pressure from the citizenry, the Tien Giang People’s Committee recently held a meeting to gather opinions from scientists. The scientists said that paper is one of the most potentially polluting sectors. Many chemicals are needed to turn waste paper into the paper pulp that is needed for production. The wastewater, if untreated, would be very harmful to people, plants, and animals. The scientists asked the province to carefully evaluate the technology of this company and its wastewater treatment measures before allowing the project to begin.

“Scientists that Tien Giang authorities consulted with all said that Tien Giang should be careful or simply decline this project altogether to prevent a possible crisis, making sure to be consistent with the prime minister’s ‘determination to not trade off the environment for economic interests’,” the department’s document stated, adding that they put a lot of weight in the scientists’ concerns.

Recently, citing environmental concerns, the government halted a major steel project due to lingering apprehensions brought about by the infamous Formosa steel fiasco. Last week, Prime Minister Nguyen Xuan Phuc ordered the suspension of the $10.6 billion Ca Na steel project proposed by domestic steel maker Hoa Sen Group in the central province of Ninh Thuan in order to “clarify some issues related to the environment and technology”.

The prime minister applauded Ninh Thuan for wanting to grow the province economically, but said preparations for the project have been proceeding too fast. In addition to a report on the domestic steel demand, the prime minister also asked the investor and government agencies to evaluate the environmental impact and review the technology to make sure the project is safe.

In April 2016, fish were found dying en masse along the central coast of Vietnam. Subsequent inspections identified wastewater as the reason behind the deaths. Water released during the test run of the $10.5 billion steel and port complex in the central province of Ha Tinh – invested by Hung Nghiep Formosa Ha Tinh Steel Co., Ltd. (HFS), a subsidiary of Taiwanese firm Formosa Plastics Corporation – seriously damaged the ecology of the surrounding area. The incident harmed the livelihood of fishermen in the region , and negatively affected the budding tourism industry of the central region.

By By Thu Khanh

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