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Preparatory Survey on Industrial Zone No. THE LAO PEOPLE’SINDUSTRIAL DEMOCRATIC ZONE REPUBLICPREPARATORY DEVELOPMENT SURVEY INON MINISTRY OF INDUSTRY JAPAN INTERNATIONAL ANDMINISTRY COMMERCE OF INDUSTRY (MOIC) COOPERATIONJAPAN INTERNATIONAL AGENCY (JICA) AND COMMERCE (MOIC) COOPERATION AGENCY (JICA) PREPARATORY SURVEY ON PREPARATORY SURVEY ON INDUSTRIAL ZONE DEVELOPMENT IN INDUSTRIAL ZONE DEVELOPMENT IN THE LAO PEOPLE’S THE LAO PEOPLE’S DEMOCRATIC REPUBLIC DEMOCRATIC REPUBLIC FINAL REPORT FINAL REPORT PART II PART II INDUSTRIAL ESTATE DEVELOPMENT IN INDUSTRIAL ESTATE DEVELOPMENT IN VIENTIAN CAPITAL,INDUSTRIAL SAVANNAKHET ESTATEAND FINAL DEVELOPMENTCHAMPASAK REPORT IN PART II VIENTIANE CAPITAL, SAVANNAKHET AND CHAMPASAK VIENTIANE CAPITAL, SAVANNAKHET AND CHAMPASAK JUNE 2010 JUNE 2010 JUNE 2010 NIPPON KOEI CO., LTD. INTERNATIONALNIPPON DEVELOPMENT KOEI CO., LTD. CENTER OF JAPAN INTERNATIONAL DEVELOPMENT CENTER OF JAPAN IDD INTERNATIONALMINTECH DEVELOPMENT CONSULTANTS CENTER INC. OF JAPAN MINTECH CONSULTANTS INC. CR(3) 10 - 043 MINISTRY OF INDUSTRY JAPAN INTERNATIONAL AND COMMERCE (MOIC) COOPERATION AGENCY (JICA) PREPARATORY SURVEY ON INDUSTRIAL ZONE DEVELOPMENT IN THE LAO PEOPLE’S DEMOCRATIC REPUBLIC FINAL REPORT PART II INDUSTRIAL ESTATE DEVELOPMENT IN VIENTIANE CAPITAL, SAVANNAKHET AND CHAMPASAK JUNE 2010 NIPPON KOEI CO., LTD. INTERNATIONAL DEVELOPMENT CENTER OF JAPAN MINTECH CONSULTANTS INC. THE EXCHANGE RATES USED IN THE REPORT ARE: USD 1 = JPY 90.52 LAK 1 = JPY 0.01 Survey Area for a Basic Plan (Whole of the Lao PDR) Preparatory Survey on Industrial Zone Development in the Lao People’s Democratic Republic Final Report Part II Part II: Industrial Estate Development in Vientiane Capital, Savannakhet and Champasak Table of Contents Page CHAPTER 1 INDUSTRIAL ESTATE DEVELOPMENT ..................................................................II-1-1 1.1 Necessity of Industrial Estate Development in the Lao PDR...........................................II-1-1 1.2 Potential Regions for Industrial Estate Development.......................................................II-1-2 1.2.1 Identification of Potential Regions for Industrial Estate Development........................II-1-2 1.2.2 Current Industrial Zoning in the Three Regions...........................................................II-1-3 CHAPTER 2 INDUSTRIAL ESTATE DEVELOPMENT IN VIENTIANE CAPITAL......................II-2-1 2.1 General Socioeconomic Conditions .................................................................................II-2-1 2.1.1 Demography.................................................................................................................II-2-1 2.1.2 Economy.......................................................................................................................II-2-2 2.2 Urban Development Trend in Vientiane Capital ..............................................................II-2-5 2.2.1 Greater Mekong Economic Corridors and Vientiane ...................................................II-2-5 2.2.2 Planning Context for Vientiane Capital........................................................................II-2-6 2.2.3 Planning Context for Vientiane City Center.................................................................II-2-8 2.3 Existing Infrastructure......................................................................................................II-2-8 2.3.1 Road Network and Transportation................................................................................II-2-8 2.3.2 Telecommunication ....................................................................................................II-2-15 2.3.3 Power Supply .............................................................................................................II-2-17 2.3.4 Water Supply ..............................................................................................................II-2-18 2.3.5 Drainage and Sewerage Systems................................................................................II-2-24 2.3.6 Urban Sanitation.........................................................................................................II-2-28 2.4 Industrial Location .........................................................................................................II-2-31 2.4.1 Existing Industrial Location .......................................................................................II-2-31 2.4.2 Potential Industrial Location ......................................................................................II-2-34 2.5 Conceptual Plan for Industrial Estate.............................................................................II-2-36 2.5.1 Future Prospects .........................................................................................................II-2-36 II-i 2.5.2 Development Framework ...........................................................................................II-2-36 2.5.3 Site Alternative...........................................................................................................II-2-38 2.5.4 Planned Industrial Estate Development......................................................................II-2-40 2.5.5 Infrastructure Development Plan................................................................................II-2-40 2.5.6 Evaluation of Investment Climate..............................................................................II-2-41 2.5.7 Development Roadmap ..............................................................................................II-2-43 CHAPTER 3 INDUSTRIAL ESTATE DEVELOPMENT IN SAVANNNAKHET ............................II-3-1 3.1 General Socioeconomic Conditions .................................................................................II-3-1 3.1.1 Demography.................................................................................................................II-3-1 3.1.2 Economy.......................................................................................................................II-3-2 3.2 Urban Development Policy in Savannakhet Province......................................................II-3-7 3.2.1 Future Vision ................................................................................................................II-3-7 3.2.2 Urban Development Policy for Land Use in the Future...............................................II-3-8 3.3 Existing Infrastructure......................................................................................................II-3-9 3.3.1 Road Network and Transportation................................................................................II-3-9 3.3.2 Telecommunication .................................................................................................... II-3-11 3.3.3 Power Supply .............................................................................................................II-3-12 3.3.4 Water Supply ..............................................................................................................II-3-13 3.3.5 Drainage and Sewerage Systems................................................................................II-3-15 3.3.6 Urban Sanitation.........................................................................................................II-3-16 3.4 Industrial Location .........................................................................................................II-3-17 3.4.1 Existing Industrial Location .......................................................................................II-3-17 3.4.2 Potential Industrial Location ......................................................................................II-3-18 3.5 Conceptual Plan for Industrial Estate.............................................................................II-3-20 3.5.1 Future Prospects .........................................................................................................II-3-20 3.5.2 Development Framework ...........................................................................................II-3-20 3.5.3 Site Alternatives .........................................................................................................II-3-22 3.5.4 Current Industrial Estate Development ......................................................................II-3-24 3.5.5 Infrastructure Development Plan................................................................................II-3-25 3.5.6 Evaluation of Investment Climate..............................................................................II-3-26 3.5.7 Development Roadmap ..............................................................................................II-3-28 CHAPTER 4 INDUSTRIAL ESTATE DEVELOPMENT IN CHAMPASAK....................................II-4-1 4.1 General Socioeconomic Conditions .................................................................................II-4-1 4.1.1 Demography.................................................................................................................II-4-1 4.1.2 Economy.......................................................................................................................II-4-1 4.2 Urban Development Policy in Pakse................................................................................II-4-4 4.2.1 Future Vision ................................................................................................................II-4-4 4.2.2 Urban Development Policy for
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