SOCIALIST REPUBLIC OF VIETNAM DA NANG PEOPLE’S COMMITTEE DATA COLLECTION SURVEY ON SUSTAINABLE AND INTEGRATED URBAN DEVELOPMENT IN DA NANG FINAL REPORT MAIN TEXT March 2016 JAPAN INTERNATIONAL COOPERATION AGENCY (JICA) ALMEC Corporation PwC Advisory LLC Table of Contents SUMMARY 1. BACKGROUND 2 DANANG URBAN DEVELOPMENT FORUM FOR TRIPARTITE COOPERATION ON SUSTAINABLE DEVELOPMENT 2.1 Summary of the Urban Development Forums ...................................................................... 2-1 2.2 First Forum (22–23 December 2014) ................................................................................... 2-2 2.3 Second Forum (13–14 May 2015) ........................................................................................ 2-5 2.4 Third Forum (31 August 2015) ............................................................................................ 2-11 2.5 Fourth Forum (23 December 2015) .................................................................................... 2-15 3 PROFILE OF DANANG CITY 3.1 Growth of Danang City ......................................................................................................... 3-1 3.2 Development Orientation of City Plans ............................................................................... 3-13 3.3 External Assistance and City-to-city Cooperation ............................................................... 3-18 4 IDENTIFIED MAIN URBAN ISSUES OF DANANG 4.1 Complexity of Urban Problems and Pressures on Urban Development .............................. 4-1 4.2 Opportunities for Sustainable Development of Danang City .............................................. 4-18 5 PROPOSED DEVELOPMENT STRATEGIES 5.1 Need for Integrated and Strategic Approach ........................................................................ 5-1 5.2 Approach to Sustainable Development (Vision and Goals) ................................................. 5-4 5.3 Key Strategies ...................................................................................................................... 5-5 6 PROPOSED ACTION PLAN 6.1 Approach ............................................................................................................................... 6-1 6.2 Proposed Cross-cutting Actions............................................................................................ 6-2 6.3 Proposed Programs/Projects ................................................................................................ 6-9 6.4 Implementation Timeline ..................................................................................................... 6-13 6.5 Key Considerations ............................................................................................................. 6-15 i List of Tables TTable S.1 Summary of the Discussion Points and Outputs of the Danang Urban Development Forums ... S-2 Table S.2 Key Socioeconomic Indicators ...................................................................................... S-3 Table S.3 Comparison with International Indicators and Benchmark for Danang in 2025 ............ S-8 Table S.4 Possible Development Clusters (Tentative) ................................................................ S-10 Table S.5 Proposed Actions and Programs ................................................................................. S-15 Table 2.1.1 Summary of the Discussion Points and Outputs of the Danang Urban Development Forums .... 2-1 Table 2.3.1 Action Plan (1st Draft) .................................................................................................... 2-9 Table 2.4.1 List of Danang Delegation ............................................................................................ 2-11 Table 2.5.1 List of the Delegation from CoY ................................................................................... 2-16 Table 3.1.1 Key Socioeconomic Indicators ....................................................................................... 3-2 Table 3.1.2 19 Candidates for the PPP Project .............................................................................. 3-10 Table 3.2.1 Main City Plans Formulated in Danang City ................................................................ 3-14 Table 3.2.2 Key Performance Indicators: Social and Economic Condition ..................................... 3-15 Table 3.2.3 Key Performance Indicators: Environment and Infrastructure ..................................... 3-16 Table 3.2.4 Key Performance Indicators: Transport........................................................................ 3-17 Table 3.3.1 Municipalities Working in Cooperation with Danang City ............................................. 3-19 Table 4.1.1 Profile of Danang and Other ASEAN Cities ................................................................... 4-5 Table 4.1.2 Requests from JBAD to Danang People’s Committee ................................................... 4-6 Table 4.1.3 Changes in Annual Mean Temperatures and Sea Levels Relative to Period 1980-1999 .......... 4-10 Table 4.2.1 Comparison with International Indicators and Benchmark for Danang in 2025 ........... 4-19 Table 5.1.1 Six Strategic Programs in Yokohama and Application to Danang ................................. 5-2 Table 5.1.2 Six Cross-Cutting Actions in Yokohama and Application to Danang .............................. 5-2 Table 5.3.1 Possible Role-sharing among CFEZ Provinces ............................................................. 5-7 Table 5.3.2 Comparison of Investment Conditions in Danang, Hanoi and HCMC ........................... 5-9 Table 5.3.3 Main Characteristics of Key Mechanisms .................................................................... 5-32 ii List of Figures Figure S.1 Proposed Spatial Structure and Identified Main Urban Cluster ................................... S-11 Figure 3.1.1 FDI by Sector and Country / Region as of October 2015 .............................................. 3-3 Figure 3.1.2 Composition of Total Revenue in the Area (2008-2013) .............................................. 3-4 Figure 3.1.3 Composition of Internal Revenue (2008-2013) .............................................................. 3-5 Figure 3.1.4 Revenue as Share of GDP ............................................................................................. 3-5 Figure 3.1.5 Budget Expenditure’s Composition (2008-2013) ........................................................... 3-6 Figure 3.1.6 Budget Expenditure ........................................................................................................ 3-7 Figure 3.1.7 Composition of Expenditure as Share of Total Expenditure ........................................... 3-7 Figure 4.1.1 Baseline Scenario of Population Growth ....................................................................... 4-2 Figure 4.1.2 Mitigation from Other Regions to Danang City .............................................................. 4-3 Figure 4.1.3 GRDP per capita and Car Ownership Rate ................................................................... 4-8 Figure 4.1.4 Factors that Degrade Road Traffic Congestion .............................................................. 4-8 Figure 4.1.5 Rapid Socio-economic Changes of Vietnam Observed Through Pictures .................... 4-9 Figure 4.1.6 Housing Typology and Projected Needs by Future Household Income (2020) ........... 4-13 Figure 4.1.7 Radar Chart on Gaps between Supply and People’s Satisfaction with Their Living Conditions ............... 4-14 Figure 4.1.8 Comparison of Population Distribution and Land Suitability ........................................ 4-15 Figure 4.1.9 Rapid Expansion of Urban Areas and Sprawl to Outskirts (Hanoi) .............................. 4-16 Figure 5.3.1 Connectivity at Regional, National and CFEZ Levels .................................................... 5-6 Figure 5.3.2 Concept of Integrated Economic Development ........................................................... 5-10 Figure 5.3.3 Opportunities of Medicare/Health Centre in Danang ................................................... 5-13 Figure 5.3.4 Number of Visitors to the Central Vietnam ................................................................... 5-14 Figure 5.3.5 Movement of the People from Congested City Center to Outer Areas ........................ 5-21 Figure 5.3.6 Current Approved Urban Master Plan .......................................................................... 5-22 Figure 5.3.7 Proposed Spatial Structure and Identified Main Urban Cluster ................................... 5-25 Figure 5.3.8 Image of Future Development by Area ........................................................................ 5-26 Figure 5.3.9 Concept of Land Readjustment Scheme ..................................................................... 5-32 LIST OF BOXES Box 2.2.1 Program of the First Danang Urban Development Forum ............................................. 2-3 Box 2.3.1 Program of the Second Danang Urban Development Forum ........................................ 2-6 Box 2.4.1 Program of the Third Danang Urban Development Forum .......................................... 2-12 Box 2.5.1 Program of the Fourth Danang Urban Development Forum ........................................ 2-17 Box 5.3.1 Transit-Oriented Development at City Level ................................................................ 5-24 iii Abbreviations & Acronyms 3R Reuse, Reduce, Recycle ADB Asian Development