Vinh Phuc Flood Risk and Water Management Project (WB-P152460)

  • Vietnam
Geographic location where the impacts of the investment may be experienced.
Specific Location
Vinh Phuc
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Apr 29, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Government of Vietnam
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
  • Water and Sanitation
The service or industry focus of the investment. A project can have several sectors.
Potential Rights Impacts
  • Healthy Environment
  • Housing & Property
  • Labor & Livelihood
  • Marginalized Groups
Only for projects receiving a detailed analysis, a broad category of human and environmental rights and frequently at-risk populations.
Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 220.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ WB website

Updated in EWS Feb 26, 2018

Disclosed by Bank Feb 13, 2015

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

The World Bank is considering funding a project in Vinh Phuc province in Vietnam with the stated objective of improving flood management and wastewater management capacity in the region. Vinh Phuc province is a land locked province located north of Hanoi. Bank documents note that there are 29 ethnic minority groups (about 47000 people) living in the province. Project activities will be take place in two drainage basins in the center and east of Vinh Phuc. The project activities most likely to have significant social and environmental impacts include the construction of pumping stations, connecting canals and dredging works in retention lakes like Nhi Hoang, So Rung, Sau Vo and construction work in small towns adjacent to waterways. As Bank documents note, there will likely be “some permanent and temporary land acquisition” and dredging activities may impact current fishery activities. Construction of wastewater collection and treatment facilities is also planned along the Phan river. Documents also note that the implementing agency, the Vinh Phuc Provincial People Committee, does not have “experience in preparing and implementing decentralized projects at a similar size and scope” and may “limit the capacity to prepare and effectively safeguard policies”.

Location: Vinh Phuc province, Vietnam
Resources needed: Agricultural land to be acquired.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

Risk Assessment: Category A.

The World Bank classifies proposed projects based on the type, location, sensitivity, and scale of the project and the nature and severity of its potential environmental impacts. Category A is assigned to a project only if it is likely to have “significant adverse environmental impacts that are sensitive, diverse, or unprecedented.”


Environmental Assessment OP/BP 4.01 - this safeguard is triggered as there may be significant impacts up and downstream of the area of influence. Activities to manage flood risk, including dredging and canal rehabilitation will impact the quality of water, soil and air. Disposal of waste from dredging and during construction of the wastewater treatment plant may also impact the environment within the area of influence of the project.

Natural Habitats OP/BP 4.04 triggered because the project will impact the environment of the Phan and Ca Lo river. The project activities such as dredging river and lakes, embankment works, widening canals and land clearing will take place primarily in agricultural areas.

Pest Management OP/BP 4.09- triggered because [t]he project interventions will help to reduce the flood in the project area, which would lead to the increased crop production in[sic] linked with the increased use of pesticides as an indirect impact."

Physical and Cultural Resources OP/BP 4.11- triggered as the project involves large excavation activities

Indigenous Peoples OP/BP 4.10- triggered because there are 29 ethnic minority (EM) groups (about 47,000 people) living across Vinh Phuc province. These ethnic minority peoples are likely to be concentrated in the project area, including Tam Dao district, Ngoc Thanh commune of Phu Yen Township, and some communes of Binh Xuyen.

Involuntary Resettlement OP/BP 4.1- triggered because [t]he project will undertake construction and engineering works which will require permanent and temporary land acquisition. Local people could be affected by the loss of assets. It is anticipated the impacted area would be mostly agricultural landan estimated 6,500 households are potentially affected

Projects on International Waterways OP/BP 7.50- triggered because the project includes the construction of pumping stations that will discharge water to the Red River, an international waterway.

People Affected By This Project
People Affected By This Project refers to the communities of people likely to be affected positively or negatively by a project.

Based on the World Bank's project documents, this project poses potential risks to the following human rights:

The Right to a Healthy Environment:

Project investments and activities are likely to have significant up and downstream impacts. Bank documents note activities to manage flood risk, including dredging and canal rehabilitation will impact the quality of water, soil and air. The disposal of waste from dredging and construction could also likely pose a risk to the environment in the project area. In addition to this, there are concerns of impacts to environmentally sensitive areas, especially for aquatic habitats. As project interventions are expected to reduce flooding in the project area, an increase in crop production will likely trigger an increase in the use of pesticides.

The Rights of Indigenous Peoples:

Initial screening by the Bank indicates that there are about 47,000 people in 29 ethnic minority groups living in Vinh Phuc province. Bank documents acknowledge that minority peoples are likely to be concentrated in the project area, including Tam Dao district, Ngoc Thanh commune of Phu Yen Township, and some communes of Binh Xuyen.

The Right to Housing and Property:

Temporary and permanent land acquisition is expected as a result of project activities. Bank documents note that the impacted area would mostly be agricultural land but local people could be affected by loss of assets. An estimated 6500 households will likely be affected. At this stage, no physical resettlement has been disclosed.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Bank financing: World Bank, International Bank for Reconstruction and Development (IBRD)
Borrower: Socialist Republic of Vietnam
Amount of bank loan or investment: 150 million USD
Total project cost: 180 million USD

Contact Information
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*No contacts available at time of writing


The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing You can learn more about the Inspection Panel and how to file a complaint at:

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