Motorcycles are parked on a sidewalk in District 1 of HCMC, February 2023. Photo by VnExpress/Gia Minh
HCMC will allow parts of streets and sidewalks to be used as parking spaces and for businesses for 20,000 to 350,000 VND ($0.82 to $14.42) starting in 2024.
The move, specified in a report sent by the Ministry of Transportation to the HCMC People’s Committee, pending approval by the Municipal People’s Council, would allow streets and sidewalks to be used for cultural activities and as parking spaces. Other uses include intermediate locations for waste and construction materials, as well as utility infrastructure.
Fees for street and sidewalk use are based on average land prices in the areas. For parking, the lowest fee is VND50,000 and the highest is VND350,000 per m2 per month. Other activities would incur fees of VND20,000 to VND100,000 per m2.
Fees for the use of streets and sidewalks are expected to amount to around VND800 billion per year. The money would be added to the national budget to maintain streets and sidewalks.
The charges would be collected from January 1, 2024. The transport department would collect the charges in the areas under its management, while the charges in other areas would be collected by local authorities.
HCMC currently has 4,869 roads with a width of at least 5 m, including 2,600 without sidewalks. People frequently occupy space on streets and sidewalks for parking and business purposes, which affects traffic flow and aesthetics.