Mon State, Mudon Mega Project and Socio-Economic Impacts on Local Residents Report

Mon State, Mudon Mega Project and Socio-Economic Impacts on Local Residents Report

Socio-economic and Public Participation Review of the Mudon Mega Project[1]

In mega projects, site selection and implementation often involve not only economic considerations but also political motivations. The Mudon International Airport and Port Project is observed to be a top-down development project managed based on the guidance of the State Administration Council (SAC) Chairman during his visit on June 1, 2022, rather than a bottom-up project arising from local needs.[2] Political alliances may be behind the emergence of the project. Political analyst U Ko Ko Naing commented on the Mudon project in 2022, stating, “The elders in Mon State and the current SAC council are on good terms… that’s why I see Mon State being given opportunities.”[3] U Aung Kyi Thein, the Chief Minister of Mon State under the coup regime, also stated in Positive Angle News that this project would benefit not only the state but also the country.[4]

  1. Why was Mudon chosen as the location for the large-scale project?[5]

According to an article by the Independent Mon News Agency, the existing Mawlamyine Airport has a runway length of only 5,000 feet and can only accommodate ATR-72 aircraft with a capacity of 70 passengers. While there is a desire to upgrade the airport to accommodate larger aircraft such as the Boeing 737, the airport is located adjacent to the city and close to residential areas, making it difficult to expand the runway due to land constraints.3

The selected locations for the new project, Kaw Paran (airport) and Blaok Nyaung Waing-Wae Kli (port), are close to access to the sea. This appears to be aimed at creating a “Multi-modal Transport Hub” that will connect air and water transport.5

As the national budget alone may not be sufficient for this project, the private sector has also been invited to participate. TMS Holdings Co., Ltd. has proposed to build an international coastal port under a BOT (Build-Operate-Transfer) system, according to Positive Angle News. Additionally, U Aung Kyi Thein, spokesperson for the Mon State Administration Council, confirmed to NP News that a Korean company had won the tender for the Feasibility Study.[6]

  1. What are the potential socio-economic impacts and local concerns regarding the Mudon Mega Project?[7]

The project requires over 4,000 acres of land, including 3,447.42 acres for the airport and over 469 acres for the port, which consist of local farmlands and rubber plantations.[8] These farmlands and rubber plantations are the primary sources of income for the locals. If they lose this land, their long-term economic stability could be jeopardized, and they would have to start anew to find alternative employment, which could be very difficult for the locals. According to one local, “For us, we tap rubber in the morning and collect it in the evening… When have they ever provided adequate compensation? It’s been like this throughout history.”8 Due to a history of land confiscation without fair compensation, locals lack trust in the government’s processes and are more concerned about losing their livelihoods.

Although the military junta has set compensation at 4 million kyats per acre of farmland, the locals are not yet fully aware of this information. A young resident from Kawtparan village stated, “They haven’t said anything about how much compensation they will give or how they will help us rebuild… We are worried about losing our land.”8

  1. To what extent is the public involved in the Mudon project?[9]

It has been observed that local residents have limited awareness regarding the project. Locals have stated, “It has not been confirmed that [compensation]will be given, nor has there been a thorough discussion,” indicating that the project implementers have not accurately shared information, leading to increased anxiety and uncertainty among local residents.

Although procedures such as calling for tenders and requesting budgets have been carried out according to regulations when implementing the large-scale project, local residents’ consent has not yet been obtained. It was also found that a member of the Kawtparan village administrative body stated, “They are still negotiating with the farmers. Nothing has been settled yet because the farmers do not accept the prices they [the project implementers]are offering.”

  1. Conclusion

Although the project is proceeding in accordance with the government’s official procedures (tenders, budget), compliance with international standards for land acquisition, such as FPIC (Free, Prior and Informed Consent), is weak. While it may lead to long-term regional development, in the present, it threatens the economic sphere and livelihoods of local farmers. To ensure the project’s success and profitability, international investment such as the BOT system is needed, as is transparent discussion with local residents and consideration of fair compensation and livelihood restoration plans. It is necessary to highlight that this project requires considerable attention in these areas.

 

[1] This is a report that analyzes the international airport and seaport mega-project to be implemented in Mudon Township, Mon State, from the perspective of social science theories.

[2] /5/8 Independent Mon News Agency/(BNI), December 14, 2022, Land compensation for the airport and port project to be built in Mon State will be finalized next year.https://www.bnionline.net/mm/news-96282

[3] /8  Independent Mon News Agency, September 8, 2022, “Will Mon State’s International Airport Project Become a Reality?”Link

[4] Positive Angle News, January 22, 2026, the Chief Minister of Mon State stated that the international port to be built in Mudon Township, Mon State, will benefit not only Mon State but also the country. Link

[5] The rationale behind constructing a new airport in Mudon despite the presence of Mawlamyine Airport is analyzed from the perspectives of Comparative Advantage and Technical Feasibility.

[6] /9 NP News, August 28, 2022, a Korean company has reportedly won the tender to conduct a feasibility study for an international-standard international port to be built in Mudon Township. Link

[7] This section reviews the livelihood security of local people using the Livelihood Security Framework.

[8] Independent Mon News Agency, September 8, 2022, “Will Mon State’s International Airport Project Become a Reality?”Link

[9] The current project’s level of public participation is assessed using Arnstein’s Ladder of Citizen Participation theory.

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