Cambodia will go ahead with a groundbreaking ceremony Monday for its ambitious and controversial Funan Techo Canal despite concerns from neighboring Vietnam, unclear financing, and uncertainty from local communities.
The symbolic event at the Mekong River entrance of the canal near the Cambodian capital, Phnom Penh, will be held the morning of August 5, the birthday of former longtime prime minister Hun Sen, whose honorific, “Techo,” is reflected in the canal’s name. Monday has also been declared a one-day holiday to highlight the historic significance of the project for Cambodians. The name “Funan” refers to an ancient kingdom with sophisticated hydrology that emerged in the Mekong Delta from the first through sixth centuries and believed to be a predecessor to the medieval Khmer empire.
The $1.7 billion canal aims to connect the Mekong River near Phnom Penh directly to the Gulf of Thailand on Cambodia’s southwestern coast in Kep province and partially bypass the country’s traditional shipping route through Vietnam’s Mekong Delta.
Cambodia’s government approved the 180-kilometer-long project in May. The canal, part of the Chinese government’s Belt and Road Initiative, would also wind through the inland provinces of Takeo and Kandal. The proposed design is 100 meters wide upstream and 80 meters wide downstream, with a consistent depth of 5.4 meters.
The government has touted the canal’s economic, logistical and agricultural benefits. But neighboring Vietnam has raised concerns about potential transboundary impacts on its Mekong Delta, and potential military use of the waterway by China, initially expected to be the main financier of the project. As the size of the Chinese financing remained unclear, however, the Cambodian government resorted to securing additional local funding and recently said Cambodian companies now hold a 51% stake in the project.
Observers have urged the Cambodian government to share more information with the public as it presses ahead with canal construction.
Brian Eyler, director of Southeast Asia and the Energy, Water and Sustainability programs at the Stimson Center, told VOA Khmer on Thursday that the ceremony Monday “falls at the wrong time of the year to break ground on the Funan Techo Canal.”
Cambodia is experiencing seasonal monsoon rainfall, and the construction sites “will be prone to flooding given that the entire canal route passes through an active floodplain,” he said.
“Realistically, this ceremony will be one with much pomp and little substance. If the canal’s construction is to proceed in earnest, major work will begin likely in early 2025 after the wet season floods subside,” he said.
“However, financing from China for the project is said to be held up in approval process, and it could be years before the canal’s construction efforts really commence. The lending associated with the project might also never be approved, so the fate of the Funan Techo Canal is still uncertain.”
The Mekong River Commission — an intergovernmental body comprising Cambodia, Laos, Thailand and Vietnam — said it has not received any documents from Cambodia as requested by Vietnam. Vietnam is hopeful that Cambodia will share more information related to the proposed canal and the research on any transboundary effects.
Calls for transparency have also come from the United States, which emphasized that more information would benefit everyone, including Cambodians.
In the lead-up to the groundbreaking, some Cambodian villagers living near or along the canal’s path have expressed increasing concerns over the lack of information and potential impacts of the project on their families, including worries about relocation and inadequate compensation.
Despite these uncertainties, Cambodian officials are pushing ahead, at least with the rainy season opening of the construction, touting the historic nature of the project.
