return icon Vietnamnet.vn

ACV backs private sector involvement in entire airport projects

The Government should let the private sector develop entire airports rather than some of their components, said Lai Xuan Thanh, chairman of the State-run Airports Corporation of Vietnam (ACV).

 

{keywords}

Lai Xuan Thanh, chairman of Airports Corporation of Vietnam

 

 

Thanh said in an interview with the Vietnam News Agency that Vietnam is forecast to have one of the world’s fastest-growing aviation industries in the years ahead. Therefore, its sustainable development is critical.

Sustainable development applies toall aspects of an airport, from State management to infrastructure, including airports, flight control, air services, passenger terminals and aprons, he said.

He pointed out that the Governmenthas assigned ACV to develop, manage and operate infrastructure at 22 airports. Inthe short term, the corporation will pay special attention to its existing systems for the sake of aviation safety and security.

ACV wants more private sector capital for airport development, he said, butthe investment model of the Van Don International Airport in the northern province of Quang Ninh is a good example.

Vietnam’s private property conglomerate Sun Group has injected nearly VND7.7 trillion into Van Don airport, the first ever developed under the build-operate-transfer format in Vietnam.

When an airport is being constructed, having its components developed by several private investors affects the investment and business plan of ACV, Thanh remarked.

He cited a proposal to build an airport in the northern mountainous province of Dien Bien at an estimated cost of around VND5.5 trillion, some VND3.77 trillion of which will be used for the take-off zone, while VND1.7 trillion from public-private partnerships will be allocated for development of a passenger terminal.

In this case, the Governmentwill have to provide most of the funding for the take-off zone, where capital recovery will be difficult. He said that if ACV is in charge of the airport’s construction, it would be willing to develop take-off and terminal zones.

He noted that having earmarked VND25 trillion, the corporation is expected to raise extra funding of some VND85-87 trillion between 2019 and 2025 to develop the third passenger terminal for the Tan Son Nhat International Airport in HCMC and the first phase of the Long Thanh International Airport in the southern province of Dong Nai.

Work on Long Thanh airport seen on schedule

 

{keywords}

An artist's impression of the passenger terminal of the Long Thanh International Airport project in the southern province of Dong Nai 

 

 

In the latest statement on the progress of the Long Thanh International Airport project, ACV said that a consulting consortium comprising Japanese, French and Vietnamese firms is carrying out their works in line with contract terms.

ACV has urged the consortium to speed up the completion of the feasibility study for the first phase of the big-ticket project so that it can be submitted to the relevant ministries and agencies for feedback in June and its amended version sent to the legislative National Assembly for consideration and approval.

Also, the environmental impact report for the first phase, issuedby the consortium between the Institute of Transport Science and Technology and the Center of Environment and Applied Ecology, has been completed on schedule. The report was submitted to the Ministry of Natural Resources and Environment for appraisal and approval onMarch 19.

According to ACV, the government of Dong Nai Province is making every effort to finish site clearance for the current phase by the end of this year so that available land can be handed over to the investor for bomb and mine clearance.

As a result, work on the project is likely to start in late 2020 as scheduled. “The entire site clearance project, which covers 5,000 hectares of land, will be complete by the end of 2020,” the statement said.

Long Thanh will be put into operation in 2025 if the project maintains its current rate of progress.The airport is designed to handle up to 100 million passengers and five million tons of cargo per year once the three construction phases are complete.

In the first phase,slated for completion by 2025, the airport will have one runway and one passenger terminal able to accommodate 25 million passengers and 1.2 million tons of cargo per year.

The second runway and terminal will be built in the second phase to raise the airport’s annual capacity to 50 million passengers and 1.5 million tons of cargo.

The project costs an estimated VND336.6 trillion, or US$16.03 billion, with VND114.5 trillion assigned for the first phase, based on the 2014 exchange rate between the Vietnamese dong and the U.S. dollar. SGT

MORE NEWS

VIETNAM NEWS HEADLINES DECEMBER 9

Human rights promoted in labour, social, gender equality aspects

Vietnam Airlines reopens regular flights to China from December 9

Vietnam Airlines' flight VN 502 departed from Ho Chi Minh City to Guangzhou at 9:55 am on December 9, marking the carrier's first regular commercial flight between Vietnam and China after a nearly three-year disruption due to the COVID-19 pandemic.

Trial on Alibaba Company’s scam, money laundering begins

The People's Court of HCM City, on the morning of December 8, opened the Court of First Instance on the case of fraudulent appropriation of property and money laundering at Alibaba Real Estate Joint Stock Company, referred to as Alibaba Company.

VIETNAM BUSINESS NEWS DECEMBER 9

VN attracts nearly US$500 million in start-up ecosystem in 9 months

Opening the Internet in Vietnam: a brave decision

Former Deputy Prime Minister Nguyen Khanh said Vietnam could have opened the internet sooner but it needed to prepare well in technique, human resources, policies, and more importantly, ideology.

'Make in Vietnam' instrumental in going global

Digital technology industry as a bright spot in the economy with an industry-wide revenue of $148 billion, up 10 per cent against 2021.

'La Nina' likely to cause severe cold weather next month for third year running

The average temperature this month could be lower than the previous years by half a degree. Temperatures next month will be similar to previous years.

Two Vietnamese films up for consideration at Oscars

Two Vietnamese movies have been named among Animated, Documentary and International Features nominees for consideration at the 95th Academy Awards (Oscars), as announced by the Academy of Motion Picture Arts and Sciences (AMPAS).

The firefighters who died for others

Four months have elapsed since the day the three firefighters of the Cau Giay District Police in Hanoi sacrificed themselves in service, but their parents, wives and children’s sadness has not subsided.

Reviving investors’ confidence key to restoring bond market health: experts

While it is urgent to tackle the liquidity problem, a fundamental solution is regaining investors’ confidence and stabilising the corporate bond market, experts said.

Prime Minister starts official visit to Luxembourg

Prime Minister Pham Minh Chinh landed at Findel Airport this morning (local time), starting his official visit to Luxembourg at the invitation of Luxembourger Prime Minister Xavier Bettel.

Vietnam co-hosts seminar on UNCLOS’s outcomes

Vietnam, in coordination with Greece, Egypt and Senegal, on December 8 hosted a workshop on achievements and challenges since the adoption of the 1982 United Nations Convention on the Law of the Sea (UNCLOS) 40 years ago.

EU, Vietnam urged to expand cooperation in tackling climate change

Vietnam and the EU should work together to accelerate the transition towards “a carbon-neutral, resource-efficient and circular economy” to tackle climate change, the European Commissioner for the Environment, Oceans and Fisheries has said.

Young couple dream of introducing Vietnamese salt to the world

With their great love of traditional salt, Ho Van Vinh and Tran Thi Hong Tham want to bring rustic and traditional products of their homeland to the world.

Food-delivery apps need to focus on sustainable growth

By offering many promotions, food delivery apps can quickly gain market share, but they also end up creating unsustainable growth.
back_to_top