return icon Vietnamnet.vn

Concerns raised over Vietnam’s North-South high-speed project

The tentative total investment for the North-South high-speed railway, according to the Ministry of Planning and Investment, is about $26 billion, $32.7 billion less than the previous proposal by the Ministry of Transport.

A worker cleans a train on the North-South line. 

 

 



The Ministry of Planning and Investment (MPI) filed a report to Prime Minister Nguyen Xuan Phuc on the railway project, showing its approval for the lower-cost option instead of the Ministry of Transport (MoT) plan.

Citing analysis by experts from Germany and the Netherlands, the ministry said that with the span of thousands of kilometres, a running speed of 200km/h would be effective and help save some 32 billion USD compared to MoT’s solution.

Travelling between Hanoi and Ho Chi Minh City, under the MPI plan, would take about eight hours.

Moreover, if factors besides direction and length are taken into consideration, the cost may be further reduced.

Deputy Minister of Planningand Investment Vu Dai Thang said the ultimate solution was to upgrade the oldinfrastructure for freight and simultaneously develop a new project to carrypassengers.

Previously, MoTproposed a plan to upgrade the current North-South railway to transport local commuters and commodities. Meanwhile, a new high-speed system which would allow a train to run at 320km/h would be built with the tentative investment of about 58.7 billion USD over 30 years from 2020 to 2050.

The project will beimplemented under the Public-Private Partnership (PPP) model, with 80 percentof the investment allocated from the State budget and the rest funded by theprivate sector.

According to MPI,after completing the project’s first phase connecting Hanoi with Vinh inNghe An province and Nha Trang in Khanh Hoa province with HCM City in2032, these two routes will be able to carry 364,000 passengers a day. The total number of daily passengers on both routes, however, is predicted to reach just 55,000 to 58,000, only 16 percent of the capacity.

Therefore, MPI saidit would be more effective and cost-effective to have the system perform at theslower speed of 200km/h.

Technology is another concern in the project. MPI warned against depending on foreign partners to operate the system and asked MoT to accelerate multilateral cooperation to reduce expenditure and encourage the private sector’s participation.

“The North-Southhigh-speed railway will be operated through generations; therefore, it isessential to have solutions for technology transition. It will be costly to buy new technology whenever the old one is out of work,” said Deputy Minister Thang.

According to Dr. Tran Dinh Thien, former Director of the Vietnam Institute of Economics, the project’s investment efficiency must be considered. The high investment could result in expensive tickets, making it hard to compete against budget flights.-VNA

Hyundai wants to invest in North-South express railway

Hyundai wants to invest in North-South express railway

South Korea’s Hyundai Group wants to provide a comprehensive solution for the North-South express railway project, including planning, funding, construction, operation and maintenance.

North-south express railway project attracts foreign contractor interest

North-south express railway project attracts foreign contractor interest

The representative of the Project Management Unit No 2 under MOT said many foreign investors from France, Japan and South Korea have expressed interest in the Highway 45-Nghi Son section of the north-south expressway project.

MORE NEWS

Vietnam looks forwards to stronger investment from US, Europe

Vietnam is hoping to attract more investment from the US, Europe and major global enterprises under a recently approved strategy on foreign investment cooperation.

People in HCMC wait in long queues at passport office on July 1

On July 1 afternoon, thousands of people lined up waiting for passports at the Immigration Department on the first day of issuing ordinary passports in the new form.

Three SARS-CoV-2 Omicron variant BA.5 cases detected in Hanoi

Although the number of daily new cases of Covid-19 is decreasing sharply, Hanoi has recorded three infections caused by the BA.5 sub-strain of the Omicron coronavirus variant.

Binh Duong ranks first nationwide by GDP

The southern province of Binh Duong took the lead among Vietnam’s 63 provinces and cities in terms of gross domestic product (GDP) per capita in 2021, according to the latest data released by the General Statistics Office.

Tan Hoang Minh allegedly appropriates VND8 trillion of investors

Tan Hoang Minh Group, a major property developer based in Hanoi, is facing charges of misappropriating over VND8 trillion from investors, said a Ministry of Public Security representative.

Businesses get set for circular economy

Vietnam’s rapid economic growth has caused environmental challenges which have forced the nation to focus on fostering the development of a circular economy with less pollution and reused and recycled products.

Over 60,000 fishing vessels urged to seek safe shelter from storm Chaba

Approximately 60,000 fishing vessels operating at sea have been urgently notified to avoid dangerous areas and seek safe shelter from incoming Storm Chaba, according to the National Steering Committee for Natural Disaster Prevention and Control.

Siem Reap - Da Nang air route resumed

Flight K6 840 departed from Siem Reap of Cambodia at 3:35 pm on July 1 and landed safely at Da Nang International Airport at 5:35pm on the same day.

Embassy: two Vietnamese arrested in Spain for alleged sexual assault

Police on the Spanish island of Mallorca on June 25 said they had arrested two Vietnamese citizens accused of raping a 17-year-old girl and privacy violation, according to the Vietnamese Embassy in Spain.

The key role of top leaders in fighting corruption in Vietnam

Head of the Party Central Committee's Commission for Internal Affairs Phan Dinh Trac has emphasized the important role of top leaders, especially Party Secretary General Nguyen Phu Trong, the people and the media in fighting corruption.

Huge costs for filling Ha Long largest open-cast coal mine

It would cost about VND 1.20 trillion (USD 52.18 million) to fill the Nui Beo open-cast coal mine pit in Ha Long City after closure.

Cutting taxes on petrol products is more urgent than ever

“VND50,000 please. No, just VND30,000."  “VND100,000, please. No, only VND70,000." These were conversations I heard yesterday at a filling station.

28 provinces, 21 central hospitals report lack of drugs, medical equipment

Twenty-eight healthcare departments and 12 out of 21 central hospitals have reported they lack drugs.

HCMC proposes developing huge port in Can Gio

The HCMC government has proposed developing an international container port in the outlying district of Can Gio with an estimated investment of some US$6 billion to aid the local marine economy.

500 tonnes of Vietnamese-labelled rice exported to EU

Loc Troi Group JSC exported nearly 500 tonnes of rice labelled with its own brand name “Com Vietnam Rice” to the EU markets in June.
back_to_top