VietNamNet Bridge – U.S.-based Vigilant Solutions Inc. has suggested the HCMC government develop a smart traffic control system using around US$300 million to be lent by the investment bank Morgan Stanley.

HCMC’s vice chairman Tran Vinh Tuyen (R) shakes hands with Shawn Smith of Vigilant Solutions Inc. at a meeting on September 12 – Photo: Van Nam

Speaking with HCMC’s vice chairman Tran Vinh Tuyen and department leaders on September 12, Shawn Smith, president of Vigilant Solutions, said the firm looks to develop the intelligent transportation system (ITS) in the city through a network of fixed and mobile cameras.

With US$300 million invested in manpower, technology and control center construction, the project aims to reduce traffic jams, improve transport safety and reduce emissions. Morgan Stanley is ready to fund the project as it is a large shareholder at Vigilant Solutions.

As planned, the enterprise will install a system of cameras used for identification of vehicle registration number plates and toll collection. It links to a national system for number plate registration and collection of fines imposed on traffic rule violators, Smith said.

Tuyen hailed the project and suggested the enterprise apply it in inner districts before expanding to HCMC’s outlying areas to avoid wastefulness. He also requested the firm to clarify incentives and capital mobilization for the project.

Le Thai Hy, director of the HCMC Department of Information and Communications, was told to cooperate with other agencies to support the investor in implementation scale, Internet security, contractor selection and financial incentive mechanism. The city government will examine a report over the project next month.

Earlier, the HCMC Department of Transport suggested a smart traffic control model is an effective solution to control traffic congestion, accidents, environmental pollution and urban order in the city.

Between 2016 and 2017, the department will focus on upgrading the current traffic control system to secure smooth connection with the new network in the future.

In recent times, the local government has prioritized private investment sources and the public-private partnership (PPP) format for traffic infrastructure projects because of huge capital demand. As estimated, the city will need more than VND124 trillion (US$5.6 billion) for the projects within the next five years, three times higher than the previous five-year period.

Besides, the city will arrange sufficient capital for key projects, using VND55 trillion from the local budget and the remainder from the State budget, official development assistance (ODA) loans and investor capital.

SGT