Govt wants public funding for all North-South expy subprojects

The Government on November 15 suggested that the National Assembly (NA) approve public funding for all 12 subprojects of the 729-kilometer North-South expressway project in the 2021-2025 period.

Govt wants public funding for all North-South expy subprojects
A section of the Cam Lo-La Son subproject of the North-South Expressway. - Photo: VNA

The Government’s proposal differed from that of the Ministry of Transport. Earlier, the ministry had proposed conducting four subprojects under the public-private partnership (PPP) and eight subprojects using public investment capital, Tuoi Tre Online newspaper reported.

The Government explained that if the four subprojects are funded by PPP investors, only VND17.3 trillion could be raised from the private sector, or some 12% of the total investment needed for the project. Meanwhile, when the State capital accounts for over half of the total investment amount, special policy must be adopted to allow the project to proceed.

If the PPP-financed subprojects are executed unsuccessfully, the completion time of the entire project would be extended by nine to 22 months.

In addition, under the Government’s socioeconomic recovery and development scheme, the acceleration of key national projects and the disbursement of public investment capital would be urgent tasks.

The Politburo has also sought resources to complete the North-South Expressway project at the earliest as it is critical.

The Government also suggested that the cities and provinces where the expressway will pass through take responsibility for executing the subprojects.

The entire expressway project would need some 5,500 hectares of land.

In the first phase, all 12 subprojects will have four lanes and allow for a designed speed of 80-120 kilometers an hour.

However, localities must clear the site for six-lane sections, except for those from Can Tho City to Ca Mau Province, with four lanes.

The investment for the project was estimated at nearly VND147 trillion, including VND139.6 trillion in the 2021-2025 period and VND7.35 trillion in the 2026-2030 period. As for the capital needed in the 2021-2025 period, VND47.2 trillion will be sourced from the State budget for the mid-term public investment plan and VND92.5 trillion from the capital for socioeconomic recovery and development.

 

The Government set a target to prepare and start work on the project this year and complete it by 2025.

The Government also proposed the NA assign the Government to decide the conversion of forest land for each subproject.

In September 2021, nine out of 12 subprojects were planned to be implemented under the PPP model. With this plan, the investment needed for the project would be more than VND124.6 trillion, with 49.45% being the State capital for the mid-term investment plan in the 2021-2025 period and 50.55% sourced from the private sector.

However, under the project’s prefeasibility study that the Ministry of Transport has submitted to the Government, the number of subprojects to be developed under the PPP formula was cut from nine to four. The remaining eight subprojects will use public investment.

With this plan, the estimated investment for the project increased to VND148.5 trillion, with 88% from the State budget and 12% from the private sector.

According to the ministry, investors with a strong financial capacity and interest in PPP road projects have been mobilized for previous BOT projects in the 2017-2020 period, so it is hard to call on them for more investment.

From its experience in executing PPP subprojects of the North-South expressway project in the 2017-2020 period, the Ministry of Transport also suggested the Government propose the NA allow the proportion of the State budget in PPP subprojects to be capped at 54%-65% of the total cost of each subproject.

Source: SGT 

More than 700km of North-South Expressway to be built

More than 700km of North-South Expressway to be built

The Ministry of Transport has submitted plans to build more than 700 kilometres of extra road on the east sections of the North-South Expressway.

US$5.4 billion to be invested in 9 component projects of North - South expressway

US$5.4 billion to be invested in 9 component projects of North - South expressway

Nine component projects of the North-South Expressway Phase 2 will be invested in the form of public-private partnership (PPP), with total investment of about 124,619 billion VND (US$5.4 billion) during the 2021-2025 period.

 
 

Other News

.
Da Nang, Long An record four more Omicron cases, bringing Vietnam's total to 35
Da Nang, Long An record four more Omicron cases, bringing Vietnam's total to 35
SOCIETYicon  12/01/2022 

The southern province of Long An has reported its first Omicron case while the central city Da Nang logged three more, bringing the national tally to 35.

Hanoi to demolish run-down apartment buildings in 2023 Q3
Hanoi to demolish run-down apartment buildings in 2023 Q3
SOCIETYicon  13/01/2022 

Vice-Chairman of Hanoi People’s Committee Duong Duc Tuan has just approved a plan on renovating and rebuilding old apartment buildings in the capital.

2022 Lunar New Year holiday to last for five days
2022 Lunar New Year holiday to last for five days
SOCIETYicon  12/01/2022 

The 2022 Lunar New Year holiday will last from January 31 through February 4, Deputy Prime Minister Vu Duc Dam has agreed.

VIETNAM NEWS HEADLINES JANUARY 12
VIETNAM NEWS HEADLINES JANUARY 12
SOCIETYicon  12/01/2022 

Cold weather in northern Vietnam to last for 10 more days

Vietnam to resume regular flights to 7 countries, territories
Vietnam to resume regular flights to 7 countries, territories
SOCIETYicon  11/01/2022 

Seven countries and territories have basically agreed with Vietnam's proposal on a plan to resume regular international routes, according to the Civil Aviation Authority of Vietnam (CAAV).

Saigonese return to karaoke parlors after six months of closure
Saigonese return to karaoke parlors after six months of closure
SOCIETYicon  11/01/2022 

Karaoke parlors were very crowded on January 10, the first day of the new normal for entertainment facilities in HCM City.

Gambling rings boomed in 2021 despite Covid-19
Gambling rings boomed in 2021 despite Covid-19
FEATUREicon  12/01/2022 

Despite difficulties caused by the pandemic, tens of trillions of dong have been injected into gambling rings.

Aviation sector proposes limiting combo flights at Noi Bai and Tan Son Nhat airports
Aviation sector proposes limiting combo flights at Noi Bai and Tan Son Nhat airports
SOCIETYicon  11/01/2022 

The Civil Aviation Authority of Vietnam (CAAV) has made a proposal aimed at limiting combo flights to reduce congestion occurring at COVID-19 testing areas at both Noi Bai and Tan Son Nhat International Airports.

Vietnam to discontinue automatic stay extension for foreigners as int'l flights resume
Vietnam to discontinue automatic stay extension for foreigners as int'l flights resume
SOCIETYicon  11/01/2022 

Vietnam will discontinue automatic stay extension for foreign nationals in the country starting January 15, as the country tentatively reopens its borders, according to a notice from Immigration Department.

Bank robber arrested after buying motorbike with stolen money
Bank robber arrested after buying motorbike with stolen money
SOCIETYicon  11/01/2022 

A suspected bank robber has been arrested days after posting photographs of himself on Facebook posing with a US$32,000 motorbike he purchased a day after the robbery.

Citizens warned against virtual currency scams
Citizens warned against virtual currency scams
SOCIETYicon  10/01/2022 

Despite repeatedly warnings from the police regarding fraudulent activities in virtual currency exchanges, there are still many victims of this crime in Vietnam just because of their desire to earn abnormally high profit quickly and carelessly.

Severely ill coronavirus cases on the rise in Hanoi
Severely ill coronavirus cases on the rise in Hanoi
SOCIETYicon  10/01/2022 

There are 408 severely and critically ill coronavirus patients in Hanoi capital, an increase of nearly 14% compared to the average seven days ago, according to the Ministry of Health.

Five notes for people returning to HCMC to celebrate Tet
Five notes for people returning to HCMC to celebrate Tet
SOCIETYicon  10/01/2022 

People who are about to enter HCMC through Tan Son Nhat International Airport need to have a negative RT-PCR test result within 72 hours before arrival in Vietnam.

VIETNAM NEWS HEADLINES JANUARY 11
VIETNAM NEWS HEADLINES JANUARY 11
SOCIETYicon  11/01/2022 

Lao Prime Minister wraps up Vietnam visit

Vietnam considers new car number plate format
Vietnam considers new car number plate format
SOCIETYicon  10/01/2022 

The Ministry of Public Security’s Traffic Police Department is studying changes to the current format of car registration plates, according to the department's deputy director Colonel Do Thanh Binh.

Naval soldiers who died on southern continental shelf commemorated
Naval soldiers who died on southern continental shelf commemorated
MARITIME SOVEREIGNTYicon  10/01/2022 

A ceremony was held at Platform DK1/9 of Naval Region 2 on January 10 to pay tribute to soldiers who laid down their lives on Vietnam’s southern continental shelf.

HCM City to complete many key traffic infrastructure works this year
HCM City to complete many key traffic infrastructure works this year
SOCIETYicon  10/01/2022 

A number of ongoing traffic projects in HCM City, including bridges and roads, are nearing completion and are expected to be finished by year-end,

Large drug trafficking ring busted in north-western Vietnam
Large drug trafficking ring busted in north-western Vietnam
SOCIETYicon  10/01/2022 

The border guard force have broken a large drug tracking ring in the north-western province of Dien Bien, arresting three suspects along with 144,000 pills of synthetic drugs and 12 cakes of heroin.

Former HCM City Party leader gets 10-year imprisonment
Former HCM City Party leader gets 10-year imprisonment
SOCIETYicon  10/01/2022 

The People’s Court of HCM City on January 8 sentenced Tat Thanh Cang, former Deputy Secretary of the municipal Party Committee, to 10 years in prison.

VIETNAM NEWS HEADLINES JANUARY 10
VIETNAM NEWS HEADLINES JANUARY 10
SOCIETYicon  10/01/2022 

HCM City now becomes COVID safe zone

 
 
 
Leave your comment on an article

OR QUICK LOGIN