The Government reports to the National Assembly 6 projects on traffic capital, delayed progress

According to the Government’s report, the Hanoi urban railway project, the Cat Linh – Ha Dong line, has now basically been completed and the parties are completing the procedures for acceptance, handover and operation. . However, there are still some shortcomings and problems related to Depot equipment, train safety assessment, the operation of the whole system and settlement … The Ministry of Transport (MOT) is pointing direction to solve problems, overcome problems and perfect the remaining items.

The Hanoi Urban Railway Project, Line 1 Yen Vien – Ngoc Hoi, the Ministry of Transport has reported in writing and consulted with the Prime Minister’s direction on the development orientation of railway in Hanoi. , overall project implementation, proposing investment authority, handling loan agreement VN12-P4, …

At the proposal of the Ministry of Transport, Deputy Prime Minister Trinh Dinh Dung has commented on the handling of problems related to the implementation plan and project adjustment procedures. The Ministry of Transport is directing the consulting agencies and the Railway Project Management Board to implement.

Ben Luc – Long Thanh expressway project, output reaches about 78.19% (slow 17.20%). Progress is slow. The reason for slow capital bidding packages is due to the suspension of disbursement of foreign capital and reciprocal capital.

The reason why JI and J3 packages use JICA capital are slow because public investment capital from 2019 has not been allocated to Vietnam Expressway Development Investment Corporation (VEC). Resolution No. 71/2018 / QH14 dated November 12, 2018 of the National Assembly requires “not allocating foreign capital to Vietnam Expressway Investment Corporation”.

Urban railway project Ben Thanh – Suoi Tien, project by the People’s Committee of Ho Chi Minh City as an investor. The output is estimated at 76.3%. Some capital procedures, financial mechanisms and loan agreements of the project are being handled by the People’s Committee of Ho Chi Minh City with the Ministry of Planning and Investment and the Ministry of Finance.

Urban railway project Ben Thanh – Tham Luong, project by the People’s Committee of Ho Chi Minh City as an investor. The project has completed 1/8 bidding packages; The remaining bidding packages are implementing site clearance, implementing design procedures, estimating, and selecting contractors. Some procedures for the financial mechanism and loan of KfW bank of the project are being resolved by the People’s Committee of Ho Chi Minh City with the Ministry of Finance.

Nhon urban railway project – Hanoi Railway Station, project by City People’s Committee. Hanoi is an investor. The project has 09 main construction packages and equipment. The output achieved 64.27%, only the upper section reached 79.09%. Some main problems of the project are being resolved by the investor such as ground problems at stations S5, S7, underground station S10; Working with the Ministry of Justice and the Ministry of Finance on the re-lending procedure of the additional loan of 20 million EURO of DGT.

The Government reports to the National Assembly 6 projects on traffic capital, delayed progress.

Regarding the cause of slow progress, the Government said most of the key projects are large-scale projects, requiring complex management processes and construction technology; there are projects being built for the first time in Vietnam (urban railway projects), while the investor has no experience in management and implementation; The capacity of investors, project management boards, general contractors, contractors, consultants are still limited, not really professional … leading to difficulties and problems that have not been thoroughly handled, many issues must be resolved. adjustment, leading to prolonged implementation time, adjustment increases the total investment.

In addition, objective reasons such as large fluctuations in input prices for construction works, change in exchange rate increases the total investment of the project; technical treatment, prolonged settlement, complicated geological conditions, unfavorable weather affecting the implementation progress of projects …

According to the Government report, basically, the delay in progress and the increase in the total investment of responsible projects belongs to investors first, but other subjective factors such as face clearance, local planning … is also the main cause of slow progress, increasing total investment.

Regarding the increase in total project investment, the main cause of the increase in total investment is due to the quality of investment project formulation and appraisal. Especially for urban railway projects, due to inexperience with this new type, the consultant to set up the project to calculate the total investment is not authentic with the actual situation, must adjust many missing contents shortcomings and inconsistent in the original basic design. In addition, the need to adjust the size of the investment leads to an increase in the total investment. Responsibility belongs to the investor, the project implementation consultant.

The Government also believes that the implementation mechanism of projects (especially ODA projects) is inadequate, such as the annual ODA plan is not arranged enough to delay payment for contractors, the shortage prolonged counterpart fund leads to affected construction progress; Bidding for the selection of contractors faces many problems and difficulties due to the complicated constraints on bidding regulations of donors.

Some projects forming national important factors have a total investment of more than VND 10,000 billion, so the process of project appraisal and approval often takes a long time because the Government must consider and report. Approval by the National Assembly before approving the adjustment …

Hoang Duong


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