The Ministry of Transport has proposed transforming the Vietnam Expressway Administration into a Public-Private Partnership Management Agency.
In addition to renaming the Vietnam Expressway Administration to the Public-Private Partnership (PPP) Management Administration, the Ministry of Transport will reorganize the functions and tasks of this Administration to ensure comprehensive coverage of all tasks related to PPP investments.
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| A section of the Bac Giang – Lang Son expressway is being implemented under the PPP (Public-Private Partnership) model. |
The Ministry of Transport (MOT) has just begun seeking feedback on the Draft Decree amending several articles of Decree No. 56/2022/ND-CP dated August 22, 2022, of the Government, which stipulates the functions, tasks, powers, and organizational structure of the Ministry of Transport .
Specifically, the Ministry of Transport will consider renaming the Vietnam Expressway Administration to the Public-Private Partnership (PPP) Management Administration, and simultaneously reorganize its functions and responsibilities to ensure comprehensive coverage of all PPP investment tasks in accordance with current laws, the current context, and future trends.
The Public-Private Management Authority (PPA) will be an organization under the Ministry of Transport, performing the function of advising and assisting the Minister of Transport in state management and organizing the implementation of laws on investment, construction, and operation of transport infrastructure systems under the PPP method and other forms of investment using non-state budget capital nationwide.
The Public-Private Investment Management Department is expected to have legal personality, its own seal, and a separate account at the State Treasury, with its headquarters in Hanoi , comprising: Office; Legal and Bidding Department; Planning and Finance Department; Construction Management Department; Department of Management, Operation and Maintenance of Transportation Infrastructure; Technical, Technology and Investment Promotion Department; Northern Branch; Central Branch; and Southern Branch.
It is known that the transportation sector is characterized by a very large need and potential for mobilizing non-budgetary resources to invest in and develop five areas (road, rail, inland waterway, maritime, and aviation).
However, given the current organizational structure, functions, and responsibilities of the agencies under the Ministry of Transport, successfully implementing the plan to mobilize non-budgetary funds is highly unlikely.
Given the limited state budget, investment must be directed towards key sectors and fields of the country. Meanwhile, mobilizing non-state resources to invest in the construction and development of five key areas within the transportation sector is essential.
Therefore, there is a great need for a Ministry-level agency, at the departmental level, to advise and assist the Minister of Transport in managing state affairs and organizing the implementation of laws on investment, construction, and operation of transport infrastructure systems under the PPP method and other forms of investment using non-state budget capital nationwide.
Currently, there is no central unit directly under the Ministry that advises the Minister on carrying out these tasks.
The Vietnam Expressway Administration was established in September 2022, reorganizing the Vietnam Road Administration into two departments (Vietnam Road Administration and Vietnam Expressway Administration). The current Director of the Vietnam Expressway Administration is Mr. Lam Van Hoang.
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