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Tra Dinh Bridge: Project extended, total investment increased.

Việt NamViệt Nam16/01/2024

Authorities have proposed adjusting the total investment for the Tra Dinh bridge project (Que Phu commune, Que Son district) from 51.8 billion VND to 61.4 billion VND in order to definitively resolve the remaining unfinished items of the project.

At the Tra Dinh bridge project, the steep slope of the bridge and the two access roads makes travel difficult and poses many risks for residents. Photo: A.N
At the Tra Dinh bridge project, the steep slope of the bridge and the two access roads makes travel difficult and poses many risks for residents. Photo: AN

Many projects remain unfinished.

The Tra Dinh bridge project was approved in principle with a total investment of over 51.8 billion VND, to be implemented from 2017 to 2019; of which 30 billion VND was supported by the provincial budget, and the remainder by the Que Son district budget.

Although the project's implementation period was extended by the Provincial People's Committee to 2020, only the bridge and service road have been completed (approved by the Department of Transport); the approach roads at both ends of the bridge, approximately 1,000 meters long, along with the drainage system, marker posts, and signs, have not yet been constructed. The prolonged delay and the lack of progress on many components have significantly impacted the lives of local residents and caused considerable public dissatisfaction.

According to the report, to date, the value of completed work on the project (including bridge construction costs and other consulting fees) is approximately 37.7 billion VND; the capital allocated to the project is over 35.9 billion VND, of which 30 billion VND comes from the provincial budget and over 5.9 billion VND from the district budget.

Why is adjustment necessary?

In preparation for the 20th session of the 10th Provincial People's Council (scheduled for January 23rd), the Economic and Budget Committee of the Provincial People's Council recently held a working session with the Department of Planning and Investment to hear reports on several related issues, including a report on the adjustment of the investment policy for the Tra Dinh bridge project.

According to the Department of Planning and Investment, the implementation process was affected by the COVID-19 pandemic, leading to a revenue shortfall, and the district budget was not balanced according to the approved capital structure. Therefore, the District People's Committee has only implemented the bridge and service road sections so far.

The Department of Planning and Investment stated that extending the project implementation time has led to an increase in the total investment cost. Therefore, in order to fully implement the project and ensure the investment objectives, adjusting the investment policy is necessary.

The Department of Planning and Investment also stated that the reason for the increase in the total investment cost of the project was the change in the design plan for the approach roads at both ends of the bridge to suit the terrain and annual flooding situation, based on the opinions of the local community; at the same time, it was necessary to update the prices of materials, labor, and construction machinery according to the current regulations of the law on construction, thus leading to an increase in investment costs.

Accordingly, the project is proposed to have its total investment adjusted upwards from over 51.8 billion VND to over 61.4 billion VND (an increase of over 9.5 billion VND). Specifically, the cost of constructing the access road to the bridge will be adjusted from 10.4 billion VND to 18.5 billion VND; the cost of compensation for land clearance will be increased from 2.4 billion VND to 3.2 billion VND; and the cost of consulting, project management, and contingency will increase by approximately 700 million VND.

The project also proposed adjusting the implementation timeline to the end of 2025 to ensure sufficient time for completing the remaining construction items and finalizing the handover procedures for commissioning.

Thus, the adjusted capital structure is as follows: the provincial budget will contribute 38 billion VND (an increase of 8 billion VND); the remaining 23.4 billion VND of the total investment will be balanced by the Que Son district budget. The Department of Planning and Investment stated that the additional 8 billion VND from the provincial budget (savings) has been approved by the Standing Committee of the Provincial People's Council.

Que Son district needs to make a commitment.

According to Clause 2, Article 52 of the Law on Public Investment, Group C projects have a maximum duration of 3 years. If this timeframe is not met, the Provincial People's Council will decide on the extension of the funding period for projects using local budget funds. Therefore, for the Tra Dinh Bridge project (a Group C project), the extension of the funding period will be decided by the Provincial People's Council.

At a recent meeting with the Department of Planning and Investment, members of the Provincial People's Council's Economic and Budget Committee generally agreed to adjust the total investment for the Tra Dinh bridge project; however, additional procedures and some related issues need to be considered.

According to Mr. Lam Quang Thanh, Deputy Head of the Economic and Budget Committee of the Provincial People's Council, Que Son district has not shown genuine interest or determination in implementing the Tra Dinh bridge project. Therefore, if the investment policy is adjusted, Que Son district needs to make a clear commitment. "The Department of Planning and Investment must work with Que Son district on the commitment of funding, otherwise the old situation will easily repeat itself," Mr. Thanh noted.

Mr. Nguyen Duc, Head of the Economic and Budget Committee of the Provincial People's Council, stated that, from a management perspective, the Department of Planning and Investment is responsible for the prolonged delay of the Tra Dinh bridge project, despite its active efforts in advising and directing the project on numerous occasions... "The Department of Planning and Investment bears some responsibility for the project's delay, including the slow monitoring and supervision by the Economic and Budget Committee," Mr. Duc said.

Mr. Nguyen Duc stated that the members of the Economic and Budget Committee basically agreed to adjust the total investment for the Tra Dinh bridge project and requested that the procedures be completed soon for submission to the Provincial People's Council. This includes a commitment from the Que Son District People's Committee regarding resources and progress; and consideration should be given to including a specific deadline for project completion in the resolution.


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