"Final" adjustment of Bien Hoa - Vung Tau Expressway Investment Project, total investment increased by 3,714 billion VND

The National Assembly voted to pass a Resolution on adjusting the investment policy for the Bien Hoa - Vung Tau Expressway Construction Investment Project, Phase 1.

According to Resolution No. 59/2022/QH15 dated June 16, 2022 of the National Assembly, the Bien Hoa - Vung Tau Expressway Construction Investment Project (Phase 1) is 53.7 km long; 4-6 lanes; preliminary total investment of about 17,837 billion VND.

The Resolution just passed by the National Assembly has decided to adjust Resolution No. 59/2022/QH15 on the project investment policy. Accordingly, the total preliminary investment of the entire Project increased from VND 17,837 billion to VND 21,551 billion (an increase of VND 3,714 billion).

Of which, the state budget capital for the 2021 - 2025 period is 17,124 billion VND (an increase of 2,854 billion VND), of which the central budget is 12,144 billion VND, the local budget is 4,980 billion VND (Dong Nai province is 2,969 billion VND and Ba Ria - Vung Tau province is 2,011 billion VND); the central budget for the 2026 - 2030 period is 4,427 billion VND (an increase of 860 billion VND).

In the report on acceptance, revision and explanation before the voting, the National Assembly Standing Committee stated that adjusting the investment policy of the Project is necessary to soon complete and put the Project into operation and exploitation to meet the needs of people and businesses, serving the socio -economic development of the localities where the Project passes through.

There are suggestions to clarify the Project's total investment increase of VND 3,714 billion. This is a large increase, demonstrating the large difference between the initial estimate and actual implementation.

The Standing Committee of the National Assembly believes that the increase in total investment of VND 3,714 billion is the difference between the proposed adjusted total investment and the preliminary total investment approved by the National Assembly in Resolution No. 59/2022/QH15. In particular, the preliminary adjusted total investment is determined for each component project based on the synthesis of actual implementation results and the preparation of estimates of some remaining unapproved costs according to the provisions of the law on construction.

According to the Government's report, the proposed adjusted investment cost of the Project is calculated based on the synthesis of actual implementation results and the preparation of estimates of some remaining unapproved costs.

Specifically, compensation, support and resettlement costs are compiled based on reports from localities for each component project, including: results of approval of compensation, support and resettlement plans for each household; results of approval of cost estimates for technical infrastructure relocation; estimated remaining costs and contingency costs.

Construction investment costs are aggregated from construction investment costs of 3 component projects according to current regulations.

Firstly, construction and equipment costs are aggregated from the results of approved estimates of construction and installation packages according to detailed unit prices announced by the locality. For unapproved items (ITS smart traffic items, ETC non-stop toll stations, additional vehicle weight stations, additional intersections with Provincial Road 991), they are determined based on preliminary design volume and reference to investment rates of similar projects that have been and are being implemented.

Second, project management costs, consulting costs and other costs have been approved by the Investors for each cost item, so the approval results should be summarized to accurately determine these costs.

Third, the contingency cost for approved items is calculated at 5% to match the budget preparation step, unapproved items are calculated at 10% according to regulations; update the contingency for price fluctuations according to the actual disbursement progress and the average price index chain of Dong Nai and Ba Ria - Vung Tau provinces until 2024.

There are suggestions to clarify the capital allocation and the ability to balance capital for the Project and the feasibility of local capital allocation commitments, especially for provinces after the merger.

Regarding this issue, the Standing Committee of the National Assembly said that, regarding the capital source for the increase in total investment, the Government proposed to arrange: the state budget for the period 2021 - 2025 is 2,854 billion VND, of which the central budget is 1,144 billion VND (arrangement for component project 1 is 323 billion VND, component project 2 is 821 billion VND), the local budget is 1,710 billion VND (Dong Nai province is 369 billion VND and Ba Ria - Vung Tau province is 1,341 billion VND); the central budget for the period 2026 - 2030 is 860 billion VND.

For the period 2021 - 2025, the Ministry of Construction has reviewed the central budget public investment plan of the Ministry of Construction and ensured the balance of 1,144 billion VND. The People's Council and People's Committee of Dong Nai province have committed to allocate 369 billion VND of Dong Nai province's budget capital.

The People's Council and People's Committee of Ba Ria - Vung Tau province have balanced and arranged 934 billion VND, the remaining 407 billion VND has been planned in Resolution No. 22/NQ-HDND dated March 27, 2025 on adjusting the medium-term plan 2021 - 2025 and will be allocated after the competent authority adjusts the investment policy of the Project.

For the 2026 - 2030 period, the Project is in a transitional phase and will be given priority in capital allocation. Therefore, the Standing Committee of the National Assembly proposed that the Government balance and allocate VND 860 billion in the investment plan for the Project.

Source: https://baodautu.vn/chot-dieu-chinh-du-an-dau-tu-cao-toc-bien-hoa---vung-tau-tong-muc-dau-tu-tang-them-3714-ty-dong-d314926.html