Proposal to expand North-South Expressway to 6 lanes under PPP form

According to this enterprise's research, the Ministry of Transport is currently studying expansion options for 5 expressway sections, including Mai Son - National Highway 45, National Highway 45 - Nghi Son, Nghi Son - Dien Chau, Vinh Hao - Phan Thiet and Phan Thiet - Dau Giay. If implemented under the PPP model, the total budget capital could be reduced by more than VND37,000 billion.

If the entire North-South expressway in the East, which is more than 1,100 km long, is expanded under the PPP method, the burden on the budget could be reduced by up to VND152,000 billion.

Mai Son Expressway - National Highway 45 through Thanh Hoa province has 4 limited lanes. Photo: Le Hoang

Mr. Nguyen Quang Huy, General Director of Deo Ca Group, said that the company proposed that the Government assign the Ministry of Construction to consider and select priority routes for investment under the PPP model. The Group commits to proactively arranging finance from legal domestic capital sources, calculating a reasonable and transparent capital recovery plan.

Along with that, the Group proposes to combine public investment with PPP investment to mobilize more domestic resources. In case of approval, Deo Ca will prepare a project proposal and connect with domestic enterprises for joint implementation.

The Group also proposed that the Prime Minister allow the appointment of an investor to implement the project under the PPP method. The investor commits to using equity and domestically mobilized capital, and at the same time fulfills the obligation to contribute to the budget based on the traffic and revenue audit mechanism of the route.

In order to shorten the implementation progress, the enterprise proposed to apply specific mechanisms and policies in compensation, resettlement, waste disposal and mineral exploitation for materials. The enterprise also proposed to allow the conversion of forest use purposes, temporary use of forest land for construction, and application of the form of investor designation for urgent projects.

"The PPP method has been successfully implemented in projects transitioning from public investment, such as the Hai Van tunnel, and currently the Ho Chi Minh City - Trung Luong - My Thuan expressway expansion project," said Mr. Huy.

Currently, the State has invested in the construction of about 1,375 km of North-South expressway with a scale of 2 to 4 lanes. Of which, 654 km of phase 1 (2017-2020) has been put into operation, and 721 km of phase 2 (2021-2025) is under implementation, expected to be completed in 2025-2026.

Due to limited public investment capital, many sections in the initial phase will only have 2 to 4 lanes, which does not meet traffic demand and poses a risk of traffic congestion and unsafety. Faced with this situation, the Government has directed the Ministry of Construction to study a plan to expand the Eastern North-South Expressway to 6 lanes, striving to start construction of some component projects in December 2025.

Source: https://baohatinh.vn/de-xuat-mo-rong-cao-toc-bac-nam-len-6-lan-xe-theo-hinh-thuc-ppp-post288264.html