The Ho Chi Minh City People's Committee has just submitted to the City Council for consideration and approval the plan to upgrade and expand four infrastructure projects under BOT contracts with a total investment of over 57,000 billion VND.
Ho Chi Minh City submits 4 infrastructure projects under BOT contracts, with a total capital of 57,000 billion VND.
The Ho Chi Minh City People's Committee has just submitted to the City Council for consideration and approval the plan to upgrade and expand four infrastructure projects under BOT contracts with a total investment of over 57,000 billion VND.
At the 21st session (special session) of the 10th term of the Ho Chi Minh City People's Council, held on the afternoon of February 20th, the City People's Committee submitted proposals to decide on the investment policy for upgrading and expanding 4 BOT projects in accordance with Resolution 98.
The first project is the upgrade of the North-South arterial road (from Nguyen Van Linh road to the Ben Luc-Long Thanh expressway). The goal of the project is to create a fast, less disruptive transportation route connecting the existing city center with the new South Saigon urban area and the Hiep Phuoc urban-port area; forming a radial transportation axis connecting Ring Road 2 with the Ben Luc-Long Thanh expressway (Ring Road 3) and later Ring Road 4.
Accordingly, the project is located in District 7 and Nha Be District. The route is approximately 8.6 km long. The investment includes a complete 60-meter wide cross-section with 10 lanes, and the construction of technical infrastructure in accordance with regulations.
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| The North-South arterial road in Ho Chi Minh City has several sections where land has been cleared and is awaiting expansion. Photo : Le Toan |
The project's land area is approximately 66.5 hectares, of which about 2.2 hectares require land clearance (including approximately 0.9 hectares of residential land and 1.36 hectares of agricultural land).
The project is divided into two components. Component 1 involves compensation, support, and resettlement, relocation of project infrastructure, and the complete construction of the Nguyen Van Linh interchange and the interchange with the Ben Luc - Long Thanh Expressway. This is a public investment project, using 100% state budget funds, equivalent to approximately 3,596 billion VND.
Component Project 2 involves upgrading the North-South arterial road, invested under the PPP - BOT contract model, with approximately VND 6,298 billion (including VND 531 billion in interest). State budget capital contribution is approximately VND 1,084 billion, equivalent to about 17% of the total investment for Component Project 2. Investor capital contribution is approximately VND 5,214 billion, equivalent to about 83% of the total investment for Component Project 2.
The total investment for the project is approximately 9,894 billion VND. Of this, the city's budget accounts for approximately 4,680 billion VND (47% of the total investment, including interest).
Regarding the investor's capital contribution, the PPP project enterprise is responsible for arranging approximately VND 5,214 billion (including interest of approximately VND 531 billion); of which the investor's equity must be at least VND 703 billion, accounting for 15% of the total project investment, excluding state capital as stipulated in the Law on Investment under the Public-Private Partnership method.
The project is expected to be implemented from 2025 to 2028. The city anticipates a payback period of 22 years and 1 month; the project contract term (BOT contract) is 25 years and 1 month.
Secondly, there is the project to upgrade and expand National Highway 1 (from Kinh Duong Vuong Street to the border of Long An province) . The project is located in Binh Tan District and Binh Chanh District, with a length of approximately 9.62 km.
The project aims to create a fast inter-regional transportation route, connecting with expressways and ring roads, contributing to reducing traffic congestion and accidents at the southern gateway of the city. It also aims to improve the traffic capacity of National Highway 1, the East-West arterial road, contributing to the socio-economic development of the city and neighboring provinces.
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| National Highway 1 section passing through Binh Chanh District, Ho Chi Minh City. |
The project covers an area of approximately 95.77 hectares, of which about 29.18 hectares require land clearance. The project is designed to be 60 meters wide, corresponding to 10-12 lanes.
This project is divided into three components. Component 1 involves compensation, support, and resettlement in Binh Tan District using state budget funds, amounting to approximately 1,068 billion VND; Component 2 involves compensation, support, and resettlement in Binh Chanh District with a total capital of approximately 8,543 billion VND, also using state budget funds.
Component Project 3 - Upgrading and expanding National Highway 1 will be invested in the form of PPP - BOT contract with approximately VND 6,674 billion (including interest of approximately VND 802 billion).
The total investment for the project is approximately VND 16,285 billion (including VND 802 billion in interest during the construction period), of which the City budget accounts for approximately VND 9,611 billion (59% of the total investment including interest). The PPP project enterprise is responsible for arranging approximately VND 6,674 billion (including approximately VND 802 billion in interest); of which the investor's equity is at least VND 1,001 billion, accounting for 15% of the total project investment excluding state capital.
The city plans to implement this project from 2025 to 2028. The payback period is 21 years and 11 months. The project contract term is 25 years and 11 months.
Thirdly, there is the project to renovate and upgrade National Highway 22 (from An Suong intersection to Ring Road 3) . The project has a length of approximately 8.03 km and is located in District 12 and Hoc Mon District.
The project aims to create a fast and complete transportation route, enhancing the regional transportation system, facilitating inter-regional and inter-district connections, and linking with expressways and ring roads to reduce traffic congestion and accidents at the western gateway of Ho Chi Minh City; increasing the capacity and efficiency of the route's operation, creating a foundation for the formation of an East-West economic corridor along National Highway 22, and contributing to the socio-economic development of the city and neighboring provinces.
The project covers an area of approximately 49.25 hectares, with a designed cross-section width of 60.0m and a scale of 10 lanes.
This project is also divided into three components. Component 1 - Compensation, support, resettlement, and relocation of infrastructure serving the project in Hoc Mon District; total investment: VND 6,227 billion; invested through public investment; Component 2 - Relocation of infrastructure serving the project in District 12; total investment: VND 7 billion; invested through public investment.
Component Project 3 - Investment in the construction, renovation, and upgrading of National Highway 22 under a BOT contract. Total investment: VND 4,190 billion (investor's capital).
Thus, the total investment for the entire project is approximately VND 10,424 billion (including VND 436 billion in interest during the construction period). Of this, the City budget accounts for approximately VND 6,234 billion (59.8% of the total investment including interest); the investor/PPP project enterprise is responsible for arranging approximately VND 4,190 billion; of which the investor's equity is approximately VND 628.5 billion, accounting for 15% of the total project investment.
The city plans to implement the project from 2025 to 2028. The payback period is 23 years and 7 months; the contract term is 25 years and 7 months.
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| National Highway 13, which frequently experiences traffic congestion, will be widened to 60 meters with 10 lanes. Photo: Le Toan |
Fourth is the project to upgrade and expand National Highway 13 (from Binh Trieu Bridge to the border of Binh Duong province). The project is located in Thu Duc City, with a land area of approximately 39.54 hectares.
The project aims to create momentum for economic development, shift the economic structure, continue and boost investment in transportation infrastructure, strengthen regional connectivity, and ensure smooth traffic flow between economic centers, industrial centers, cultural centers, and international airports and seaports.
The project is designed to be 60 meters wide with 10 lanes and corridors for green spaces and technical infrastructure in accordance with the planning scale. The design speed for the main route is 80 km/h; the design speed for the parallel road is 60 km/h.
The project is divided into two sub-projects. Specifically, sub-project 1 - Compensation, support and resettlement for the project, approximately VND 14,619 billion from the state budget; Sub-project 2 - Upgrading and expanding National Highway 13 under a BOT contract, approximately VND 6,281.52 billion (including interest of approximately VND 639.37 billion).
Thus, the total investment for the project is approximately 20,900 billion VND. Of this, the city's budget accounts for approximately 14,619.33 billion VND (69.95% of the total investment); the investor participating in the project is responsible for arranging approximately 6,281 billion VND; of which the investor's equity capital must be at least 942.23 billion VND, accounting for 15% of the total project investment.
The city plans to implement the project from 2025 to 2028. The estimated payback period is approximately 18 years and 4 months.
Investors and PPP project enterprises are entitled to tax incentives, land use fee incentives, land lease fee incentives, and other incentives as prescribed by laws on taxation, land, investment, and other relevant laws.
Source: https://baodautu.vn/tphcm-trinh-4-du-an-ha-tang-theo-hop-dong-bot-tong-von-57000-ty-dong-d248067.html
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