Ministry proposes use of State budget for eight projects of Eastern North-South Expressway

In the report, the ministry proposed investing in building 729km of the Eastern North-South Expressway in 2021-2025, dividing into 12 components projects, of which eight would be funded by the State budget.

Those eight projects are Vung Ang - Bung, Bung - Van Ninh, Van Ninh - Cam Lo, Quang Ngai - Hoai Nhon, Hoai Nhon - Quy Nhon, Quy Nhơn - Chi Thanh, Can Tho- Hau Giang, and Hau Giang - Ca Mau.

The remaining four projects, namely Bai Vot - Ham Nghi, Ham Nghi - Vung Ang, Chi Thanh - Van Phong, and Vam Phong - Nha Trang - will be conducted in the public-private partnership (PPP) form.

According to leaders of the ministry, the total investment for the 729km Eastern North-South Expressway project in the 2021-2025 period is estimated at VND148.49 trillion (US$6.54 billion), with VND131.21 trillion to come from the State budget. All projects would be started in the period.

For the four PPP projects, the ministry suggested ratios of State capital in the projects should range from 54-65%. It also proposed the Government submit reports to the National Assembly Standing Committee on changing investment form in case the PPP is not successful.

In its previous proposal submitted in late September, the ministry suggested that all the 12 projects are implemented in the PPP forms. It also proposed starting only nine projects in the 2021-2025 period.

According to the ministry, ground clearance for the eight projects using public investment capital would be conducted in 2022-2023 period so that construction can start in late 2023 and complete in mid-2026.

Meanwhile, preparations for the remaining four PPP projects will be carried out from now to 2022, while ground clearance activities will be implemented between 2022 and 2023. The projects are hoped to be launched in late 2023 and finish in 2026.

(Source: VNA)