Vingroup and T&T Group are permitted to compile investment dossiers on three of the ten urban railway projects to be constructed until 2025.
Accordingly, Vingroup plans to invest in two routes, No.5 from Van Cao Street to Hoa Lac with the length of 38.4 kilometres and No.2 from Tran Hung Dao Street to Thuong Dinh with the length of 5.9km.
At the same time, T&T Group proposed taking charge of route No.4 connecting Me Linh, Sai Dong, and Lien Ha with the length of 54km.
Previously, both groups proposed building the pre-feasibility and feasibility plans financed from their own equity for these projects. If Vingroup and T&T become the official investors of these projects, their expenditure for building investment dossiers will be added to the investment capital for these projects.
However, in case they are not selected to develop these projects, they will be ready to hand over all investment dossiers to the Hanoi People’s Committee and the selected investors without asking for recompense.
| According to the capital’s transportation development planning from now to 2030 with a vision to 2050, Hanoi will develop 10 urban railway projects with the total investment capital of $40.056 billion. |
According to the capital’s transportation development planning from now to 2030 with a vision to 2050, Hanoi will develop 10 urban railway projects with the total investment capital of $40.056 billion.
The investment capital will be disbursed over several phases. In 2017-2020 some $7.55 billion will be disbursed, while in 2021-2025 there will be some $7.6 billion. More than $3.56 billion will be spent in 2026-2030 and over $21.3 billion will be spent after 2031.
At present, Hanoi has four urban railway routes, two of which—Ngoc Hoi-Yen Vien and Cat Linh-Ha Dong—are invested by the Ministry of Transport. The remaining two—South Thang Long-Tran Hung Dao and Nhon-Hanoi Railway Station—are invested by the city and are under construction.
In November 2017, Vision Transportation Group (VTG) from Canada proposed the government to develop the urban railway project linking Noi Bai International Airport with the West Lake area under the public-private partnership (PPP) model.
Besides, numerous international and domestic investors expressed interest in developing urban railway projects, including Xuan Thanh Corporation, Lung Lo 5 Company, Tan Hoang Minh Group, Licogi Company, and MIK Group JSC, Lotte Group from Korea, and OJSC Mosmetrostroy from Russia. However, to date, no official proposals have been submitted to the local authorities.
Source: Ha Vy