HCMC – The government of Dong Nai Province has proposed the Ministry of Transport act as investor of two railway projects passing through this southern province, explaining that the development of the rail routes worth over VND91 trillion was beyond its authority and capability.
The provincial government yesterday, July 29, sent the Transport Ministry a dispatch about the implementation of the Bien Hoa-Vung Tau and Thu Thiem-Long Thanh rail routes, which will link Dong Nai with neighboring HCMC and Ba Ria-Vung Tau Province, reported the Vietnam News Agency.
According to the Dong Nai government, the Railway Law does not stipulate that provincial governments are in charge of investing and building railways under the national railway system.
The law regulates that the Transport Ministry acts as an agency to support the Government in managing the country’s railway operations such as developing rail routes.
The ministry has the authority to invest in, develop, manage, and operate the two rail routes mentioned above.
The Railway Project Management Unit, under the Transport Ministry, has enormous capability and experience in developing railway projects, thereby it would be convenient for the ministry to take charge of the two projects, the Dong Nai government said.
The management unit is also conducting bidding activities to select consulting units to do prefeasibility studies for the Bien Hoa-Vung Tau and Thu Thiem-Long Thanh railway projects.
In addition, as these two are big-ticket projects, it is essential to take out loans from foreign lenders and organizations. Accordingly, accessing the loans would be more convenient if the Transport Ministry acts as the investor of the two projects, the Dong Nai government explained.
The construction of the two projects need to be executed soon to timely connect with the under-construction Long Thanh International Airport in Dong Nai.
The Thu Thiem-Long Thanh railway, some 37 kilometers long, will start at the Thu Thiem station in HCMC’s Thu Duc City and end at the Long Thanh airport. It will cost over VND40.5 trillion in investment.
As for the 84-kilometer Bien Hoa-Vung Tau rail route, it will start at the Trang Bom station in Dong Nai and end at the Cai Mep-Thi Vai International Terminal in Ba Ria-Vung Tau, with over VND50.8 trillion in investment.
