Completion of Huu Nghi – Chi Lang

Complete the Huu Nghi – Chi Lang – Dong Dang – Tra Linh expressway by the end of 2025

If this plan is completed, by the end of 2025, Vietnam will connect the trans-Vietnam expressway from Cao Bang to Ca Mau, creating a great driving force for the country's development.

The Prime Minister inspected and encouraged officers and workers constructing Tunnel No. 2, Dong Dang - Tra Linh Expressway Project.

With that important meaning, yesterday (November 15), right after celebrating the Great Unity Day with the ethnic people of Lang Son province, Prime Minister Pham Minh Chinh directly inspected the site and worked with the leaders of the two provinces: Cao Bang, Lang Son; relevant ministries and investors to find solutions to remove difficulties and speed up the implementation of the Dong Dang - Tra Linh Expressway PPP Project and the Huu Nghi - Chi Lang Expressway PPP Project.

True to the spirit of “working in 3 shifts and 4 teams”, the Prime Minister’s inspection and working trip at the 2 projects lasted from 10am until 10pm on November 15.

Praising the efforts of investors of the two projects, led by Deo Ca Group, which have brought the two most difficult expressway projects in terms of finance and geology to make important progress.

The Prime Minister acknowledged and highly appreciated the model of establishing Steering Committees for site clearance in Cao Bang and Lang Son with the participation of the Secretaries of the Provincial Party Committees of the two provinces. This creative approach, mobilizing the total strength of the entire political system, clearly assigning people, tasks and responsibilities, is the driving force that helps the two provinces achieve impressive site clearance results, which are worthy of recognition and replication.

However, the head of the Government requested the investor and the two provinces, together with ministries and branches, to continue to overcome difficulties and promptly remove obstacles to speed up construction progress.

According to the Prime Minister, the two expressway projects of more than 150 km in length are very important to connect the two provinces, connect the Red River Delta, the Capital region with the Northern mountainous region; connect the country, connect the expressway from Cao Bang-Lang Son to Hanoi, open the expressway from North to South to Ca Mau Cape, contributing to the goal of having at least 3,000 km of expressway nationwide by 2025 and 5,000 km of expressway by 2030; at the same time connect internationally with China, opening up a very large new development space. These two expressways also pass through historical sites, such as the place where President Ho Chi Minh returned to the country to directly lead the revolution after more than 30 years abroad, where the Dong Khe campaign took place...

Besides, these are also important projects contributing to the completion of two strategic goals towards the 100th anniversary of the Party's founding (2030) and the 100th anniversary of the country's founding (2045).

“Therefore, we need to quickly complete the two projects in 2025, contributing to the opening of the expressway from Cao Bang to Ca Mau in 2025, ensuring quality, technique, aesthetics, safety, environmental sanitation, people's lives and preventing corruption and waste,” the Prime Minister set a goal.

In fact, the actual developments at the construction site as well as the determination of the two provinces and investors show that the two expressway projects: Dong Dang – Tra Linh and Huu Nghi – Chi Lang have many opportunities to complete the goals set by the head of the Government.

Many proposals from the two provinces and investors were immediately decided and resolved by the Prime Minister.

Series of solutions to overcome obstacles

According to Mr. Ho Minh Hoang, Chairman of Deo Ca Group, as of mid-November 2024, at the Dong Dang - Tra Linh Expressway Project, the site clearance work for the entire project reached 87.4km/93.35km (equivalent to 93.6%), of which Cao Bang province reached 41.1/41.55km (equivalent to 99%), Lang Son province reached 46.3/51.8km (equivalent to 90%). The two provinces are unanimous in striving to hand over 100% of the project site by the end of December 2024.

With the spirit of "overcoming the sun, overcoming the rain", "eating quickly, sleeping urgently" and working in "3 shifts and 4 shifts", investors, project enterprises, and construction contractors mobilized 1,020 personnel, 357 machines and equipment, deployed 36 teams to simultaneously approach and organize construction day and night when the land segments were handed over.

The project has disbursed VND 1,429 billion of capital sources including State budget capital, mobilized investor capital and VND 120 billion of credit capital. The total expected output completed in 2024 is VND 1,010 billion, the total disbursement of capital sources reaches VND 2,000 billion, laying the foundation for the determination to open the route in 2025.

The consortium of investors proposed that the Prime Minister in November 2024 approve the adjustment of the project investment policy to increase the proportion of State budget support capital to a maximum of 70% of the total investment according to Resolution 106/2023/QH15 of the National Assembly.

“The process of adjusting the project's investment policy has lasted 11 months, while this is an important solution that has been approved by the National Assembly to remove difficulties and ensure financial solutions for the project,” said Mr. Tran Hong Minh, Secretary of the Cao Bang Provincial Party Committee.

In addition, the Provincial Party Committee, the People's Committee of Cao Bang province and investors proposed that the Government agree to invest in phase 2 of the entire route under the PPP model, and at the same time apply the same mechanism as phase 1: State budget capital supports 70% of the total investment; select investors by bidding; special mechanism on mineral exploitation; support preferential loans from the Vietnam Development Bank - VDB.

Regarding the Huu Nghi - Chi Lang Expressway Project, according to the project enterprise's report, the locality has handed over 39.9/59.87 km of land (reaching 67%), striving to hand over 100% of the land by the end of December 2024.

The project has mobilized 570 personnel, 350 vehicles of machinery and equipment, and deployed 30 construction teams according to the handed-over land segments. The project has disbursed 690 billion VND of state budget capital and mobilized investor capital. The total output expected to be completed in 2024 is 595 billion VND, the total disbursement of capital sources (including land clearance) is 1,450 billion VND.

At the Huu Nghi - Chi Lang Expressway Project, the People's Committee of Lang Son province and the investor agreed to propose that the Prime Minister consider and report to the National Assembly to allow adjusting the proportion of State budget capital supporting the project to 70% of the total investment to solve difficulties in arranging credit capital for the project.

This is the mechanism currently being applied to the Dong Dang - Tra Linh Expressway Project, which passes through areas with difficult and extremely difficult socio-economic conditions, approved by the National Assembly in Resolution No. 106/2023/QH15 dated November 28, 2023). The proposal to increase the proportion of State budget capital participating in the project is in accordance with the provisions of the draft Law on Investment under the revised PPP form, which is being finalized and is expected to be submitted to the National Assembly for approval at the 8th session.

In particular, the People's Committee of Cao Bang province proposed that the Government recommend the National Assembly to supplement regulations allowing State budget capital to participate and support in the exploitation phase for BOT projects signed contracts before the promulgation of the PPP Law, which have decreased revenue due to objective reasons, including the Bac Giang - Lang Son Expressway Project.

“Lang Son province has repeatedly proposed the Government to support the project with VND4,600 billion from the State budget. This creates a basis for TPBank to determine the time to sign a credit contract worth VND2,500 billion,” said Mr. Ho Tien Thieu, Chairman of Lang Son Provincial People's Committee.

Taking note of the proposals and recommendations at the construction site as well as at the meeting, the Prime Minister agreed to immediately implement phase 2 of the Dong Dang-Tra Linh Expressway Project in 2026 under the PPP form with 4 completed lanes.

The Prime Minister noted that competent authorities need to urgently remove difficulties and obstacles in current legal regulations, especially the process of appraising and adjusting the investment policy for the Dong Dang-Tra Linh Expressway Project, Phase 1.

Regarding credit capital for the two projects, the Prime Minister requested that Tien Phong Bank (TPBank) and Vietnam Prosperity Bank (VPBank) actively participate in the two projects with the spirit of harmonious benefits, shared risks, and harmonized interests between the State, enterprises and people.

The Prime Minister assigned Deputy Prime Minister Ho Duc Phoc, leaders of the Ministry of Finance, the State Bank, and the Ministry of Transport to work with the two banks and related enterprises in November 2024 to resolve related issues and implement specific tasks.

Regarding the permission for State budget capital to participate and support in the exploitation phase of BOT projects signed contracts before the promulgation of the PPP Law, which have suffered a decline in revenue, the Prime Minister assigned the Ministry of Transport and the two provinces to promptly report to the Prime Minister to promptly supplement the draft of the revised Law on Investment in the form of PPP so that it can be approved immediately at the 8th Session, promptly removing difficulties for BOT investors.

Source: https://baodautu.vn/hoan-thanh-cao-toc-huu-nghi—chi-lang—dong-dang—tra-linh-vao-cuoi-nam-2025-d230091.html