Gradually activating the Lao Cai – Hanoi Railway Project

Việt NamViệt Nam06/01/2025


With a total investment of up to 211,030 billion VND (equivalent to 8.693 billion USD), the scale of the Lao Cai - Hanoi - Hai Phong Railway Construction Investment Project is only smaller than the high-speed railway on the North - South axis.

Key parameters

The Railway Project Management Board has just sent a document to the Ministry of Transport (MOT) for consideration and consultation with ministries and branches to complete and propose the Ministry of Planning and Investment to synthesize and submit to the Prime Minister for consideration and approval of the proposal for the Lao Cai - Hanoi - Hai Phong Railway Construction Investment Project using preferential loans from the Chinese Government.

This is the first important legal procedure that needs to be completed in the preparation step for investment in the Lao Cai – Hanoi – Hai Phong railway line.

According to the proposal of the Railway Project Management Board, the Lao Cai – Hanoi – Hai Phong Railway Construction Investment Project, with the expected capital sponsor being the Export-Import Bank of China (China Eximbank), aims to build a new 1,435 mm standard gauge railway, electrified, connecting with China and the Hai Phong seaport area.

The route starts at the border rail connection point between Lao Cai station (Vietnam) and Ha Khau Bac station (China); ends at Lach Huyen port (Hai Phong), with a total main line length of 388.35 km (the section from Lao Cai station to Lach Huyen port station is 383.24 km long; the section from Lao Cai station to the rail connection point is 5.11 km long); the branch line connecting Nam Hai Phong port and Nam Dinh Vu is 7.89 km long; the branch line connecting Yen Thuong station and Yen Vien station is 2.18 km long.

The route has 30 stations, including 3 train stations, 19 mixed stations and 8 technical stations; passing through 9 provinces and cities: Lao Cai, Yen Bai, Phu Tho, Vinh Phuc, Hanoi, Bac Ninh, Hung Yen, Hai Duong, Hai Phong.

The Project is expected to have a design speed of 160 km/h on the main section of Lao Cai station - Lach Huyen Port station, 80 km/h for the Lao Cai section - rail junction and branch sections, 120 km/h for the railway section through the Hanoi hub, coinciding with the Eastern belt railway.

To ensure investment efficiency, the Project is expected to be divided into 2 phases.

Phase I (by 2030), complete construction of the entire Lao Cai - Hanoi - Hai Phong route on a single-track scale, complete site clearance.

Phase II (after 2050), complete the construction of the entire Lao Cai - Hanoi - Hai Phong route on a double-track scale and construct the Nam Hai Phong - Nam Dinh Vu branch line.

With the above investment scale, the total investment of the Project is about 211,030 billion VND, equivalent to 62.583 billion yuan and about 8.693 billion USD, including 135,600 billion VND of preferential loans used for construction cost items; equipment and vehicle costs; design consulting costs, construction supervision; contingency costs for the above items and about 75,430 billion VND of counterpart capital of the Vietnamese Government used for the items: project management costs; value added tax; other consulting costs and other costs; compensation costs, resettlement support; loan interest and contingency costs.

“It is expected that the project implementation time will be about 6 years from the date the project is approved by the competent authority and the loan agreement takes effect,” said a representative of the Railway Project Management Board.

Pressure of construction progress

Previously, in Notice No. 575/TB-VPCP, Prime Minister Pham Minh Chinh requested the Ministry of Transport to report to the Government and competent authorities on the investment policy for the Lao Cai - Hanoi - Hai Phong railway line in January 2025; submit it to the National Assembly for approval at the National Assembly Session in February 2025; ensure the completion of necessary processes, procedures, and work to start construction of the entire line before December 10, 2025.

According to experts, this is a challenging task for the Ministry of Transport and related units, because in order to start the Project, according to the provisions of the Law on Public Investment, the Ministry of Transport, in its role as the governing body, needs to complete 7 main work items, including preparing and approving the project proposal; preparing, appraising and approving the investment policy; preparing and submitting to the Prime Minister for appraisal and approval of the feasibility study report; negotiating and signing the loan agreement; preparing and approving the technical design; bidding, negotiating and signing the construction contract; and site clearance.

If implemented under normal conditions, it is estimated that it will take about 4 years to complete all the above procedures and work.

It is known that in mid-December 2024, the Ministry of Transport proposed to the Government leaders a roadmap to start the Project at the end of 2025, affirming that the prerequisite is that relevant agencies need to take drastic action to shorten the progress and complete the work contents. In particular, submit to the National Assembly for approval of the Pre-Feasibility Study Report in May 2025; approve the Feasibility Study Report in July 2025; sign the Loan Agreement immediately after the Feasibility Study Report is approved.

“This is a very challenging goal, requiring unified awareness and strong participation from ministries and branches. In particular, localities must closely coordinate with the Ministry of Transport to implement compensation and resettlement support immediately after the project investment policy is approved,” said the leader of the Ministry of Transport.

Source: https://baodautu.vn/kich-hoat-dan-du-an-duong-sat-lao-cai—ha-noi—hai-phong-d238912.html


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