Reviewing the responsibility for causing capital increase and delay in progress of Nhon - Hanoi Railway Station project

VnExpressVnExpress03/01/2024


Hanoi City Inspectorate requested to review the responsibilities of organizations and individuals that caused the Nhon - Hanoi Railway Station project to be delayed many times, increasing the capital from 783 to 1,378 million euros.

The Hanoi Inspectorate has just announced the conclusion of the inspection of a number of contents in the investment project to build the city's pilot urban railway line, Nhon - Hanoi Railway Station section (Nhon - Hanoi Railway Station metro). This unit inspected three contents: Evaluation of bidding documents; signing contracts with contractors and supervision and use of subcontractors.

Two trains going in opposite directions through Mai Dich cemetery during a test run in December 2023. Photo: Pham Chieu

Two trains going in opposite directions through Mai Dich cemetery during a test run in December 2023. Photo: Pham Chieu

The Nhon - Hanoi station metro line is 12.5 km long, with 8 elevated stations and 4 underground stations, passing through 6 districts including Bac Tu Liem, Nam Tu Liem, Cau Giay, Dong Da, Hoan Kiem and Ba Dinh. According to the inspection conclusion, most districts are slow to hand over the land, of which Dong Da district took 10 years from the time of issuing the land reclamation notice to handing over the land for the construction of the two underground stations S10 Cat Linh and S11 Van Mieu. Ba Dinh district completed the land clearance for the S9 Kim Ma station after 9 years and Hoan Kiem district handed over the land for the S12 station area (opposite Hanoi station) after 6 years.

"The responsibility belongs to the People's Committees of Ba Dinh, Hoan Kiem, Dong Da districts and related units in site clearance work to implement the project in each period," the conclusion of the Hanoi Inspectorate stated.

In addition to the slow handover of the site, the relocation of the project's technical infrastructure works is also slow, and this part of the work has not been completed by the time the inspection starts in 2022. The signing of the handover of the site by the Hanoi Urban Railway Management Board (MRB) to the contractor is also not on schedule, with the longest delay compared to the schedule being 3 years and 8 months.

The City Inspectorate believes that the responsibility for the delay in the above-mentioned tasks belongs to MRB from 2013 to 2022. This agency proposed that the Hanoi People's Committee assign the Department of Home Affairs to review the responsibilities of organizations and individuals for the above-mentioned problems; advise the Hanoi People's Committee to handle them according to regulations; and direct MRB to overcome the problems.

8 elevated stations have been basically completed, in the photo of elevated station S8 (University of Transport area). Photo: Pham Chieu

8 elevated stations have been basically completed, in the photo of elevated station S8 (University of Transport area). Photo: Pham Chieu

Previously, in response to VnExpress , Le Trung Hieu, Deputy Director of Hanoi Urban Railway Management Board, explained that the project was behind schedule due to land clearance problems and limited capacity of the depot contractor. For example, it took 4 years to resolve a project that violated the railway safety corridor of the people at the foot of the stairs at S7 station (Ha pagoda station). The depot was built by Hanoi Construction Corporation - Hancop, the only contract package for the entire route carried out by a domestic contractor, and was 5 years behind schedule.

Delays in site handover may cost Hanoi thousands of billions of dong in fines. In 2020, the Korean contractor constructing the elevated section demanded compensation of 19 million USD (more than 450 billion VND) because the site was received 1.5 years behind schedule. Two years later, the Hyundai - Ghella joint venture twice stopped construction of the underground station, demanding compensation of at least 115 million USD (more than 2,700 billion VND) for the same reason.

MRB leaders did not call this a fine, but rather "additional costs for the contractor due to the extension of construction time through no fault of theirs." The exact amount of the additional amount could not be confirmed, as the parties "are still working together." "We have tried our best," said Mr. Hieu. MRB leaders "learned from experience," as this is Hanoi's first pilot railway project.

The Party Executive Committee of the Hanoi People's Committee in 2022 also reported the incident to the superior agencies. In the report, Hanoi stated the reasons for the delay and the need to adjust the implementation time due to the delay in site clearance and relocation of technical infrastructure; the project implementation capacity of the investor; limited coordination between consultants, investors and city departments; the impact of Covid-19; and changes in compensation policies for site clearance.

The Nhon - Hanoi Railway Station urban railway project started in 2009 and was scheduled to be completed in 2015, but after four delays, the new completion date for the elevated section from Nhon depot to S9 station (in front of the University of Transport) is April 30 - May 1, and the entire route is expected to be completed in 2027.

Vo Hai



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