The Ministry of Transport has proposed the Ministry of Planning and Investment to appraise the pre-feasibility report of the first phase of Bien Hoa-Vung Tau Expressway, which has a total investment capital of VND18.8 trillion ($817.4 million).
The expressway project has a length of 53.7 kilometres from Dong Nai province to Ba Ria-Vung Tau province and is designed with the travelling speed of 100 kilometres per hour.
The project costs VND18.8 trillion ($817.4 million), VND6.72trillion ($292.17 million) of which would be mobilised from the mid-term public investment fund of 2021-2025 to cover the site clearance work and part of the construction of the section in the provinces. The investor will mobilise VND12.08 trillion ($525.2 million) from other sources, including its own budget and bank loans.
In order to recoup the investment capital, the investor will collect fees for 17 years and five months (the final timeline will be determined at later negotiations).
According to the plan, the Ministry of Transport will submit the investment planning to the authority for approval in the first quarter. After that, the Ministry of Transport will build the feasibility report for the project to submit to higher levels for appraisal and approval between the second quarter and the fourth quarter. Between the fourth quarter of 2021 and the fourth quarter of 2022, it will select the investor, establish the project business, and sign contracts with relevant parties.
The land clearance will be completed in one year (from the first quarter of 2022 to the first quarter of 2023). Construction would be kicked off in the fourth quarter of 2022 and is slated to take two years.
The project would help ease traffic on National Highway 51, facilitate travel from Dong Nai and Ra Ria-Vung Tau to Ho Chi Minh City and the southern key economic zone.
The road will also be connected with Ho Chi Minh City-Long Thanh-Dau Giay and Ben Luc-Long Thanh expressways and Long Thanh International Airport, helping to complete the expressway system in the years to come.