Danang suspends BRT project due to its ineffectiveness

17-Apr-2021 Intellasia | The Saigon Times | 5:02 AM Print This Post

The government of Danang City has decided to suspend its bus rapid transit (BRT) project as the investment in the project has yet to bring about social advantages for the coastal central city.

Huynh Anh Vu, deputy director of the Danang City Management Board of Prioritised Infrastructure Investment Projects, which is the project’s developer and operator, confirmed that the management board had reached a consensus with the World Bank, which serves as the lender of the project, on its suspension.

Instead, the management board will focus on completing works related to the development of subsidised bus routes in the city, Vu said, as reported by Lao Dong newspaper.

The decision is considered as the right move as the city’s transport infrastructure system still remains inadequate and measures taken to encourage the use of public means of transport among local residents have not proved effective.

The move was strongly backed by the locals and some of them cited the examples of other localities where trillions of dong were poured into BRT projects but they had failed to address traffic congestion and caused losses to the State budget.

In 2013, the government approved a master project to develop Danang sustainably with five components: improving the rainwater and drainage system, piloting the BRT system, developing key urban roads, enhancing the capacity and supporting the execution of projects and works transferred from prioritised infrastructure investment projects.

The master project was expected to be completed in June this year, but it has been 84 percent complete to date with $185 million spent. Specifically, the BRT project has been 33 percent complete, while the remaining components have basically been finalised.

https://english.thesaigontimes.vn/81444/danang-suspends-brt-project-due-to-its-ineffectiveness.html

 

Category: Business, Vietnam

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