HCM City does prefeasibility studies for investors

22-Aug-2019 Intellasia | The Saigon Times | 6:02 AM Print This Post

The HCM City government will use its own budget to conduct prefeasibility studies for projects, meaning investors no longer use their funds to do the job, according to a source from the HCM City government’s office.

The city will use its own budget to conduct prefeasibility studies for publicprivate partnership (PPP) projects to ensure transparency in selecting investors.

Sources said assigning investors to conduct this task does not lead to objective results as investors would serve their own interests in selecting solutions, pushing up the investment cost.

The city is currently calling for investment in traffic projects, including Ring Roads 2, 3 and 4 and the expansion projects for National Highways 1A and 22, under the PPP format.

Regarding the Ring Road 2 project, the municipal authority assigned the HCM City Department of Planning and Investment to review the scale and prioritised components of the project and to allocate capital to complete procedures and develop the project soon after 2020.

As for the first and second sections of Ring Road 2, the city will report its plan and the steps of execution to the Standing Board of the HCM City Party Committee before submitting it to the municipal People’s Council. For the third section of the projected ring road, which is expected to connect Pham Van Dong Street with Go Dua Intersection on National Highway 1A in Thu Duc District, the city will propose the government use land at suitable sites to pay investors involved in build-transfer (BT) projects.

The municipal Department of Transport was assigned to review the investment and construction procedures for the Binh Tien Bridge project to reach a consensus on the execution format.



Category: Business, Vietnam

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