Five BOT projects selected under special mechanism

HCMC – The HCMC Department of Transport has proposed applying the special mechanism provided by Resolution 98 to carry out five major traffic infrastructure projects in the build-operate-transfer (BOT) format.

The selected projects include the widening of a 4.6-kilometer section of National Highway 13 from Binh Phuoc intersection to Binh Trieu bridge; the upgrade and widening of a 9.6-kilometer section of National Highway 1 from An Lac to Long An Province; the renovation and expansion of a 9.1-kilometer section of National Highway 22 from An Suong interchange to Beltway No. 3; the expansion of a 7.5-kilometer section of the North-South axis road between Nguyen Van Linh Street and Ba Chiem bridge intersection; and the project of building Binh Tien bridge and road running from Pham Van Chi to Nguyen Van Linh streets, totaling 3.2 kilometers in length.

With combined investment capital of over VND37,000 billion, these projects will be implemented in the 2023-2030 period.

Under the current regulations, BOT applies to new road projects, meaning existing roads cannot be upgraded using the BOT format. But Resolution 98, recently adopted by the National Assembly, gives HCMC some leeway to use the BOT mode for certain key existing roads.

Tran Quang Lam, director of the HCMC Department of Transport, said that these projects were selected based on various criteria, including inter-regional linkage, areas prone to traffic congestion, project feasibility, impact on the city’s socio-economic development, and potential for private sector funding.

Granting authorization to the city to implement BOT contracts on existing roads is necessary, especially when the city’s budget revenue is limited.

The initial five projects will be presented to the city People’s Committee for consideration before seeking approval from the city’s People’s Council next month.

The department will continue to choose projects for subsequent phases based on the established criteria.

The Department of Transport said that the special mechanism provided by Resolution 98 is valid for only five years, so the city should prioritize the implementation of feasible and urgently needed BOT projects to alleviate traffic congestion.

The post Five BOT projects selected under special mechanism appeared first on The Saigon Times.