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Construction ministry to ban cheap bidding

Update: October, 27/2011 - 10:51

Finishing a road in HCM City. Qualified contractors are necessary for transport projects. — VNA/VNS Photo Huy Hung

Finishing a road in HCM City. Qualified contractors are necessary for transport projects. — VNA/VNS Photo Huy Hung

HCM CITY — Cheap bid packages would be limited to ensure the quality of public transportation projects, Minister of Construction Trinh Dinh Dung has said.

The minister said in recent years many public transport projects had not been completed on schedule because of unqualified contractors.

These contractors were hired because they had placed the lowest bids, Dung told a meeting with HCM City's Management Authority for Urban Railways last week.

The construction ministry and several ministries are working on measures that would prevent this practice from continuing.

A circular will be issued to enable agencies and localities to hire the best qualified contractors for transport infrastructure construction projects.

Dung also said that the Government, several ministries and branches would allocate more capital sources to transport infrastructure projects with the aim to prevent traffic congestion.

In addition, he said that projects using funds from ODA (Official Development Assistance from foreign donors) must adhere to technical standards, and that technology, management and supervision processes should be carefully monitored.

All metro railway construction projects should also be managed closely in every stage, from the drawing up of projects to developing, managing and operating.

Dung asked investors to study metro projects in other countries and hire experts as consultants or managers for Viet Nam's metro projects.

The city is stepping up development of two major urban railway construction projects, the Ben Thanh-Suoi Tien section and Thu Thiem-Tay Ninh Bus Station.

The first project, which began in 2007 and is expected to open in 2018, is a 19.7-km long metro line that links Ben Thanh Market to the amusement park of Suoi Tien. The line includes a 2.6-km long underground section and a 17-km elevated section with 14 stations.

Its total investment capital is US$2.49 billion, with 88.4 per cent coming from ODA sources and the remainder from the state budget.

The construction of the 19-km long metro line No 2 from Thu Thiem Peninsula in District 2 to Tay Ninh Coach Station is also under construction.

The 11.32-km section of the second line, stretching from Ben Thanh Market in District 1 to Tham Luong in District 12, requires an investment capital of $1.375 billion.

The Asian Development Bank, German Development Bank and European Investment Bank will likely fund $540 million, $313 million, and $ 313 million, respectively. The project also requires $326.5 million of reciprocal capital sources from the city.

The city is also making preparations for other railway construction projects and cable car systems. They include Sai Gon Bridge, a new Can Giuoc Bus Station, Ben Thanh – Tan Kien route; and Cong Hoa –Hiep Binh Phuoc route. — VNS

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