Southern expressway in need of funding

Update: March, 30/2015 - 09:56

HCM CITY (VNS) — An investment of VND5.6 trillion (US$261 million) is required to build the first phase of the Bien Hoa-Vung Tau Expressway project, the builder, the Viet Nam Expressway Corp (VEC), has said in a report it sent to the Ministry of Transport.

The 30km, four-lane expressway will run from the HCM City-Long Thanh-Dau Giay Expressway to National Highway No 51.

It will be a BOT (build-operate-transfer) project, with construction of the first phase lasting from 2015 to 2018.

VEC said it would invest VND639 billion ($17.1 million) from its own funds and the remaining would come from bank loans.

It has proposed collecting a toll for 22 years starting in 2019.

Starting at VND2,000 per kilometre, the toll will increase by 18 per cent in 2022 and 15 per cent in the next three years, according to VIR. — VNS