Total investment for Hà Nội's Ring Road 4 set to decrease by $85.9 m

Deputy Prime Minister Trần Hồng Hà chairs a meeting on the implementation of the investment project to build the Ring Road 4 in Hà Nội Capital Region on Thursday morning in Hà Nội.—VNA/VNS Photo Minh Đức

HÀ NỘI — The total investment for the Ring Road 4 project in the Hà Nội Capital Region is set to decrease by approximately VNĐ2.13 trillion (US$85.9 million) compared to the preliminary investment estimate.

The calculation was revealed following a review by the People's Committee of Hà Nội in conjunction with the People’s Committees of Hưng Yên and Bắc Ninh provinces at a meeting held on Thursday morning in Hà Nội.

The meeting was organised to discuss the investment project to build the Ring Road 4 in the Hà Nội metropolitan area.

More specifically, the total investment for sub-project 1.1, which focuses on clearing land in Hà Nội, is expected to be reduced by about VNĐ650 billion ($26.2 million).

Meanwhile, sub-project 3, which focuses on the highway construction itself and is financed through a public-private partnership, is forecast to see a reduction of around VNĐ3.319 trillion ($133.8 million) in investment capital.

Conversely, sub-project 1.2, which will carry out land clearance in Hưng Yên Province, is projected to increase by VNĐ600 billion ($24.2 million), and sub-project 1.3 to clear land in Bắc Ninh Province is set to rise by VNĐ1.24 trillion ($50 million).

During the meeting, Deputy Prime Minister Trần Hồng Hà urged local authorities to adopt a proactive and flexible approach in addressing issues related to adjustments in the investment capital for the Ring Road 4 sub-projects, in line with their respective powers.

For sub-project 3, Hà ordered the People's Committee of Hà Nội to continue reviewing and specifying the structure of State capital participation.

He asked the municipal authorities to collaborate with the provinces of Hưng Yên and Bắc Ninh to propose reallocating the reduced central Government funding from sub-project 1.1 to sub-project 3.

Additionally, the Ministry of Transport was tasked with identifying the responsibilities of the consultants regarding the inaccurate and incomplete determination of land acquisition and clearance areas, which necessitated significant budget adjustments.

Also at the meeting, officials from the provincial People’s Committees of Hưng Yên and Bắc Ninh said they would allocate local budgets to supplement the increased funding for sub-projects 1.2 and 1.3.

Deputy Chairman of Ha Nội's People's Committee Dương Đức Tuấn said that the investment project for the construction of Ring Road 4 was approved by the National Assembly under Resolution No. 56/2022/QH15 on June 16, 2022.

The project spans a total length of 112.8km, traversing Hà Nội, Hưng Yên and Bắc Ninh, with a preliminary total investment of VNĐ85.8 trillion ($3.46 billion). Approximately 58.2km of the road will go through the Hà Nội region, 19.3km through Hưng Yên and 25.6km across Bắc Ninh, along with an additional connecting stretch of 9.7km.

The project is implemented through seven sub-projects, each operating independently and managed by the People's Committees of the three localities involved.

Three of the sub-projects (1.1, 1.2 and 1.3) are focused on compensation and resettlement for residents in each locality and are funded entirely by public investment capital. Three other sub-projects (2.1, 2.2 and 2.3) are focused on constructing parallel roads in each locality, and are also financed by public investment capital. Sub-project 3, the final sub-project, involves the construction of a highway system and is funded through a public-private partnership model.

During the meeting, officials from relevant ministries also discussed a proposal from the People's Committee of Hà Nội regarding the reallocation of reduced funds from sub-project 1.1 to invest in several connecting branches at five interchanges and two overpasses, ensuring the connectivity of the parallel road sections in Hà Nội.

Some suggestions were made for public investment sub-projects to construct the Hồng Hà, Mễ Sở and Hoài Thượng bridges, along with several road sections within sub-project 3, to ensure that even if sub-project 3 is not completed, the connectivity of the entire parallel road is still maintained. — VNS