On November 12, Mr. Le Duc Tien - Vice Chairman of Quang Tri Provincial People's Committee informed that the Ministry of Transport (MOT) agreed with the proposal of Quang Tri province, in recommending competent authorities to allow the application of increasing the rate of state capital participation (including central capital and local capital) to ensure the feasibility of the Cam Lo - Lao Bao Expressway project.
The Ministry of Transport will closely coordinate with Quang Tri in the process of reporting to competent authorities to arrange central capital in the medium-term public investment plan for the 2026-2030 period for the locality to implement the project.
The Ministry of Transport requested the People's Committee of Quang Tri province to continue reviewing and completing the pre-feasibility study report under the public-private partnership (PPP) method, following the direction of the Prime Minister and in accordance with the provisions of the PPP Law and related laws.
Mr. Le Duc Tien said that the Prime Minister has agreed to assign the People's Committee of Quang Tri province as the competent state agency to implement the Cam Lo - Lao Bao expressway project according to the planning. This expressway project has been identified in 2 planning periods and is given priority in Resolution 26 of the Politburo. In the regional planning, this project is also prioritized to connect the East - West economic corridor.
According to calculations by Quang Tri province, to ensure feasibility, financial solutions and convenience in attracting non-budgetary investment capital under the PPP method, it is necessary to have a very large state capital participation, exceeding the current state capital participation rate in PPP projects (only 50%). Therefore, Quang Tri province has submitted a proposal and a document proposing to apply specific mechanisms and policies, support and arrange the state capital participating in the project from the source of increased central budget revenue for the period 2023-2025 and the source of the central budget's medium-term public investment plan for the period 2026-2030.
“After Quang Tri province made the proposal, the Prime Minister assigned the Ministry of Transport to preside over and coordinate with relevant units to study the proposal of the Quang Tri Provincial People's Committee. Through working with the Ministry of Transport, the Ministry affirmed that the PPP Law will be adjusted in the future, in the direction of increasing the proportion of state capital participating in the project. After the adjustment, Quang Tri province will complete the project feasibility study report and submit it to the Prime Minister for approval. In which, the state capital participating in the project is determined to be 70%. This capital is directly balanced by the state for the Cam Lo - Lao Bao expressway project, not balanced through the province's medium term" - Mr. Le Duc Tien said.
The Cam Lo - Lao Bao Expressway starts at Km12+050 of the Cam Lo - La Son Expressway, Trieu Phong District; the end point is at the intersection of Tran Phu Street and National Highway 9, Huong Hoa District, with a total length of about 56km. The project will invest in a complete 4-lane scale, a design speed of 100km/h, with a total investment of more than 13,900 billion VND.
