On February 4th, the Ministry of Justice organized a review meeting for the proposed resolution of the National Assembly on pilot mechanisms and special policies for the development of urban rail networks in Hanoi and Ho Chi Minh City by 2035.
Current Status of Urban Rail Development
According to representatives from the Ministry of Transport, significant progress has been made in the construction of urban rail lines over the past years. In Hanoi, Line 2A (Cat Linh – Ha Dong), stretching 13km, and Line 3 (Nhon – Hanoi Railway Station), approximately 8.5km long, have been operational. Meanwhile, in Ho Chi Minh City, Line 1 (Ben Thanh – Suoi Tien), spanning about 19.7km, has also commenced operations.
However, the Ministry of Transport acknowledges that the implementation progress of these urban rail lines is still slow, failing to meet the goals of reducing traffic congestion and supporting urban development.
Need for Special Resolution
The resolution aims to mobilize all legal resources to accelerate investment progress, shorten preparation and implementation times for projects. It also proposes decentralizing management and execution of urban rail projects to Hanoi and Ho Chi Minh City, aligning with each locality’s specific characteristics and needs.
Issues That Need Clarification
At the meeting, representatives from the Ministry of Finance requested the Ministry of Transport to clarify the legal basis for issuing government bonds to supplement annual budget and investment plans for urban rail projects. Additionally, the Ministry of Transport must review the compatibility of the draft with current regulations to ensure consistency within the legal system.
Representatives from the Ministry of Construction suggested that the Ministry of Transport further study the feasibility of using Front-End Engineering and Design (FEED) instead of preliminary design in project feasibility studies.
Proposed 8 Groups of Special Policies
The draft proposal includes eight groups of special mechanisms and policies to develop urban rail networks in Hanoi and Ho Chi Minh City, namely:
- Mobilizing capital.
- Streamlining investment procedures.
- Developing under the TOD (Transit-Oriented Development) model.
- Training human resources and transferring technology.
- Policies on construction materials and waste disposal.
- Anti-corruption and anti-waste measures.
- Specific policies for Ho Chi Minh City.
- Implementation organization.
Conclusion
The Ministry of Justice will compile feedback from the review board members and finalize the review report according to regulations. The passage of this resolution will facilitate the development of urban rail systems in the two largest cities in the country, contributing to addressing traffic congestion and promoting sustainable urban development.
