Strengthening implementation of legal policies on investment and exploitation of PPP traffic works (22:00 10/07/2018)

HNP - According to Official Letter No. 3031/UBND-DT dated July 4th, the Ha Noi People’s Committee asked relevant units to carry out Resolution No. 83/NQ-CP dated June 26th, 2018 of the Government on investment in projects in the form of public-private partnership (PPP).

According to the Resolution, there are a number of shortcomings of mechanism and policies on investment in PPP projects, including Build-operate-transfer (BOT) contract which need considering to remove shortcomings and  perfect policies.

Besides, it is vital to review regulations on making, considering, approving, and managing construction costs as well as operating, exploiting works under BOT contract, especially traffic projects; modify, review, issue norms and unit prices, announce the market price index in line with actual situation; eliminate unreasonable costs of BOT stations; give detail guidance on financial contents of investment in the form of PPP and mechanism of using the State's investment capital in PPP projects; supplement punishment for violating investors.

In terms of removing shortcomings of traffic works under the BOT contract, more efforts should be made to urgently complete the final settlement for finished projects to identify the financial plan and the time for collecting service charges; remove difficulties and problems for investors; carry out commitments between the State and investors on financial assistance in land clearance and resettlement; strictly perform terms of investment guarantee to ensure the capital return of projects.

It is necessary to review and complete the installation of stations and give policies on eliminating or reducing the toll at a number of BOT stations and tightly manage revenue so as to offer synchronous measures to ensure interests among the State, investors and users.

Additionally, it is vital to build and issue criteria for establishment of toll stations and operation of projects so as to ensure economic and effective use of investment capital; make and grant standard framework as a basis of biddings to select suppliers of automated fee collection services; enhance supervision of the stations’ turnover and ensure competitiveness, publicity and transparency in fee collection.

From 2019, all fee collection services will be deployed synchronously at all stations on national highways invested in the form of BOT contract throughout the country.

Regarding the matter, the Ha Noi People’s Committee assigned the Departments of Justice, Investment and Planning, Finance, Construction, Transport, Information and Communications; the Ha Noi Urban Railway Management Board; the Municipal Project Management Boards for Construction and Investment of Specialized Works; People’s Committees of districts, towns and relevant units to carry out missions under their functions.

Meanwhile, the Department of Investment and Planning will take prime responsibility and cooperate with relevant departments, sectors, units to proactively monitor projects in order to remove shortcomings and give a draft report of the Municipal People’s Committee to the Government before July 15th, 2018.

By Tran Huong

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