The People’s Committee of Lam Dong Province has recently submitted a report to the Government, providing an overview of the local socio-economic landscape in 2024, along with some challenges and recommendations pertaining to two express highway projects: Tan Phu – Bao Loc and Bao Loc – Lien Khuong.
Once these two express highway projects are implemented and completed, along with the existing Lien Khuong – Prenn expressway and the expanded Prenn Pass, travel time between Da Lat and the Southeast region, including Ho Chi Minh City, will be significantly reduced.
According to the People’s Committee of Lam Dong, these projects currently face challenges related to funding and the lack of a mechanism to share reduced revenue, which lowers their feasibility and makes it difficult to attract investors and credit organizations. There are also issues with route alignment and changes in the area of forest land use.
The projects are further complicated by overlaps with the mineral planning for the 2021-2030 period, with a vision towards 2050, covering a total area of more than 224 hectares. The two resettlement areas for the express highway projects are also affected by this mineral planning. While the Ministry of Industry and Trade offered an opinion on this matter in mid-August 2014, a feasible solution to address this issue has not yet been found.
In the opinion of the Ministry of Planning and Investment, changes in aspects such as route alignment, land requirements, area of forest land use conversion, increased total investment, and increased state capital participation in the projects fall under the category of adjustments to the approved investment policies.
To overcome the current challenges, the People’s Committee of Lam Dong has proposed to the Government to consider allocating additional state budget funds for these two express highway projects, totaling VND 3,332 billion (VND 2,410 billion for Tan Phu – Bao Loc and VND 922 billion for Bao Loc – Lien Khuong). They also requested that the Tan Phu – Bao Loc project be allowed to apply the mechanism for sharing reduced revenue as stipulated. However, this would require reporting to the competent authority for adjustment of the investment policy, which could delay the project’s commencement beyond 2025 and hinder the disbursement of state capital allocated for the project for the 2020-2025 period.
Following a thorough review, to ensure the timely implementation of the project as approved, the People’s Committee of Lam Dong proposed to Deputy Prime Minister Tran Hong Ha to allow the Tan Phu – Bao Loc project to proceed according to the proposed plan without adjusting the investment policy.
Additionally, they recommended that the Government request the State Bank to direct commercial banks to commit to arranging and providing loans with preferential interest rates for the mobilized capital portion of the two express highway projects. This would help finalize the financial plan and approve the projects, enabling their implementation at the earliest opportunity.
Regarding the overlap with mineral planning, professional assessment indicates that the mineral reserves in the overlapping area are not significant (224 hectares for the Tan Phu – Bao Loc project and 1.8 hectares for the Bao Loc – Lien Khuong project). Therefore, the People’s Committee of Lam Dong proposed to Deputy Prime Minister Tran Hong Ha to allow the continuation of these projects along the surveyed route, with the preparation of a feasibility study report for submission to the competent authority for appraisal and the formulation of appropriate solutions to address this obstacle.
Specifically, they requested the Ministry of Planning and Investment to approve the adjustment of the allocation of central budget capital of VND 2,000 billion for the project, with VND 420 billion allocated to the People’s Committee of Dong Nai (for compensation, support, and resettlement) and VND 1,580 billion to Lam Dong. They also proposed to extend the validity of this capital source to the 2026-2030 medium-term period to serve as a basis for execution and disbursement.
Earlier, on August 30, at the launch of the high-point emulation campaign “The Party Committee, authorities, army, and people of Lam Dong Province are determined to unite to overcome difficulties and rise with the country,” the leadership of Lam Dong Province affirmed their strong determination and efforts in carrying out the tasks related to these two express highway projects, totaling 140 kilometers in length.
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