Vietnamese top leaders at the 15th National Assembly's 9th extraordinary session on February 19 (Photo: VNA)
The 15th National Assembly adopted a resolution on the investment policy of the Lao Cai – Hanoi – Hai Phong railway project, with 455 out of 159 participating deputies voting in favour, at the 9th extraordinary session in Hanoi on February 19.
According to the resolution, the construction of a modern and harmonious railway aims to meet the transport demand between Vietnam and China. The initiative is expected to serve as a catalyst for rapid and sustainable economic development along the Lao Cai-Hanoi-Hai Phong economic corridor while strengthening national defence and security and promoting the industrialisation and modernisation, contributing to delivering on the targets and missions set at the documents of the 13th National Party Congress and the Party’s resolutions.
The new railway line will span approximately 390.9 kilometres for the main route and include 27.9 kilometres of branch lines. The project will traverse nine localities of Lao Cai, Yen Bai, Phu Tho, Vinh Phuc, Hanoi, Bac Ninh, Hung Yen, Hai Duong and Hai Phong. Starting at the border crossing point in Lao Cai province, the line will end at Lach Huyen station in Hai Phong city.
The project involves constructing a new electrified single-track railway line with a 1,435 mm gauge, accommodating both passenger and freight services. The main line from new Lao Cai station to Nam Hai Phong station will be designed for speeds up to 160 km/h, while sections through Hanoi will operate at 120 km/h and the remaining will run at 80 km/h.
In terms of special mechanisms and policies for the project, the Prime Minister is authorised to issue government bonds to cover any shortfalls in the annual investment plan as approved by the parliament without increasing the state budget deficit. The project can also access Official Development Assistance (ODA) and preferential foreign loans without requiring standard ODA project proposals.
Notably, the project is exempt from capital balance assessment requirements typically mandated by the Law on Public Investment.
The provincial People’s Committees are allowed to adjust zoning plans as well as criteria on architecture and technical and social infrastructure in in station-adjacent areas, potentially diverging from national technical standards while ensuring adequate infrastructure.
Meanwhile, the provincial People's Councils are authorised to use local budgets for independent public investment projects to handle compensation and resettlement in railway station-adjacent areas, creating land funds for urban development in accordance with the law.
Provinces will retain 50% of the revenue generated from land development around stations, with the remainder going to the state budget to support project funding./.
