The government has sent the National Assembly a report on the implementation of six metro projects in Hanoi and HCM City. All of these projects have been behind schedule, including the Nhon-Hanoi Station project invested in by Hanoi Metropolitan Railway Project Management Board.
A section of the Nhon-Hanoi Station metro project
According to the Hanoi Metropolitan Railway Project Management Board, Hyundai E&C-Ghella has asked the board for USD114.7 million in compensation resulting from the project’s delays in site clearance.
The project which was started in 2009 was initially slated for completion in 2018. But the deadline for beginning operations has been extended to 2022. However, currently, only 74% of the project’s work has been finished, which has been partially attributed to the slow site clearance and compensation for affected households.
The project contractor said that they will not be able to continue the current work and will seek international arbitration if the compensation is not paid.
A representative from the Hanoi Metropolitan Railway Project Management Board will work with the contractor about the issue to assess the actual damage brought about by the site clearance delays. The city would focus on boosting the pace of site clearance to hand over the land to the contract in the fourth quarter of this year.
Hanoi’s authorities are considering the establishment of a board to handle the contractor’s complaints.
The 12-kilometre Nhon-Hanoi Station metro line starts from Nhon in Nam Tu Liem District and ends at Hanoi Station in Dong Da District, and includes an 8.5 elevated kilometre-section.
The project has cost an estimated VND33 trillion (USD1.42 billion), mainly sourced from the Official Development Assistance of the European Investment Bank, the French government and the Asian Development Bank.
