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Further efforts to complete Dau Giay Intersection Project

After completing the transfer to pay full cost of site clearance, the Investor of the Dau Giay Intersection Project (Thong Nhat district) is currently making further efforts to arrange capital to complete the project construction by the end of 2020.


To speed up site clearance

daugiay.jpg

Construction of Dau Giay overpass.

 

Dau Giay Intersection Project is invested by BT 20 - Cuu Long JSC and started construction from March 2017. According to the plan, by March 2018, the work will be completed construction and put into use. However, in 2017 and 2018, due to land clearance problems, the project was constructed in moderation.

 

In order to construct Dau Giay Intersection Project and expand the section km0 + 300 to km1 + 887 of National Highway 20, the State has to acquire more than 9,000 m2 of land from 174 households.. However, due to the delay in the allocation of funds to pay the households, the site clearance has been delayed for a long time to delay the overall progress.

 

The prolonged site clearance also makes the implementation costs increase. According to BT 20 - Cuu Long JSC, initially, this company expected to spend only about VND 22 billion on site clearance. Due to the prolonged land acquisition process, the land price has increased, so far the cost of land clearance has increased to about VND 130 billion.

 

As of the end of July 2020, the site clearance of the project still entangles the land area of 18 households in the category of expanding National Highway 1 (on the left side, north-south direction).

 

The Provincial People's Committee then submitted a petition to the Prime Minister to instruct MOT to work with the Investor in early payment of VND 16.5 billion to pay compensation to the above households.

 

According to Mr. Hoang Van Mau, Deputy General Director of BT 20 - Cuu Long JSC, at the beginning of August, this Company transferred the entire remaining amount for the project’s site clearance to People's Committee of Thong Nhat District to pay compensation to local people. “Currently, this project is facing many difficulties in capital, so we have to balance the capital to transfer all the remaining amount to serve the site clearance of the project” - Mr. Hoang Van Mau said.

 

Mr. Nguyen Dinh Cuong, Vice Chairman of Thong Nhat District People's Committee, said that after receiving the remaining money from the Investor, the locality has made payments to the remaining households whose land is acquired under the project. “Currently, we are completing the procedures to hand over the remaining ground area to the construction Investor” - Mr. Nguyen Dinh Cuong said.

 

To accelerate project progress

 

In addition to problems in site clearance, difficulties in capital for implementation also cause the project of Dau Giay intersection to be delayed and prolonged.

 

According to the initial financial plan, the entire capital for project implementation is taken from the VAT refund source of the Highway 20 restoration and renovation project. But so far, the Ministry of Finance has not accepted the tax refund plan for the Investor. Therefore, even from the beginning of 2019 up to now, the ground for the project has basically been handed over, but due to lack of capital, the project has been delayed for more than a year and stopped construction. The project's long delay has caused many consequences to the traffic circulation in this area. Dau Giay intersection project is a key project, aiming to solve traffic congestion. However, due to the delay of many years of progress, construction in progress makes the traffic situation in this area very complicated, frequent traffic jams, many fatal traffic accidents have occurred and caused frustration in public opinion.

 

Facing the above situation, the Investor is working with the authorities and self-balancing the capital to put all resources to complete the project.

 

Mr. Hoang Van Mau said that the current capital source to implement the project still faces many obstacles because the VAT refund of the National Highway 20 restoration and improvement project is still not approved. Meanwhile, to complete the project, the required capital in the coming time is more than 40 billion dong. Therefore, the Company is currently calculating and mobilizing capital to carry out the construction of the project. “We are trying hard, put all resources to try to complete the whole project and put into use by the end of 2020” - Mr. Hoang Van Mau said.

Nam Vu



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