The HCMC People's Committee has recently approved a policy to publicly call on investors to study and make a proposal for the project of Metro line 5 (Phase 2b) in the form of PPP.
Once the feasibility study reports have been approved, the City People's Committee will hold a public tender to select the investor for the project.
The Metro line 5 (Phase 2b), from the Medical University station to Can Giuoc bus station, has not been researched so far, therefore, the estimated investment capital has not yet been determined.
This project was previously proposed by Lotte E&C (Korea) to spend their own cost to conduct research and proposal in early 2017 for a period of 9 months.
However, according to this Group, because it is a large-scale and very important project, there are a number of issues that need to be considered in the implementation process in order to comply with national policies, regulations, financial capacity, as well as technical issues.
On the other hand, recently, Lotte E&C also has some difficulties in internal organization in Korea. Thus, the Group is applying for a further extension of the study period.
According to the plan, the Metro line 5 of HCMC is above 24 km long, with the route: Can Giuoc new bus station - Highway 50 - Tung Thien Vuong - Ly Thuong Kiet - Hoang Van Thu - Phan Dang Luu - Bach Dang – Dien Bien Phu - Sai Gon bridge.
This project has a total investment of nearly VND 100 trillion, divided into two phases. Phase 1 (Bay Hien intersection-Saigon bridge) is expected to be over VND 41,600 billion. This amount has been pledged by the donors, so the investment capital for this stage is basically guaranteed to be implemented.
Phase 2 (Bay Hien intersection - Can Giuoc new bus station) is in the preparation phase of investment totaling over VND 57,100 billion.
HCMC is implementing the construction of Metro line 1 (Ben Thanh - Suoi Tien) with a total capital of USD 2.4 billion funded by Japanese ODA. The City's first Metro line is expected to be completed and put into operation by the end of 2020.
