Differences of Opinions between MPI and MOT in Vietnam

(Engineering daily) Nguyen Anh Duong = The Ministry of Planning and Investment (MPI) in Viet Nam said that north-south high speed railway the railway will cost $26billion. 

It would be much lower than the $58.7billion estimated by the Ministry of Transport (MoT).

The train speed under the MPI’s calculations is 200㎞/h, lower than the 350㎞/h proposed by the MoT.

Even a developed country like the Netherlands has decided to not upgrade its high-speed railway from 200 to 300 kilometers an hour because of high price tag and lack of corresponding benefits, the MPI said in a letter to Prime Minister Nguyen Xuan Phuc.

Travelling time between Hanoi and Ho Chi Minh City would be about eight hours at the speed of 200㎞/h, and five or six hours at 320㎞/h.

The MPI has also proposed that the new high-speed railway be constructed alongside the upgrade of the existing one which would be used for cargo transport.

The high-speed railway project should be constructed by local firms so that foreign firms won’t grab all the high value contracts, the ministry said. It also advised against using exclusive technology from foreign firms to avoid excessive dependency.