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Deputy Minister Nguyen Van Cong in the warning said that Corporation 36 cannot shut down the road without the ministry’s prior approval. The project’s investor, which is a consortium of three companies, is in charge of conducting maintenance services during the project’s operation, in accordance with a contract signed by the ministry and the investor on February 10, 2015.
Also, the ministry urged the investor to quickly complete procedures as required to start toll collection on the road.
The project to build the road connecting Hoa Lac and Hoa Binh and upgrade the Xuan Mai-Hoa Binh section of National Highway 6 under the BOT format, was approved by the ministry and put into service in October last year, with investment capital expected to be recouped by collecting fees at two toll stations on National Highway 6 and Hoa Lac-Hoa Binh road.
The investor intended to suspend operations on the BOT Hoa Lac-Hoa Binh road due to the drop in toll collection revenue on National Highway 6.
According to the BOT contract, Hoa Lac-Hoa Binh road was opened to traffic on October 31 last year, with fee collection scheduled to begin on the following day, November 1. However, the ministry has not given the go-ahead to fee collection on the road.
After the project was opened to traffic, vehicles mainly traveled on Hoa Lac-Hoa Binh road, resulting in a drop in fee collection revenue on National Highway 6. As of February this year, the toll revenue recorded on the national highway has fallen by VND28.9 billion against the figure estimated in the BOT contract.
Meanwhile, the ministry said that it has yet to allow the investor to collect fees at the Hoa Lac-Hoa Binh road toll station as the investor has not fully demonstrated its commitment to the project.
Regarding the site clearance for the project, Hoa Binh Province had approved adding over VND7.8 billion in compensation for four local households and had asked the investor several times to transfer the money to the local authorities to pay the households. The investor has yet to complete the transfer.
Earlier, addressing a meeting on March 22, Minister of Transport Nguyen Van The asked the investor to commit to a deadline for transferring the site clearance compensation money to the locals, while requiring the provincial government to continue working with the ministry to quickly start fee collection on the BOT Hoa Lac-Hoa Binh road.