On the morning of August 6, Minister of Construction Tran Hong Minh presented to the National Assembly a draft resolution to adjust the investment policy for the Lao Cai - Hanoi - Hai Phong railway project.
According to the government, the preliminary total investment after adjustment is 289.3 trillion VND, an increase of 86.1 trillion VND compared to the amount approved by the National Assembly in 2025. This capital increase is due to updated scope, scale, volume, unit prices, exchange rates, and related policies.
Of the additional capital, construction and equipment costs account for more than 51.2 trillion VND. This amount is primarily for investing in a double track from Bac Hong station to Nam Hai Phong station, adding the Yen Vien - Gia Lam section, upgrading Gia Lam station, connecting with existing railway lines, and adjusting the design according to new local planning.
Compensation, support, and resettlement costs increased by approximately 34.8 trillion VND. Project management, consulting, and other expenses increased by 160 billion VND, while contingency decreased by 110 billion VND.
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Minister of Construction Tran Hong Minh presented the government's proposal on the draft resolution to adjust some contents of the investment policy for the Lao Cai - Hanoi - Hai Phong railway line, on the morning of August 6. Photo: National Assembly's e-portal |
Minister of Construction Tran Hong Minh presented the government's proposal on the draft resolution to adjust some contents of the investment policy for the Lao Cai - Hanoi - Hai Phong railway line, on the morning of August 6. Photo: National Assembly's e-portal
After adjustment, the main line begins at the rail connection point across the border in Lao Cai and ends at Nam Hai Phong station. The main line's length is now 363 km, a reduction of about 26 km; the total length of branch lines is nearly 63 km, an increase of 35 km. The project passes through Lao Cai, Phu Tho, Hanoi, Bac Ninh, Hung Yen, and Hai Phong.
The Lao Cai - Bac Hong section will feature a newly built single track; the Bac Hong - Nam Hai Phong and Yen Vien - Gia Lam sections will be double-tracked with a 1,435 mm gauge. The line will transport both passengers and freight.
The maximum design speed on the Lao Cai - Nam Hai Phong section is 160 km/h, while the Hanoi junction area is 120 km/h. Other sections have a design speed of 80 km/h.
A new addition to the project is the Yen Vien - Gia Lam section, approximately 8.4 km long, which also shifts the northern passenger hub from Yen Vien to Gia Lam. The government believes this approach aligns with the capital's planning, enhances connectivity between the national railway and urban railways, and facilitates the development of the Gia Lam station area following a transit-oriented development (TOD) model.
The Nam Hai Phong - Lach Huyen section has been reclassified from a main line to a branch line. The project also adds two branches connecting existing railways to stations along the Lao Cai - Hanoi - Hai Phong line.
According to the government, investing in a double track from the outset on the Bac Hong - Nam Hai Phong section helps reduce land use, saving approximately 12.5 trillion VND compared to building a single track and expanding later. This approach also shortens travel time by about 14 minutes, yielding estimated economic benefits of 50 billion VND annually.
The main line and the Yen Vien - Gia Lam branch will utilize electrified rail technology. Port connection branches will initially use diesel locomotives, transitioning to clean energy sources later.
The feasibility study was initiated in 2025, with the project aiming for completion in 2030. The branch connecting Nam Hai Phong station with Nam Do Son station will be developed in sync with the construction progress of the Nam Do Son terminal area.
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Hanoi Party Secretary Tran Duc Thang (second row, first from left) and other Hanoi delegation representatives at the National Assembly, on the morning of August 6. Photo: National Assembly's e-portal |
Hanoi Party Secretary Tran Duc Thang (second row, first from left) and other Hanoi delegation representatives at the National Assembly, on the morning of August 6. Photo: National Assembly's e-portal
Upon reviewing the draft, the Economic and Financial Committee assessed the proposed total investment as "very substantial." Implementing a double track immediately during the 2026-2030 period will significantly increase public investment capital needs, while many other important national projects also require resources.
The appraisal agency requested the government to thoroughly evaluate its capital balancing capacity, and compare investment rates and cost structures with railway projects of similar conditions in the region and globally.
The government was also urged to develop a capital allocation plan consistent with budget balancing capabilities and the medium-term public investment plan; to tightly manage foreign loans, ensure public debt safety, and avoid impacting resources designated for other critical projects.
Vu Tuan
