Proposed $320 million project to improve railway safety.

Project Management Board 2 has just sent a document to the Ministry of Transport proposing a project to improve railway safety using World Bank loan funds.

The project aims to improve train safety, reduce annual maintenance and operating costs of existing level crossings after constructing grade-separated intersections with roads; and eliminate road congestion when trains pass through.

Based on the initial research results, Project Management Board 2 proposed that the project invest in grade-separated level crossings at 21 intersections between 4 railway lines (including the Hanoi – Ho Chi Minh City; Hanoi – Hai Phong; Yen Vien – Lao Cai and Hanoi – Dong Dang lines) and national highways located in 13 provinces and cities nationwide, stretching from North to South.

Specifically, for the Hanoi – Ho Chi Minh City railway line, the project is planned to be implemented at 13 level crossings (road crossings over railways), located in 8 provinces/cities including: Hanoi (1 location), Thanh Hoa (2 locations), Ha Tinh (3 locations), Quang Binh (2 locations), Phu Yen (1 location), Khanh Hoa (1 location), Binh Thuan (1 location) and Dong Nai (2 locations).

For the Hanoi – Dong Dang railway line, construction is planned at 2 level crossings (road crossings are road crossings over railways), with one in Bac Giang and one in Lang Son.

The Yen Vien – Lao Cai railway line is planned to have 5 level crossings (road crossings over the railway), including 3 in Phu Tho and 2 in Lao Cai.

The Hanoi-Hai Phong railway line has one level crossing (a road crossing), located within Hai Phong City. This location is on the branch line connecting to the Hanoi-Hai Phong railway line from Vat Cach station to Vat Cach port.

Due to the specific requirements of railways, such as a small longitudinal gradient and other special technical requirements like stations, railway signaling systems, and train safety, constructing railway bridges over roads would be very costly and impractical. Therefore, the main recommended option is to build road bridges over railways.

The total investment for the Railway Safety Improvement Project is estimated at approximately VND 8,148.59 billion, equivalent to about USD 320.04 million, with the two largest expenditures being construction costs of VND 4,575 billion and contingency funds of VND 1,786 billion.

The proposed project will utilize ODA loans from the World Bank worth approximately VND 5,716.54 billion, equivalent to approximately USD 224.52 million, for the following items: construction costs; design consulting fees; construction supervision consulting fees; and contingency costs for the above items.

The counterpart funding, valued at approximately VND 2,432.05 billion (equivalent to approximately USD 95.52 million), will be used for the following items: project management costs, VAT, design consulting, supervision, other consulting and other expenses; land clearance costs; and contingency costs for the above items.

If approved by the competent authorities, the Project will be implemented within 5 years after the Financing Agreement comes into effect (expected from 2025 to 2030).