Investors of build-operate-transfer (BOT) infrastructure ventures with a completed construction phase are facing legal roadblocks in stake transfer, impeding capital flow circulation as well as narrowing their prospects of joining other projects.
A total of 19 build-operate-transfer (BOT) projects reported revenues lower than 70 per cent, and three of these reported revenues lower than 30 per cent compared to their financial plans, according to the Ministry of Transport (MoT).
The State Bank of Vietnam (SBV) earlier this week reported on the evaluation of the execution of Resolution No.42/2017/QH14 on piloting bad debt settlement of credit organisations at the 15th National Assembly session.
Over the past few years, investors have not been much inclined towards build-operate-transfer (BOT) transport projects in Vietnam, while the number of schemes with financial constraints has increased. According to the Ministry of Transport, in 2011-2015 around 88 BOT transport projects were implemented, but the number in 2015-2020 was far lower. It is challenging to raise capital for such large-scale projects.
Investors of build-operate-transfer projects are expected to rejoice over upcoming solutions related to issues surrounding lending rates and VAT refunds in August, enabling them to make the next steps.
A series of build-operate-transfer power projects are lagging behind set schedules by as much as a year due to the global pandemic, threading concern into the power supply issue in the coming time.
Vietnam has closed its doors to international investors joining the Eastern Cluster of the North-South Expressway initiative, catering to domestic groups only. However, the bankability of this key national project remains in question amid various concerns from lenders. Bich Thuy reports.
Prime Minister Nguyen Xuan Phuc recently urged the Ministry of Transport to upgrade damaged build-operate-transfer (BOT) expressways as soon as possible to ensure the safety of people and vehicles.
In a bid to resolve obstacles to implement the national electronic toll collection (ETC) project, the Government has allowed the Ministry of Transport (MoT) to decide how much revenue to extract from BOT projects to pay for ETC service.
Minister of Transport Nguyen Van The was grilled by lawmakers on June 4 about solutions to deal with problems related to transport projects invested under the form of build-operate-transfer (BOT).
PM Nguyen Xuan Phuc urged the Ministry of Transport to quickly make public the roadmap for installation of non-stop toll collection systems at Build-Operate-Transfer (BOT) road projects.
In 2017-2020 Vietnam will construct the eastern section of the North-South Expressway. According to PhD Bui Duc Thu, member of the Standing Committee of the National Assembly, the country needs a mechanism or policy to mobilize VND63.7 trillion ($2.8 billion) of private capital for this VND118.7-trillion ($5.23-billion) project.
Developers of build-operate-transfer power projects are in search of “clean coal technology” for their upcoming plants, in order to improve coal’s environmental performance and Vietnam’s future energy mix on the whole. Van Thu reports.
Calculating the cost and choosing the investors and contractors for BOT projects must be transparent, Deputy Prime Minister Trinh Dinh Dung said yesterday.
Nguyen Duc Kien, deputy chairman of the National Assembly Economics Committee, speaks to the Lao Dong (Labour) newspaper about the need to tighten control of Build–Operate–Transfer (BOT) projects.