CT Group proposes investment in Ho Chi Minh City - Can Tho - Ca Mau railway

CT Group Corporation said it will work with prestigious international partners to mobilize capital to invest in the Ho Chi Minh City - Can Tho - Ca Mau railway, with an expected total capital of 12 billion USD.

CT Group proposed to research and invest in the Ho Chi Minh City - Can Tho - Ca Mau railway with a design speed of 200-250km/h - Illustration photo: AI

CT Group said so in a document sent to Prime Minister Pham Minh Chinh, Minister of Construction , proposing that this enterprise prepare a pre-feasibility study report and request investment policy for the Ho Chi Minh City - Can Tho - Ca Mau railway project under the public-private partnership - PPP method.

According to CT Group, since 2020, this enterprise has cooperated with domestic and international organizations and contractors to research this railway project.

In which, CT Group signed a contract with China Railway Design Corporation to coordinate research and prepare a pre-feasibility study report for the project; signed a cooperation agreement with Power Construction Corporation of China to research, propose an investment model and implement the project in the form of EPC general contractor.

Thereby, CT Group would like to propose to prepare a pre-feasibility study report for the Ho Chi Minh City - Can Tho - Ca Mau railway project under the PPP method with the following main contents:

The Ho Chi Minh City - Can Tho - Ca Mau railway line starts at Thu Thiem station (the central station of Ho Chi Minh City) to form a connection network with the high-speed railway on the North - South axis and connects with the railway to Long Thanh airport; the end point of the first phase of the line is Cai Rang station, Can Tho city; the end point of the second phase of the line is Dat Mui station, Ca Mau.

The project will pass through Ho Chi Minh City, Tay Ninh, Dong Thap, Vinh Long, Can Tho and Ca Mau, with the total length of phase 1 expected to be 160km; phase 2 expected to be 120km.

The Ho Chi Minh City - Can Tho - Ca Mau railway line will be built as a double-track railway, 1,435mm gauge, electrified, operating passengers and goods with a design speed of 200-250km/h. At the same time, the design speed of 300-350km/h will be studied.

Regarding the financial plan, CT Group said it will work with reputable international partners to find financial resources to invest in the project, with the total initial investment capital of the project being about 12 billion USD (not including compensation costs, relocation support, and resettlement to clear the land from the state budget).

CT Group proposes capital structure according to the special PPP pilot mechanism: 80% from the state budget in medium-term public investment plans and other legal capital sources; 20% equity capital and other legal mobilization of investors.

CT Group proposed a mechanism to contribute 75% of revenue from land fund development projects including: 400 hectares near Tan Kien station, Binh Chanh (HCMC), 200 hectares in Can Tho railway urban area and 200 hectares in Ca Mau terminal station area (total estimated value of 300,000 billion VND, contributing about 250,000 billion VND).

At the same time, CT Group proposed using revenue from auctioning land use rights in TOD urban areas along the route to mobilize 20-25% of the total investment for the project.

To implement the Ho Chi Minh City - Can Tho - Ca Mau railway project, CT Group proposed to apply special mechanisms and policies such as: exemption of import tax on equipment and spare parts for construction, maintenance and repair; proposed competitive fare framework for passengers and goods; preferential loans of 40-50% of the total project investment.

Regarding progress, CT Group proposed to be assigned to prepare and complete the project's pre-feasibility study report in 2025-2026; prepare the feasibility study report and environmental impact assessment in 2026-2027; start construction in 2027; and put into commercial operation in 2031-2032.

Recently, the My Thuan Project Management Board has submitted to the Ministry of Construction a pre-feasibility study report on the Ho Chi Minh City - Can Tho railway project. Accordingly, this project is being studied with a length of 175.2km; the starting point is at An Binh station in Di An ward, Ho Chi Minh City; the ending point is at Can Tho station in Hung Phu ward, Can Tho city.

The Ho Chi Minh City - Can Tho railway line has been newly invested to transport both passengers and goods. This is a double-track railway line, 1,435mm gauge, electrified, designed speed 160km/h.

Phase 1 will invest in a single track with a total investment of about 173,643 billion VND, equivalent to 7.16 billion USD; Phase 2 (after 2030) will invest in completing a double track with a cost of about 64,973 billion VND, equivalent to about 2.7 billion USD.

TUAN PHUNG

Source: https://tuoitre.vn/ct-group-de-xuat-dau-tu-duong-sat-tp-hcm-can-tho-ca-mau-20251010161116396.htm