Vietnam Railways Corporation (VRC) put forward a proposal to allow private investors to build logistic facilities and offer associated services in three railway projects under the public private partnership (PPP) model in a meeting on implementing the PPP in railway infrastructure in Hanoi.
Local media cited Tran Ngoc Thanh, chairman of the VRC, as saying that under the PPP mechanism, his corporation will be responsible for setting up transport infrastructure like unloading equipment, train stabling facilities, and warehouses at three stations Yen Vien (Hanoi), Dong Dang (Lang Son Province in the north), and Song Than (Binh Duong Province in the south).
Meanwhile, private firms will be allowed to invest in facilities to serve the transport of goods by rail, focusing on cargo yards, storage, cargo-handling equipment, and warehouse management systems, Thanh said.
Regarding business conditions, investors from the private sector can collect fees for the services they offer, based on a price frame approved by the state and the VRC, Thanh said.
According to the chairman, the introduction of the PPP model in railway services will help change the current mindset of the industry: only VRC subsidiaries are allowed to join.
“VRC subsidiaries have been favored when it comes to investing in those projects, but the situation will change. We are inviting investors from the private sector, and even allow them to buy trains to run on the railroads we built and use the associated services we are offering,” Thanh Nien newspaper quoted him as saying at the meeting.
Share on:
