The Ministry of Transport required that the total investment capital of the Cao Lanh - An Huu expressway construction project for the first phase should need adjustment to increase up to VND7,496 billion (US$309 million), an increase of VND1,610 billion (US$66 million) over the initial total investment estimation in the pre-feasibility study report approved by the Prime Minister.
Surges in site clearance and construction costs are the main reasons leading to the capital adjustment.
Of which, the costs for compensation and resettlement support jumped by more than VND1 trillion (US$41 million) due to changes in compensation prices for land, crops, structures and support policies compared to the previously approved policy.
As for construction and equipment costs, it is expected to soar by VND644 billion (US$26.5 million) owing to the addition of roads directly connected to the expressway along with adjustment in the details for appropriate soft soil treatment solution to the results of the geological survey and design.
Regarding the ability of capital balance, the Ministry of Transport proposed state budget capital allocation to implement the expressway project in the period from 2022 to 2027.
According to the approved plan, the Cao Lanh - An Huu expressway has a length of more than 27 kilometers. The beginning point of the expressway will intersect with the My An - Cao Lanh expressway in Cao Lanh District, the Mekong Delta province of Dong Thap. The ending point will intersect with the Trung Luong- My Thuan expressway in Cai Be District, Tien Giang Province.
For the first phase, the expressway is designed with four lanes and a limitation speed of 80 kilometers per hour.
