Vietnam Go Toll

A symposium held in Ho Chi Minh City (Saigon) early June indicated that the Vietnamese government wants investors to finance major highway projects based on tolling. The symposium held jointly by the International Road Federation of Geneva and the Vietnam Road Association (VIBRA) was attended by some 250 people including senior transport officials in Vietnam and representatives of some 30 overseas companies.

Senior Vietnam government officials said they hope to get western investors to finance:

• a 1.5 ml (2.2km) bridge or tunnel in the Saigon area

• a 30 mile (50km) toll ring expressway for the Saigon area

• a 4,500 foot (1.4km) bridge near Haiphong port in northern Vietnam

• possible upgrade and tolling of National Highway 1, up the coast of Vietnam

The Geneva-based IRF organized detailed presentations on investor or loan financed toll highway projects around the world including Argentina’s new private roads, the all-electronic Highway 407 in Toronto Canada, Cofiroute’s underground toll ring road system for central Paris, and Japan’s all-toll national expressway system.

The Federation’s chairman Alain Dupont told delegates: “It is clear that across the world an intense search is on for ways to allocate additional and regular funding for road construction on the basis of freedom from the vagaries of governmental budgeta nd tax policies. Road funds based on specific eamarked taxes appear to be a good solution, butonly when they retain a high degree of autonomy from general financial administration.”

Dupont said that toll systems, whether investor-financed or under the control of public operators are increasingly being adopted, but he cautioned the Vietnamese: “Private investors, either local or foreign, will only invest their money in such toll projects if three conditions are met. First, there has to be a clear and stable framework established by local authorities. Second, the dimensions and standards of the project must be tailored to meet the needs of current and future traffic, and finally, the local population must be prepared and educated to accept (tolls).” (Contact: Sandra Woods, IRF tel 41 22 731 7150 or IRF@dial.eunet.ch)