Reallocation of construction volume proposed to bring two key projects "to finish line"

09:55, 04/09/2025

The investor proposes to reallocate construction volume among contractors for packages of Component project 1, Bien Hoa - Vung Tau Expressway project, and Component project 3, Ho Chi Minh City Ring Road 3 project, to achieve the goal of technical traffic opening before December 19, 2025.

Construction of Component Project 3, Ho Chi Minh City Ring Road 3 Project section through the province. Photo: Pham Tung
Construction of Component Project 3, Ho Chi Minh City Ring Road 3 Project section through the province. Photo: Pham Tung

Progress still slow

Component project 1, Bien Hoa - Vung Tau Expressway project, running through the province, has a total length of approximately 16 kilometers. Currently, eight main contractors and one subcontractor are involved in the construction of two civil works packages under the project.

According to the Provincial Construction Investment Project Management Board, currently, the total construction output of the entire project is nearly 1.2 trillion VND, reaching over 47% of the signed contract value, 11% behind schedule. Specifically, for construction package No. 18, the current construction output is over 515 billion VND, reaching nearly 41% of the contract value, 14% behind schedule. For construction package No. 21, the current construction output is about 667 billion VND, reaching nearly 59% of the signed contract value and 8% behind schedule.

Nguyen Linh, Deputy Director of the Provincial Construction Investment Project Management Board, said that in recent months, to ensure the project's technical traffic opening by December 19, 2025, the board has regularly conducted inspections and urged contractors to accelerate construction to make up for delays. As a result, many contractors have made significant progress on the site. However, despite repeated reminders, some contractors continue to fall behind schedule.

"Specifically, in the case of Hoa Binh 479 Joint Stock Company, the contractor for construction package No. 18, the Provincial Construction Investment Project Management Board has issued many written reminders and 2 notices of contract progress violations, but in the past 90 days, the progress is still slow. The contractor has continuously failed to meet the daily, weekly, and monthly construction plans," Nguyen Linh said.

In addition, the construction progress of Hai Dang Joint Stock Company on construction package No. 21 remains very slow and is at risk of not meeting the required volume by December 19, 2025.

For Component Project 3, Ho Chi Minh City Ring Road 3 Project, according to the Provincial Construction Investment Project Management Board, there is currently a sub-contractor, Hoang Thanh Investment and Trading Joint Stock Company, which is also behind schedule.

According to the Provincial Construction Investment Project Management Board, among the 5 construction packages of Component Project 1, Bien Hoa - Vung Tau Expressway, and Component Project 3, Ho Chi Minh City Ring Road 3, only package No. 32, Component Project 3, Ho Chi Minh City Ring Road 3 Project is ahead of schedule.

Reallocation of construction volume from slow contractors

According to the Provincial Construction Investment Project Management Board, to ensure the completion of the technical traffic opening goal of the projects before December 19, 2025, it is necessary to reallocate the construction volume from slow contractors to other contractors in the consortium.

Construction of Component Project 1, Bien Hoa - Vung Tau Expressway Project.
Construction of Component Project 1, Bien Hoa - Vung Tau Expressway Project.

Specifically, according to Nguyen Linh, the Provincial Construction Investment Project Management Board proposes to reallocate the remaining volume of Hoang Thanh Investment and Trading Joint Stock Company to Tan Nam Construction Joint Stock Company to ensure the project's progress.

For Component Project 1, Bien Hoa - Vung Tau Expressway Project, the Provincial Construction Investment Project Management Board proposes to reallocate the construction volume of 2 bridges on the route from Hoa Binh 479 Joint Stock Company to Trung Nam Construction and Installation Joint Stock Company.

As for Hai Dang Joint Stock Company, the Provincial Construction Investment Project Management Board has proposed that the contractor continue construction on the 1.7-kilometer section where the roadbed has already been completed. The remaining 1.4-kilometer section will be reassigned to Construction Corporation No. 1 (CC1) for implementation.

In addition, the Provincial Investment and Construction Project Management Board also proposed transferring some work volumes from slow-performing contractors to other competent contractors within the joint venture, such as Lizen Joint Stock Company, Construction and Installation 368 Joint Stock Company, and Cuong Thuan IDICO Investment Development Joint Stock Company, to ensure progress.

According to Nguyen Anh Tuan, Director of the Department of Construction, the ongoing rainy weather is affecting the progress of construction projects. To ensure the target of technical traffic opening before December 19, 2025, investors and contractors must revise their construction schedules. The updated timeline should set the completion date at least one week ahead of the deadline to allow for contingencies and potential disruptions.

At a meeting on August 27 to review the progress of the two projects, Deputy Secretary of the Provincial Party Committee and Chairman of the Provincial People's Committee Vo Tan Duc approved assigning the Provincial Construction Investment Project Management Board to review relevant regulations and reallocate construction volumes from underperforming contractors. The aim is to ensure the timely completion of both projects and meet the target of technical traffic opening before December 19, 2025, as directed by the Prime Minister.

By: Pham Tung

Translated by: Mai Nga - Minho