DECISION

ON INVESTMENT IN THE PROJECT ON IMPROVING AND UPGRADING PROVINCIAL ROADS WITH CAPITAL BORROWED FROM THE ASIAN DEVELOPMENT BANK

THE PRIME MINISTER

Pursuant to the Law on Organization of the Government of December 25, 2001;
At the proposal of the Ministry of Communications and Transport (Documents No. 3065/BGTVT-KHDT of September 14, 2001; No. 3552/GTVT-KHDT of October 24, 2001 and No. 234/BGTVT-KHDT of January 22, 2002) and the evaluation opinions of the Ministry of Planning and Investment (Documents No. 7624/BKH-VPTD of November 9, 2001 and No. 1395/ BKH-VPTD of March 6, 2002),

DECIDES:

Article 1.- To invest in the project on improving and upgrading provincial roads with capital borrowed from the Asian Development Bank (ADB) with the following principal contents:

1. Investment location and scale:

a/ To improve and upgrade about 1,666 km of provincial roads for 92 routes, largely of grade V (81 routes), grade IV (8 routes), grade III (3 routes), and a number of small bridges (not exceeding 6 meters long) of 18 northern provinces, including Son La, Lai Chau, Lao Cai, Yen Bai, Bac Kan, Thai Nguyen, Phu Tho, Vinh Phuc, Cao Bang, Lang Son, Tuyen Quang, Ha Giang, Quang Ninh, Hoa Binh, Ha Tay, Bac Giang, Thanh Hoa and Ha Nam.

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2. Technical norms:

The major technical norms shall comply with TCVN 4054-85 and TCVN 4054-98 standards.

3. Total investment and capital sources:

The total investment for the project is USD 100 million (equivalent to VND 1,502.8 billion according to the exchange rate of USD 1 = VND 15,028), of which:

- ADB loan: USD 70 million.

- Vietnam’s reciprocal capital: USD 30 million

4. Tempo: The project shall be implemented within 5 years after the capital-borrowing agreement comes into force.

5. Investor: The Ministry of Communications and Transport.

- Investor’s representative: Project Management Unit No. 5 (PMU 5).

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+ Central level: PMU 5

+ Local level: Provincial-level Project Management Units (PPMU) under the Provincial Departments of Transport (PDOT).

6. Project implementation mode: shall comply with the regulations of the capital-borrowing agreement and the current regulations on investment and construction management.

Article 2.- Task assignment

1. The Ministry of Communications and Transport shall have to:

- Approve mini-projects of the provinces under the project and direct the implementation thereof according to the current regulations, approve the framework plan for ground clearance.

- Manage and administer the project implementation according to the decentralization regulations set in the capital-borrowing agreement.

2. The People’s Committees of 18 provinces under the project shall have to organize the implementation of the project in their respective localities according to the decentralization and organize the ground clearance, meeting the tempo requirements of the project.

3. The Ministry of Planning and Investment, the Ministry of Finance, the State Bank of Vietnam and the concerned agencies shall implement the project according to their respective functions and coordinate with the Ministry of Communications and Transport in directing the project implementation strictly according to the State’s current regulations, the commitments already signed with the ADB and international practices.

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FOR THE PRIME MINISTER
DEPUTY PRIME MINISTER




Nguyen Tan Dung