Minister of Transport Dinh La Thang requested the Vietnam ExpresswayCorporation (VEC) complete its restructuring plans so the process can beconcluded in 2015.
Restructuring the VEC’sorganisational and operational model is urgent and a prerequisite forsound development in the future, he stressed.
Founded 10 years ago, the VEC was expected to fund seven expresswayprojects, five of which are currently underway with a total capital ofmore than 125.5 trillion VND (5.9 billion USD), according to GeneralDirector Mai Tuan Anh.
The corporation drafted itsrestructuring plan in 2012 and one year later the Prime Ministerapproved capital restructuring for five VEC-invested projects, namelythe Cau Gie-Ninh Binh, Noi Bai-Lao Cai, Ho Chi Minh City-Long Thanh-DauGiay, Ben Luc-Long Thanh and Da Nang-Quang Ngai expressways.
The restructuring process aims to improve the VEC’s operationalcapacity, business efficiency and competitiveness, Anh said. Togetherwith the maximisation of funds for expressway development, restructuringwould help improve the company’s financial capacity and ensure a stablefinancial structure in future.
According to NguyenChien Thang, head of the Ministry of Transport’s Business ManagementDepartment, the VEC’s restructuring process has seen initial results,with equitisation being the only way for the highway developer toeffectively manage its huge capital.
Tran Van Lam,head of the ministry’s Personnel Organisation Department, said therestructuring plan needed to clarify the opportunities and challengesthe corporation would face in the times ahead as well as areas to bereorganised.
Minister Thang also asked the VEC todraw lessons from each project in order to maintain its position as akey investor in transport infrastructure development.
To ensure the restructuring process stays on schedule, the corporationas a whole should be equitised at the same time as its variousprojects, he said, calling upon the VEC to clarify the proportions ofState capital and private capital in its financial plans.
The corporation should focus entirely on the projects alreadyunderway, ensuring quality and safety whilst avoiding waste and losses,he added.-VNA
Restructuring the VEC’sorganisational and operational model is urgent and a prerequisite forsound development in the future, he stressed.
Founded 10 years ago, the VEC was expected to fund seven expresswayprojects, five of which are currently underway with a total capital ofmore than 125.5 trillion VND (5.9 billion USD), according to GeneralDirector Mai Tuan Anh.
The corporation drafted itsrestructuring plan in 2012 and one year later the Prime Ministerapproved capital restructuring for five VEC-invested projects, namelythe Cau Gie-Ninh Binh, Noi Bai-Lao Cai, Ho Chi Minh City-Long Thanh-DauGiay, Ben Luc-Long Thanh and Da Nang-Quang Ngai expressways.
The restructuring process aims to improve the VEC’s operationalcapacity, business efficiency and competitiveness, Anh said. Togetherwith the maximisation of funds for expressway development, restructuringwould help improve the company’s financial capacity and ensure a stablefinancial structure in future.
According to NguyenChien Thang, head of the Ministry of Transport’s Business ManagementDepartment, the VEC’s restructuring process has seen initial results,with equitisation being the only way for the highway developer toeffectively manage its huge capital.
Tran Van Lam,head of the ministry’s Personnel Organisation Department, said therestructuring plan needed to clarify the opportunities and challengesthe corporation would face in the times ahead as well as areas to bereorganised.
Minister Thang also asked the VEC todraw lessons from each project in order to maintain its position as akey investor in transport infrastructure development.
To ensure the restructuring process stays on schedule, the corporationas a whole should be equitised at the same time as its variousprojects, he said, calling upon the VEC to clarify the proportions ofState capital and private capital in its financial plans.
The corporation should focus entirely on the projects alreadyunderway, ensuring quality and safety whilst avoiding waste and losses,he added.-VNA
