HCMC well off target of 8 metro lines by 2035

Vietnam’s southern economic hub Ho Chi Minh City seems to be falling well short of its goal of building eight metro lines totaling 200 kilometers by 2035 because none have been put into operation thus far.

Specifically, the Ben Thanh-Suoi Tien project, also known as Metro Line No.1, started construction in 2012 with an initial operational target of 2018. With an estimated investment of VND43.7 trillion ($1.72 billion), the 20km metro line connecting Ben Thanh (District 1) to Long Binh depot (Thu Duc city) has three underground stations and 11 elevated stations.

However, it may not be until late 2024 that the project can open due to constant setbacks at the HCMC Urban Railway Management Board (MAUR).

Regarding its progress, MAUR reported that in the first quarter of this year, work had been completed on some infrastructure packages and mechanical-electrical system installations. Defects had been identified and addressed, and a re-lending contract for a financing agreement was signed.

Moving into Q2, the handover of two trains and various equipment for the metro is scheduled, alongside staff training for the HCMC Urban Railways No. 1 Company Limited. Furthermore, construction of pedestrian bridges at elevated stations will commence, and a trial run will be conducted.

Looking ahead to Q3, the project will undergo a safety assessment of its systems, undertake fire prevention and firefighting tasks, provide training for key staff, including train conductors, and proceed with another trial run.

Entering Q4, the project will complete fire prevention and firefighting tasks and achieve safety certification for the remaining stations. Subsequently, the state council for inspection and acceptance of construction works will oversee the remaining portfolios before Metro No.1 can be commercially operated.

During the first three months of its operation, HCMC will fully subsidize metro fares.

Similarly, the Ben Thanh-Tham Luong project, also known as Metro No.2, has faced prolonged delays since its originally scheduled construction commencement in 2014. The 11km metro, with 10 stations across six districts, has seen its official operation date rescheduled twice, now set for 2030 instead of the initial targets of 2018 and 2026. Its total costs have overrun to VND47.9 trillion ($1.89 billion) from VND26.12 trillion ($1.03 billion) due to compensation and site clearance obstacles.

MAUR said that currently, contractors are working on technical infrastructure for the project. Site clearance work is set to conclude this June, followed by the clearance of bombs, mines, and explosives in August.

In September, financial arrangements will proceed, including the conclusion of an agreement for a third loan package from Germany’s KfW Development Bank. By October, all tasks related to contractor selection, contract signing, and implementation will be finished, along with consultations on project construction and supervision.

Under HCMC’s urban railway planning, the city is set to develop eight metro lines with a total investment of $25 billion by 2035. Nevertheless, with Metro No.1 nearing completion and Metro No.2 still in the early stages, some experts doubt the city will achieve its objectives.

Renowned Vietnamese architect Dr. Ngo Viet Nam recommended the municipal government prioritize infrastructure development along Metro No.1, completing it as a transit-oriented development (TOD) model rather than hastily planning other metro lines.

Echoing Nam’s opinion, Assoc. Prof. Dr Vu Anh Tuan, director of the Vietnamese German Transport Research Center, urged the city to deploy the TOD pattern quickly, though revenue from Metro No.1 is forecast to cover only 35-40% of its daily operational costs, based on an estimated 90,000 passengers per day.

It is dangerous to view the first metro line’s low capacity as a failure, emphasizing that such a perspective could impede opportunities for urban railway and public transport development.

Only when a network of six to seven metro lines is integrated into the bus network do metro lines become attractive to passengers, he noted.

Tuan suggested HCMC seek support from the state and other capital sources for TOD rollout, while also shaking hands with private urban developers to maximize profits from its metro lines.