Hanoi (VNS/VNA) - China had funded 10 million yuan (1.4 million USD) forthe preliminary planning of a controversial train project in Vietnam that wouldconnect the northern border region all the way through to a busy eastern port,the Ministry of Transport announced on November 25.

TheMinistry of Transport in its public statement said that the Lao Cai-Hanoi-HaiPhong railway was planned years ago in the Vietnam Railway Development Strategytowards 2020, which was signed off by then Prime Minister Nguyen Tan Dung in2008.

China in2015 agreed to provide a non-refundable aid package worth 10 million yuan tohelp Vietnam conduct surveys and map out the first blueprint for the linefollowing high-level meetings between the two governments, according to theministry.

ChinaRailway Fifth Survey and Design Institute Group – the project consultant – justfinished its preliminary planning for the line. The railway is due to be 392kmlong with 38 stations and can run both passenger and freight trains.

Thetransport ministry said it was working with localities that the train was setto run across to consult on the exact locations of the stations.

In themeantime, the project consultant was preparing for its final report before theproject was to be submitted to the National Assembly, who would vote on whetherthe project could be carried out.

The ministryfirst announced the 100 trillion VND (4.2 billion USD) project last week whichimmediately sparked criticisms and doubts over the necessity and thepracticality of such project, especially the Government’s ability to fund anddeliver the project on time.

Theconcerns came from the fact that Vietnam was already planning to build theNorth-South High Speed Railway – a trans-Vietnam mega project estimated to costmore than 55 billion USD and deemed an enormous burden on the already strainednational budget.

Meanwhile,a number of urban railway projects in Hanoi and HCM City had their investmentcapitals shot through the roof and were seriously delayed for years.

Thetransport ministry, however, reaffirmed the need for the northern line onMonday, saying that the railway was “key to establish a transport network inthe north of the Hong River, connecting the northwest region to the delta and HaiPhong seaport – one of biggest maritime centres in Vietnam."

Accordingto the project planning, the line is set to go east through eight provinces andcities, with the starting station in the border mountainous province of Lao Caiand runs towards Yen Bai, Phu Tho, Vinh Phuc, Hanoi, Hung Yen and Hai Duong,before ending in Lach Huyen Port in Hai Phong.

Notably,there will be a 5.6km cross-border rail line connecting Lao Cai with China’sHekou Railway in Yunnan Province.

The newrailway is estimated to transport up to 10 million tonnes of cargo a year.

Therailway will have the international standard track gauge of 1,435mm instead ofthe centuries-old gauge of 1m that was used in the existing Hanoi-Lao Cai trainline.

The old Hanoi-LaoCai line, meanwhile, will stop running after the new line is open, according tothe ministry./.