Decision No. 12/2015/QD-TTg dated April 16, 2015 of the Prime Minister to attract investment in and operation of coach station in the form of socialization

THE PRIME MINISTER

Decision No.12/2015/QD-TTg dated April 16, 2015 of  the Prime Minister to attract investment in and operation of coach station in the form of socialization

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the November 13, 2008 Law on Road Traffic;

Pursuant to the December 16, 2002 Law on the State Budget;

At the proposal of the Minister of Transport,

The Prime Minister promulgates the Decision on mechanisms and policies to attract investment in and operation of coach stations in the form of socialization.

Article 1.Scope of regulation

This Decision provides mechanisms and policies to attract investment in and operation of coach stations nationwide in the form of socialization.

Article 2.Subjects of application

This Decision applies to agencies, organizations and individuals involved in investment in and operation of coach stations in the form of socialization.

Article 3.Interpretation of terms

In this Decision, the terms below are construed as follows:

1. Coach station means a work belonging to road traffic infrastructure facilities serving passenger embarkation and disembarkation cars and providing passenger transportation support services; and built in line with the master plan approved by a competent authority and the national technical regulation on coach stations.

2. Coach station invested and operated in the form of socialization means a coach station the investment in and operation of which are partially or wholly covered by non-state budget funds.

3. Road for vehicles to exit from and enter a coach station means a road linking the coach station with main roads, collection roads and feeder roads.

4. Internal road means a road located within a coach station and reserved for passengers and vehicles.

5. Investor participating in the implementation of projects on investment in and operation of coach stations (below referred to as investor) in the form of socialization means an enterprise or a cooperative that raises funds to build or upgrade different types of coach stations, or expand, operate and manage coach stations.

Article 4.Coach station master plans

1. Provincial-level People’s Committees shall formulate, announce, and direct the implementation of, master plans on coach station networks in their localities; take the initiative in attracting investment in and operation of coach stations in the form of socialization or allocate their local budgets for implementation; and ensure the master plans on locations of coach stations will be kept stable for at least 10 years. In case of compulsory relocation of a coach station, the investor may select to invest in and operate a new coach station under the master plan approved by a competent authority and will be entitled to compensation or support under regulations.

2. Master plans on coach station networks serve as a basis for formulating and developing the master plans on inter-provincial networks for fixed-route passenger transportation by road.

3. Coach stations invested in the form of socialization are linked to the road system under the Law on Road Traffic and must comply with the regulations on traffic safety.

Article 5.Mechanisms and policies on investment in building coach stations

1. Based on each locality’s resources, a coach station investment, upgrading or expansion project in the form of socialization will be eligible for a support equivalent to at least 20% of the interest rate of loans from a credit institution.

2. In poor districts prescribed by the Government, in case of failing to attract investment in building coach stations in the form of socialization, provincial-level People’s Committees shall allocate funds for building compulsory work items of coach stations, including areas for passenger

embarkation and disembarkation cars, toilets, ticket offices, lounges for passengers, working offices, internal roads and essential facilities to organize the operation of coach stations.

Article 6.Incentive policies on operation of coach stations in the form of socialization

1. Land rental exemption:

a/ For a coach station in poor districts prescribed by the Government, land rental exemption will be granted for its whole area;

b/ For coach stations not prescribed at Point a, Clause 1 of this Article, land rental exemption will be granted for the areas of compulsory service items, including areas for passenger embarkation and disembarkation, parking lots for vehicles to await passenger embarkation, lounges for passengers, working offices for the managerial divisions, ticket offices, toilets, roads for vehicles to exit from and enter the stations, internal roads within the stations, and areas for greeneries and flower-gardens.

2. A preferential enterprise income tax rate of 10% for 15 years will be applicable to incomes earned by investors from projects to build new coach stations in areas with particularly difficult socio-economic conditions specified at Point a, Clause 1, Article 15 of the Government’s Decree No. 218/2013/ND-CP of December 26, 2013.

Article 7.Transitional provisions

1. For coach stations put into operation before the effective date of this Decision and fully meeting the conditions prescribed in Article 8 of this Decision, incentives prescribed in Articles 4 and 6 will be applied. The time of applying incentives prescribed in Article 6 shall be counted from the effective date of this Decision.

2. In case of upgrading or expanding a coach station or building the one in a new location which was put into operation before the effective date of this Decision, the incentives prescribed in Article 5 of this Decision will be applied.

Article 8.Conditions for enjoying incentives

To enjoy incentives prescribed in this Decision, organizations or individuals participating in investment in or operation of coach stations in the form of socialization shall satisfy the following conditions:

1. The conditions on business registration under current regulations.

2. Locations of coach stations comply with the master plans on coach stations and are approved in writing by provincial-level People’s Committees.

3. Investment activities comply with construction permits granted by competent authorities.

4. Investors participating in investment in coach stations in the form of socialization shall ensure that:

a/ The fund for investment in the form of socialization accounts for at least 70% of the total fund for building a coach station (excluding the expense for ground clearance).

b/ They possess at least 15% of the investment fund for project implementation and have plans for acquiring the remaining amount.

Article 9.Effect

This Decision takes effect on June 1, 2015.

Article 10.Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government- attached agencies, and chairpersons of provincial-level People’s Committees shall implement this Decision.-

The Prime Minister

Nguyen Tan Dung