Decree No. 15/2015/ND-CP dated February 14, 2015 of the Government on investment in the form of public-private partnership

DECREE

On investment in the form of
public-private partnership[1]

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

Pursuant to the November 26, 2014 Law on Investment;

Pursuant to the June 18, 2014 Law on Public Investment;

Pursuant to the November 26, 2013 Law on Bidding;

Pursuant to the June 18, 2014 Law on Construction;

Pursuant to the June 17, 2009 Law on Management of Public Debts;

At the proposal of the Minister of Planning and Investment,

The Government promulgates the Decree on investment in the form of public-private partnership.

Chapter I

GENERAL PROVISIONS

Article 1.Scope of regulation

This Decree prescribes fields, conditions and procedures for implementation of investment projects in the form of public-private partnership; the mechanism for management and use of the State’s investment capital in the implementation of projects; policies on investment incentives and assurance and state management responsibility for investment projects in the form of public-private partnership.

Article 2.Subjects of application

This Decree applies to competent state agencies, investors, project enterprises, lenders and agencies, organizations and individuals involved in the implementation of investment projects in the form of public-private partnership.

Article 3.Interpretation of terms

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

1. Investment in the form of public-private partnership (PPP) means a form of investment implemented under a contract between a competent state agency and an investor or a project enterprise for implementation, management and operation of a project on development of infrastructure or provision of public service.

2. Project contract means a contract specified in Clause 3, 4, 5, 6, 7, 8 or 9 of this Article or a similar contract specified in Clause 3, Article 32 of this Decree.

3. Build-operate-transfer contract (BOT contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. Upon the completion of the facility, the investor has the right to operate it for a specified duration. Upon the expiration of this duration, the investor shall transfer such facility to the competent state agency.

4. Build-transfer-operate contract (BTO contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. Upon the completion of the facility, the investor shall transfer it to the competent state agency and has the right to operate it for a specified duration.

5. Build-transfer contract (BT contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. The investor shall transfer the facility to the competent state agency and receive as compensation a land area for implementation of another project under the conditions prescribed in Clause 3, Article 14 and Clause 3, Article 43 of this Decree.

6. Build-own-operate contract (BOO contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. Upon the completion of the facility, the investor may own and commercially operate it for a specified duration.

7. Build-transfer-lease contract (BTL contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. Upon the completion of the facility, the investor shall transfer it to the competent state agency and has the right to provide services on the basis of operating such facility for a specified duration. The competent state agency shall hire the services and make payments to the investor under the conditions prescribed in Clause 2, Article 14 of this Decree.

8. Build-lease-transfer contract (BLT contract) means a contract signed between a competent state agency and an investor to build an infrastructure facility. Upon the completion of the facility, the investor has the right to provide services on the basis of operating such facility for a specified duration. The competent state agency shall hire the services and make payments to the investor under the conditions prescribed in Clause 2, Article 14 of this Decree. Upon the expiration of the service provision duration, the investor shall transfer the facility to the competent state agency.

9. Operate-manage contract (O&M contract) means a contract signed between a competent state agency and an investor to commercially operate part or the whole of a facility for a specified duration.

10. Other projects means projects implemented by investors to recover capital invested in infrastructure facilities.

11. Project proposal means a document presenting contents of the preliminary study of the necessity, feasibility and effectiveness of a project.

12. Feasibility study report means a document presenting contents of the study of the necessity, feasibility and effectiveness of a project.

13. Total investment capital means the whole investment capital for construction of works of a project and initial working capital for the operation of the project.

14. Equity means the capital contributed by an investor to implement a project under Article 10 of this Decree.

15. Investor means an organization or individual that carries out investment activities in accordance with the investment law and relevant laws.

16. Project enterprise means an enterprise established by an investor to implement a project.

17.Stateenterprise means an enterprise of which charter capital is wholly held by the State.

18. Lender means an institution extending credit to an investor or a project enterprise to implement a project.

Article 4.Investment fields and classification of projects

1. Projects on construction, renovation, operation and management of infrastructure facilities or provision of equipment or public services include:

a/ Transport infrastructure facilities and related services;

b/ Lighting systems; clean water supply systems; water drainage systems; wastewater and waste collection and treatment systems; social houses, resettlement houses; cemeteries;

c/ Power plants, power transmission lines;

d/ Health, education, training, vocational, cultural and sports infrastructure facilities and related services; working offices of state agencies;

dd/ Commercial, scientific and technological and hydro-meteorological infrastructure facilities; infrastructure facilities of economic zones, industrial parks, hi-tech parks and information technology parks; applied information technology;

e/ Agricultural and rural infrastructure facilities and services to develop connection between production and processing and consumption of agricultural products;

g/ Other fields as decided by the Prime Minister.

2. Projects specified in Clause 1 of this Article shall be classified in accordance with the law on public investment, including projects of national importance and projects of groups A, B and C.

3. Ministries and ministerial-level agencies shall assume the prime responsibility for, and coordinate with the Ministry of Planning and Investment in, guiding in detail investment fields under their respective management.

Article 5.Expenses for investment preparation and implementation of projects of ministries, sectors and provincial-level People’s Committees

1. Expenses for investment preparation and implementation of projects of ministries, ministerial-level agencies, government-attached agencies and provincial-level People’s Committees (below collectively referred to as ministries, sectors and provincial-level People’s Committees) include:

a/ Expenses for elaboration, appraisal and approval of project proposals and feasibility study reports;

b/ Expense for organization of selection of investors;

c/ Expenses for operation of project management units under competent state agencies, including expense for supervision of performance of project contracts and work quality;

d/ Expense for project announcement;

dd/ Expense for operation of coordinating units managing PPP activities;

e/ Expense for hiring consultants to assist the implementation of a number of activities under the responsibility of competent state agencies mentioned in Clause 5, Article 8 of this Decree;

g/ Expenses for organization of conferences, workshops and negotiations on project contracts and other related contracts;

h/ Other expenses.

2. Expenses specified at Points a, b and c, Clause 1 of this Article shall be covered by the following sources:

a/ The state budget, as stated in annual development investment expenditure plans of ministries, sectors and provincial-level People’s Committees;

b/ Support capital for investment preparation specified in Article 6 of this Decree;

c/ Proceeds from the sale of bidding dossiers for selection of investors;

d/ Amounts refunded by investors selected to implement projects;

dd/ Other lawful sources.

3. Expenses specified at Points d, dd, e, g and h, Clause 1 of this Article shall be covered by the state budget under non-business expenditure plans of ministries, sectors and provincial-level People’s Committees.

Article 6.Funding sources to support investment preparation

1. The Ministry of Planning and Investment shall mobilize and manage official development assistance (ODA) sources, concessional loans of foreign donors and other sources under decisions of the Prime Minister to support investment preparation activities.

2. The funding sources mentioned in Clause 1 of this Article shall be allocated to ministries, sectors and provincial-level People’s Committees for supporting expenses for investment preparation under Points a and b, Clause 1, Article 5 of this Decree.

3. Investors selected to implement projects shall refund expenses supported for investment preparation and pay expenses for preservation of these funding sources for other projects.

4. The Ministry of Planning and Investment shall assume the prime responsibility for, and coordinate with the Ministry of Finance in, guiding this Article.

Article 7.The Steering Committee and coordinating units managing PPP activities

1. The State Steering Committee for PPP shall be established and operate under a decision of the Prime Minister.

2. Based on specific management requirements and conditions, ministries, sectors and provincial-level People’s Committees shall assign their attached specialized agencies to act as coordinating units to manage PPP activities of ministries, sectors and localities (below collectively referred to as coordinating units). In case of necessity, ministries and sectors shall propose the Prime Minister to decide on the establishment of specialized units attached to them to act as units coordinating the management of PPP activities.

Article 8.State agencies competent to sign and perform project contracts

1. Ministries, sectors and provincial-level People’s Committees are state agencies competent to sign project contracts falling under their functions, tasks and powers and exercise rights and perform obligations as agreed with investors in project contracts.

2. Based on their functions, tasks and powers and specific management conditions, ministries and sectors may authorize their attached organizations; provincial-level People’s Committees may authorize their specialized agencies or district-level People’s Committees to sign and perform contracts for group-B and group-C projects.

3. The authorization under Clause 2 of this Article shall be made in writing, specifying the scope of authorization and responsibility of authorized agencies for investment preparation, negotiation for, signing and performance of project contracts.

4. Competent state agencies and authorized agencies specified in Clause 2 of this Article may establish or assign project management units to carry out activities under their responsibility, but shall be held responsible for obligations committed under project contracts in all circumstances.

5. In case of necessity, competent state agencies may select independent consultancy organizations to support the performance of a number of obligations mentioned in Clause 4 of this Article.

Article 9.Order of project implementation

1. Except group-C projects specified in Clause 2 of this Article, a project shall be implemented in the following order:

a/ Formulation, appraisal, approval and announcement of the project under Chapter III of this Decree;

b/ Elaboration, appraisal and approval of a feasibility study report under Chapter IV of this Decree;

c/ Organization of selection of investors; negotiation for and signing of investment agreements and project contracts under Chapter V of this Decree;

d/ Completion of procedures for grant of an investment registration certificate and establishment of a project enterprise under Chapter VI of this Decree;

dd/ Implementation of the project under Chapter VII of this Decree;

e/ Financial finalization and transfer of the project under Chapter VIII of this Decree.

2. A group-C project shall be implemented in the following order:

a/ Formulation, appraisal, approval and announcement of the project under Chapter III of this Decree;

b/ Organization of selection of investors; negotiation for and signing of project contracts under Chapter V of this Decree;

c/ Implementation of the project under Chapter VII of this Decree;

d/ Financial finalization and transfer of the project under Chapter VIII of this Decree.

Chapter II

CAPITAL SOURCES FOR PROJECT IMPLEMENTATION

Article 10.Equity and capital mobilized from investors

1. Investors shall contribute equity and mobilize other capital sources to implement projects as agreed in project contracts.

2. The ratio of equity of an investor must not be lower than 15% of the total investment capital. For a project capitalized at over VND 1,500 billion, the equity ratio shall be determined on the principle of partial progress as follows:

a/ For the capital portion of up to VND 1,500 billion, the ratio of equity must not be lower than 15% of this portion;

b/ For the capital portion of over VND 1,500 billion, the ratio of equity must not be lower than 10% of this portion.

3. The State’s investment capital for project implementation specified in Article 11 of this Decree may not be accounted into the total investment capital for determination of equity ratio.

4. Other projects implemented by investors to recover capital already invested in BT project works must meet the requirement of equity (if any) prescribed by law.

Article 11.Use of the State’s investment capital for project implementation

1. The State’s investment capital for project implementation includes capital from the state budget, government bonds, local administration (municipal) bonds, ODA and concessional loans of foreign donors.

2. The State’s investment capital for project implementation shall be used for the following activities:

a/ Contribution of capital to support construction of works in projects of which commercial operation based on collected user charges cannot generate sufficient revenues to recover investment capital and make profits;

b/ Payment to investors that provide services under BTL, BLT or other similar contracts;

c/ Support for construction of auxiliary facilities and payment of compensations, ground clearance and resettlement.

3. The State’s investment capital specified at Points a and b, Clause 2 of this Article may only be used for implementation of projects proposed by ministries, sectors or provincial-level People’s Committees or projects eligible to use ODA and concessional loans of foreign donors.

Article 12.Valuation of the State’s investment capital for project implementation

1. The value of the State’s investment capital shall be considered on the basis of financial plans of projects, the policy on use of the State’s investment capital prescribed in Clause 2, Article 17 of this Decree, and capacity to mobilize and balance the State’s investment capital for project implementation.

2. Competent persons defined in Article 27 of this Decree shall valuate the State’s investment capital for project implementation when approving feasibility study reports or project proposals (for group-C projects).

Article 13.Making of plans on the State’s investment capital for project implementation

1. Ministries, sectors and provincial-level People’s Committees shall make and incorporate plans on the State’s investment capital for implementation of projects to be announced under Article 18 of this Decree in five-year medium-term public investment plans of their sectors and localities.

2. Based on approved medium-term public investment plans, feasibility study reports or project proposals (for group-C projects), ministries, sectors and provincial-level People’s Committees shall make and incorporate plans on the State’s investment capital for implementation of projects in annual public investment plans of their sectors and localities.

3. The Ministry of Planning and Investment shall assume the prime responsibility for, and coordinate with the Ministry of Finance in, incorporating plans on use of the State’s investment capital for implementation of projects in national public investment plans.

Article 14.Disbursement of the State’s investment capital for project implementation

1. Disbursement of the State’s capital contribution to support construction of project works:

a/ The State’s capital contribution to support construction of project works specified at Point a, Clause 2, Article 11 of this Decree shall be disbursed after projects have construction volumes or values completed as agreed in project contracts;

b/ Based on completed construction volumes and values tested before acceptance by investors or project enterprises, competent state agencies shall make allocations and payments to such investors or project enterprises in proportion to the ratios, values, progress and conditions agreed in project contracts.

2. Disbursement of capital to be paid to investors under BTL or BLT contracts:

a/ Capital to be paid to investors providing services under BTL or BLT contracts and other similar contracts under Point b, Clause 2, Article 11 of this Decree shall be disbursed from the time of provision of services as agreed in project contracts;

b/ Payments under Point a of this Clause shall be made periodically based on the quantity and quality of services agreed in project contracts.

3. The use of land areas to create capital sources for payment to investors performing BT contracts shall be approved by competent agencies in accordance with the land law.

4. Disbursement of capital for construction of auxiliary facilities and payment of compensations, ground clearance and resettlement:

Capital for construction of auxiliary facilities and payment of compensations, ground clearance and resettlement specified at Point c, Clause 2, Article 11 of this Decree shall be used under regulations applicable to public investment projects.

5. The Ministry of Finance shall guide the implementation of this Article.

Chapter III

FORMULATION AND ANNOUNCEMENT OF PROJECTS

Section 1

PROJECTS PROPOSED BY MINISTRIES, SECTORS OR PROVINCIAL-LEVEL PEOPLE’S COMMITTEES

Article 15.Conditions for projects to be selected

1. A project to be selected for implementation in the form of public-private partnership must fully satisfy the following conditions:

a/ To be in line with the development master plan and plan of the sector or region and local socio-economic development plan;

b/ To be suitable to the investment field specified in Article 4 of this Decree;

c/ To be capable of attracting and receiving commercial capital, technologies and management experience of investors;

d/ To be capable of providing quality products or services in a continuous and stable manner to meet user demands;

dd/ To have a total investment capital of at least VND 20 billion, except investment projects under O&M contracts and projects prescribed at Point e, Clause 1, Article 4 of this Decree.

2. Projects not yet incorporated in development master plans and plans of sectors or regions and local socio-economic development plans shall be considered for additional incorporation by ministries, sectors or provincial-level People’s Committees according to their competence or submitted to competent authorities for approval.

3. Projects satisfying the conditions prescribed in Clause 1 of this Article and capable of recovering capital from business operation shall be selected first.

Article 16.Contents of project proposals

1. Ministries, sectors or provincial-level People’s Committees shall make project proposals for use as a basis for selection of investment projects in the form of PPP.

2. A project proposal must have the following principal contents:

a/ Necessity of investment; advantages of the implementation of the project in the form of PPP compared to other forms of investment; type of project contract;

b/ Conformity of the project with development master plans and plans and its satisfaction of the conditions prescribed in Clause 1, Article 15 of this Decree;

c/ Expected objectives, size and implementation location of the project; land and natural resource use demand;

d/ Preliminary analysis of technical requirements, standards and quality of project works, products or services to be provided;

dd/ Expected progress and period of project implementation; period of construction and operation of works; plan on organization of management, operation or service provision;

e/ Tentative general plan on compensation, ground clearance and settlement;

g/ Expected conditions for implementation of other projects (for projects implemented under BT contracts);

h/ Preliminary analysis of the financial plan of the project, including: total investment capital, structure of capital sources and mobilization plan; the State’s investment capital for project implementation (if any); expenses; revenues, prices and costs of goods and services; duration of capital recovery and profit generation;

i/ Preliminarily projected risks in the course of project implementation and division of risks between the competent state agency and investor;

k/ Proposed investment incentives and assurance (if any);

l/ Preliminarily projected socio-economic benefits of the project; impacts of the project on the environment, society, national defense and security;

m/ Other necessary contents.

3. For projects with construction components, in addition to the contents specified in Clause 2 of this Article, a project proposal must contain a preliminary design as prescribed by the construction law.

Article 17.Appraisal and approval of project proposals

1. Ministries, sectors and provincial-level People’s Committees shall organize the appraisal and approval of proposals of group-A, group-B and group-C projects. The order and procedures for elaboration, appraisal and approval of proposals of national important projects must comply with the law on public investment.

2. For projects using the State’s investment capital, based on capital levels and sources expected to be used, ministries, sectors and provincial-level People’s Committees shall report them to competent agencies designated by the law on public investment for decision on use policy before approving project proposals.

3. A proposal dossier for approval of the policy on use of the State’s investment capital for implementation of a project must comprise:

a/ A written request for use of the State’s investment capital for the project implementation;

b/ Project proposal;

c/ A competent agency’s appraisal of capital sources and ability to allocate the State’s investment capital for the project implementation.

4. The time limit for approving the policy on use of the State’s investment capital for implementation of a project specified in Clause 2 of this Article is 30 days after the receipt of a complete dossier prescribed in Clause 3 of this Article.

Article 18.Announcement of projects

1. Within 7 working days after a project proposal is approved, the ministry, sector or provincial-level People’s Committee shall announce the project or list of projects on the national bidding network in accordance with the bidding law.

2. To-be-announced details of a project include:

a/ Name of the project and type of the project contract;

b/ Objectives, size and implementation location of the project and other projects (if any);

c/ Summarized technical requirements, standards and quality of project works, products or services to be provided;

d/ Expected total investment capital; the State’s investment capital for the project implementation (if any);

dd/ Tentative schedule and period of project implementation, including periods of making the feasibility study report, selection of investors, construction, completion and commissioning of works;

e/ Updated information on the project implementation under Point dd of this Clause;

g/ Contact address of the competent state agency.

Article 19.Change of the form of investment for projects with public investment capital

1. Projects invested with public investment capital sources may be considered for change of their form of investment for implementation in the form of public private partnership if satisfying the conditions prescribed in Clause 1, Article 15 of this Decree.

2. The Ministry of Planning and Investment shall guide procedures for changing the form of investment under Clause 1 of this Article.

Section 2

PROJECTS PROPOSED BY INVESTORS

Article 20.Conditions for projects to be proposed

1. Investors may propose implementation of projects other than projects or outside the lists of projects approved and announced by ministries, sectors and provincial-level People’s Committees under Section 1 of this Chapter.

2. Projects proposed by investors must satisfy the following requirements:

a/ The conditions prescribed in Clause 1, Article 15 of this Decree;

b/ Investors being state enterprises enter into partnerships with other enterprises for proposing projects.

Article 21.Project proposal dossiers of investors

1. Investors shall make project proposal dossiers and send them to ministries, sectors and provincial-level People’s Committees.

2. A project proposal dossier must comprise:

a/ Written proposal on project implementation;

b/ Project proposal (including the contents specified in Clauses 2 and 3, Article 16 of this Decree);

c/ Documents certifying the legal status, capacity and experience of the investor;

d/ Experience from the implementation of similar projects (if any);

dd/ Other necessary documents to explain the project proposal (if any).

Article 22.Appraisal and approval of project proposals of investors

1. An investor’s project proposal shall be appraised and approved under Article 17 of this Decree within 30 days after the receipt of a complete dossier.

2. The Ministry of Planning and Investment shall guide this Article.

Article 23.Announcement of project proposals of investors

1. If project proposals of investors are approved, ministries, sectors or provincial-level People’s Committees shall announce these proposals and information on investors proposing projects under Article 18 of this Decree.

2. For project proposals with contents related to intellectual property rights, trade secrets, technological know-how or agreements on mobilization of capital for project implementation which are to be kept confidential, investors shall reach agreement with ministries, sectors and provincial-level People’s Committee on contents to be announced.

Chapter IV

ELABORATION, APPRAISAL AND APPROVAL OF
FEASIBILITY STUDY REPORTS

Article 24.Responsibility to elaborate feasibility study reports

1. Ministries, sectors and provincial-level shall organize the elaboration of feasibility study reports of projects to serve as a basis for compiling bidding dossiers for selection of investors and negotiation on project contracts.

2. For projects proposed by investors and approved under Article 22 of this Decree, ministries, sectors and provincial-level People’s Committees shall assign investors to elaborate feasibility study reports.

3. Investors shall be assigned to elaborate feasibility study reports on the basis of written agreements between them and ministries, sectors or provincial-level People’s Committees. Such a written agreement must specify objectives and requirements of and expenses for the elaboration of the feasibility study report, expenses for hiring independent appraisal consultants and principles for handling cases in which another investor is selected for project implementation.

Article 25.Contents of feasibility study reports

1. A feasibility study report of a project must have the following principal contents:

a/ Detailed analysis of the necessity of investment and advantages of the project implementation in the PPP form compared to other forms of investment; type of the project contract;

b/ Assessment of conformity of the project with the development master plan and plan and satisfaction of the conditions prescribed in Clause 1, Article 15 of this Decree;

c/ Objectives, size and components (if any) and implementation location of the project; land and natural resource use demands;

d/ Explanations about techniques and technologies to meet quality requirements of project works, products or services to be provided;

dd/ Assessment of the actual state of works, machinery and equipment and valuation of assets (for O&M contracts); conditions for implementation of other projects (for BT contracts);

e/ Implementation schedule and period of the project; period of construction and operation of works; management organization, business or service provision plan;

g/ General plan on compensation, ground clearance and resettlement;

h/ Financial plan of the project (including the contents specified at Point h, Clause 2, Article 16 of this Decree);

i/ Capacity to mobilize capital for project implementation; assessment of demand and payment capacity of the market; survey of investors’ and lenders’ interest in the project;

k/ Analysis of risks and responsibility of parties for risk management in the course of project implementation;

l/ Proposed investment incentives and assurance (if any);

m/ Socio-economic benefits and impacts of the project on the environment, society, national defense and security.

2. For projects with construction components, in addition to the contents specified in Clause 1 of this Article, feasibility study reports must have also basic designs as prescribed by the construction law.

3. Group-C projects are not required to have feasibility study reports but must have basic designs and financial plans in their project proposals to serve as a basis for selection of investors and negotiation on project contracts.

4. Ministries and sectors shall coordinate with the Ministry of Planning and Investment in guiding in detail contents of feasibility study reports to meet their project implementation and management requirements.

Article 26.Appraisal of feasibility study reports

1. Competence to appraise feasibility study reports:

a/ The State Appraisal Council shall appraise projects of national importance;

b/ Ministers, heads of ministerial-level agencies and chairpersons of provincial-level People’s Committees shall assign coordinating units in charge of PPP management to organize the appraisal of group-A and group-B projects.

2. A feasibility study report appraisal dossier must comprise:

a/ A report on project appraisal;

b/ A feasibility study report;

c/ Relevant documents and legal documents.

3. Appraisal contents:

a/ Necessity of the project implementation: Conformity of the project with the development master plan and plans of the sector, region and locality; urgency and advantages of the project implementation in the PPP form compared to other forms of investment;

b/ Assessment of basic elements of the project: Objectives and conformity of size and implementation location of the project; designing, technical and technological requirements; management and business organization or service provision plan;

c/ Feasibility of the project: Financial plan of the project, ability to mobilize resources for project implementation; land use, ground clearance and natural resource use demands; capacity to provide goods or services and implementation solutions to meet demands, payment capability of users; risks in the course of project construction, operation and management and measures to prevent and minimize risks; interest of investors and lenders in the project;

d/ Project effectiveness: Results and contributions of the project to socio-economic development tasks; environmental, social, national defense and security impacts of the project;

dd/ Other necessary contents.

4. Time limit for appraisal of a feasibility study report:

a/ For projects of national importance: 90 days;

b/ For group-A projects: 40 days;

c/ For group-B projects: 30 days.

5. Appraising agencies may hire consultants to appraise one, several or all of the contents specified in Clause 3 of this Article.

Article 27.Competence to approve feasibility study reports

1. The Prime Minister shall approve feasibility study reports of projects of national importance.

2. Ministers, heads of ministerial-level agencies and chairpersons of provincial-level People’s Committees shall approve feasibility study reports of group-A and group-B projects, except projects funded by ODA or concessional loans of foreign donors in the fields of security, national defense and religion.

Article 28.Adjustment of feasibility study reports

1. A feasibility study report shall be considered and adjusted in the following cases:

a/ The project is affected by a natural disaster or anotherforce majeureevent;

b/ There appear elements that may bring about higher effectiveness for the project;

c/ The master plan changes, directly affecting the objectives, location and size of the project;

d/ The project fails to attract investors after the market survey, prequalification or bidding is organized to select investors;

dd/ Other cases as decided by the Prime Minister.

2. Procedures for appraising, approving or adjusting feasibility study reports must comply with Articles 26 and 27 of this Decree.

Chapter V

SELECTION OF INVESTORS AND SIGNING OF INVESTMENT AGREEMENTS AND PROJECT CONTRACTS

Article 29.Selection of investors

1. Investors shall be selected in the form of open bidding or contractor appointment.

2. Investors may enjoy incentives in the course of bidding for investor selection when having feasibility study reports or project proposals (for group-C projects) approved by ministries, sectors or provincial-level People’s Committees.

3. Conditions and procedures for selection of investors and provision of incentives to investors in the course of bidding for investor selection must comply with the bidding law.

Article 30.Signing of investment agreements

1. Competent state agencies shall hold negotiations on project contracts with investors selected under Article 29 of this Decree (below collectively referred to as parties).

2. After the negotiation on a project contract is concluded, the competent state agency and investor shall sign an investment agreement to confirm the following:

a/ Draft project contract;

b/ Rights and obligations of each party to carry out the procedures prescribed in Articles 40 and 42 of this Decree to be granted an investment registration certificate and establish a project enterprise;

c/ Other contents agreed upon by the parties.

Article 31.Signing of project contracts

1. After an investment registration certificate is granted to a project under Clause 3, Article 40 of this Decree, the competent state agency and investor shall sign a project contract.

2. For a group-C project, after the negotiation on project contract is concluded, the competent state agency and investor shall sign a project contract.

3. Rights and obligations of a project enterprise may be agreed upon by either of the following methods:

a/ The project enterprise signs the project contract to join the investor in forming a party to the project contract;

b/ The competent state agency, investor and project enterprise sign a document permitting the project enterprise to receive and exercise rights and perform obligations of the investor prescribed in the investment registration certificate and project contract. This document constitutes an integral part of the project contract.

Article 32.Contents of project contracts

1. Based on objectives, nature and type of a project contract, parties to the contract shall agree on all or several of the following principal contents:

a/ Objectives, size, implementation location, period and schedule of the project; period of construction of project works;

b/ Technical, technological and quality requirements of project works; products or services to be supplied or provided by the project;

c/ Total investment capital and financial plan of the project;

d/ Conditions for, ratio and schedule of disbursement of the State’s investment capital for the project implementation (if any);

dd/ Conditions for use of land and related works;

e/ Payment of compensation, ground clearance and resettlement;

g/ Construction, inspection, supervision, quality control, pre-acceptance test and financial finalization of the project;

h/ Assessment, operation, maintenance and commercial operation of project works; transfer of works;

i/ Safety assurance and environmental protection;

k/ Conditions and procedures for receipt of the project by the lender or designated organization;

l/ Division of risks between the competent state agency and investor;force majeureevents and principles to deal with these events;

m/ Investment incentives and guarantees (if any);

o/ Validity and term of the project contract;

p/ Principles and conditions for modification, supplementation or termination of the project contract; transfer of rights and obligations under the project contract

q/ Other contents as agreed upon by the contract parties.

2. Documents enclosed with a project contract (if any) include annexes and other documents and papers which constitute an integral part of the project contract.

3. Based on the types of project contracts prescribed in Clauses 3, 4, 5, 6, 7, 8 and 9, Article 3 of this Decree, ministries, sectors and provincial-level People’s Committees may propose other similar types of contract to the Prime Minister for consideration and decision.

4. Pursuant to Clause 1 of this Article, ministries and sectors shall coordinate with the Ministry of Planning and Investment in guiding in detail contents of project contracts to meet their project implementation and management requirements.

Article 33.The right of lenders to receive projects

1. Lenders have the right to receive or designate capable organizations to receive several or all of rights and obligations of investors or project enterprises (below referred to as the right to receive projects) in case investors or project enterprises cannot perform obligations stated in project contracts or loan contracts.

2. Agreements on the right to receive projects shall be made in writing between lenders and competent state agencies or parties to project contracts. Lenders and competent state agencies shall decide on the time of signing agreements on the right to receive projects.

3. After receiving projects, lenders or organizations designated by lenders shall fully perform corresponding obligations of investors or project enterprises under project contracts and agreements on the right to receive projects.

Article 34.Transfer of rights and obligations under project contracts

1. An investor may transfer several or all of its rights and obligations under the project contract to the lender or another investor.

2. The transfer of several or all of rights and obligations under a project contract must not affect objectives, size, technical standards and implementation schedule of the project and must meet investment and business conditions prescribed by the investment law and other conditions agreed upon in the project contract.

3. An agreement on transfer prescribed in Clause 1 of this Article shall be made in writing and signed by the parties to the project contract and the transferee. The lender may participate in the negotiation on transfer agreement under the loan contract.

Article 35.Modification and supplementation of project contracts

A project contract may be modified or supplemented due to a change in the agreed size, technical standards of works or total investment capital or aforce majeureevent or adjustment of the feasibility study report under Article 28 of this Decree or in other cases specified in the project contract.

Article 36.Term of project contracts

1. The term of a project contract shall be agreed upon by contract parties to suit the field, size, nature and type of the project contract.

2. A project contract shall be invalidated upon the expiration of its agreed term or immaturely due to the fault or violation of one of the contract parties without any effective remedies, to aforce majeureevent, or in one of the cases specified in the project contract.

3. Contract parties shall sign an agreement on conditions for termination of the project contract and handling measures upon the termination of the project contract.

Article 37.Application of foreign laws

1. Parties signing project contracts may reach agreement on application of foreign laws to regulate the following contracts:

a/ Project contracts to which a party is a foreign investor;

b/ Contracts under which obligations are guaranteed by the Government under Article 57 of this Decree.

2. Agreements on application of foreign laws prescribed in Clause 1 of this Article must not be contrary to the provisions of Vietnamese law on selection and application of foreign laws.

Article 38.Security for performance of project contracts

Competent state agencies and investors shall agree on the form, value and validity term of security for performance of project contracts in accordance with the bidding law.

Chapter VI

PROCEDURES FOR INVESTMENT REGISTRATION AND ESTABLISHMENT OF PROJECT ENTERPRISES

Article 39.Competence to grant, modify and revoke investment registration certificates

1. The Ministry of Planning and Investment may grant, modify and revoke investment registration certificates for the following projects:

a/ Projects of national importance;

b/ Projects of which project contracts may be signed by ministries, sectors or state agencies authorized by ministries or sectors;

c/ Projects to be implemented in two or more provinces or centrally run cities.

2. Provincial-level People’s Committees may grant, modify and revoke investment registration certificates for projects other than those specified in Clause 1 of this Article.

3. For group-C projects, it is not required to carry out procedures for grant of investment registration certificates.

Article 40.Dossiers and procedures for grant, modification or revocation of investment registration certificates

1. A dossier of application for an investment registration certificate must comprise:

a/ Application for an investment registration certificate;

b/ Investment agreement and draft project contract;

c/ Feasibility study report and project approval decision;

d/ Written approval of the policy on use of the State’s investment capital for the project implementation (if any);

dd/ Joint-venture contract and draft charter of the project enterprise (if any);

e/ Investor selection decision.

2. The investor shall submit 5 dossier sets, including at least one original set, to an agency specified in Article 39 of this Decree.

3. The agencies specified in Article 39 of this Decree shall grant an investment registration certificate within 25 days after receiving a valid dossier.

4. The Ministry of Planning and Investment shall prescribe in detail dossiers and procedures for grant, modification and revocation of investment registration certificates.

Article 41.Contents of investment registration certificates

1. An investment registration certificate must have the following principal contents:

a/ Name and address of the investor;

b/ Name of the project;

c/ Objectives, size, requirements and conditions for the project implementation (if any);

d/ Project implementation location and land use area;

dd/ Total investment capital of the project; structure of capital sources;

e/ Project implementation period and schedule;

g/ Value, ratio and schedule of and conditions for disbursement of the State’s investment capital for the project implementation (if any);

h/ Investment incentives (if any).

2. For BT projects, in addition to contents of projects on construction of infrastructure facilities prescribed in Clause 1 of this Article, investment registration certificates must specify conditions for implementation of other projects.

3. For other projects, procedures for grant of investment registration certificates shall be carried out in accordance with the investment law.

Article 42.Establishment of project enterprises

1. After obtaining investment registration certificates, investors shall establish enterprises to implement their projects suitable to objectives and scope of operation agreed upon in project contracts. Dossiers and procedures for establishment of project enterprises must comply with the law on enterprises.

2. For projects implemented under BT contracts or group-C projects, investors may decide to establish project enterprises under Clause 1 of this Article or directly implement their projects but shall independently manage and account investment capital and activities of their projects.

Chapter VII

IMPLEMENTATION OF PROJECTS

Article 43.Conditions for implementation of projects

1. Projects shall be implemented under conditions agreed upon in project contracts after investors obtaining investment registration certificates.

2. Group-C projects shall be implemented after project contracts are signed.

3. Other projects shall be implemented upon or after the completion of infrastructure facilities as agreed or contracted.

Article 44.Selection of contractors to implement projects

Investors and project enterprises shall issue regulations on selection of consultancy, goods provision, construction contractors and other contracts in a fair, transparent and economically efficient manner for uniform application in the course of project implementation.

Article 45.Preparation of construction grounds

1. Provincial-level People’s Committees shall organize the ground clearance and complete procedures for land allocation or land lease for project implementation in accordance with the land law, project contracts and related contracts.

2. Competent state agencies shall coordinate with provincial-level People’s Committees in performing the responsibility prescribed in Clause 1 of this Article.

Article 46.Making of construction designs

1. Based on feasibility study reports and provisions of project contracts, investors or project enterprises shall make technical designs and send them to competent state agencies for supervision and inspection. Any change in a technical design which affects the size, technical standards and implementation progress of a project shall be approved in writing by a competent state agency.

2. The examination of construction designs must comply with the construction law.

Article 47.Supervision of performance of project contracts

1. Investors or project enterprises shall take responsibility for quality of works and services of their projects; supervise and manage by themselves the construction and pre-acceptance test of work items and the whole works according to designs and business plans prescribed in project contracts or hire independent consultancy organizations to do so.

2. Competent state agencies shall supervise the performance of obligations of investors or project enterprises under project contracts.

3. In case of necessity, competent state agencies shall hire capable consultancy organizations to assist them in performing the duty prescribed in Clause 2 of this Article.

Article 48.Supervision of quality of works

1. When supervising the quality of works to be transferred to the State after they are completed, in addition to the duties defined in Article 47 of this Decree, state agencies shall:

a/ Monitor the supervision of the construction of works according to requirements in project contracts;

b/ Monitor the compliance with processes, standards and regulations on management and operation of works under project contracts;

c/ Inspect the quality of construction work parts and items and whole construction works upon suspicion about their quality or at the request of state management agencies;

d/ Request investors to order contractors to rectify or stop the construction when finding that the quality of performed jobs is unsatisfactory.

2. The supervision of quality of BT projects shall be conducted according to procedures applicable to public investment projects.

3. The Ministry of Construction shall guide the implementation of this Article.

Article 49.Management and commercial operation of project works

1. Investors or project enterprises shall manage and commercially operate project works or implement other projects under conditions agreed upon in project contracts.

2. In the course of commercial operation of works or provision of services, project enterprises shall:

a/ Provide products or services and perform other obligations under requirements and conditions agreed upon in project contracts;

b/ Guarantee the use of works under conditions provided in project contracts;

c/ Treat equally all users of products or services which they provide; refrain from using the right to commercially operate works to refuse to provide services to users;

d/ Repair, regularly maintain, and ensure safe operation of, works according to designs or processes committed in project contracts.

Article 50.Goods prices, service charges and revenues

1. Goods prices, service charges and other revenues and conditions and procedures for adjustment of such prices or charges shall be agreed upon in project contracts on the principle of ensuring interests of investors, project enterprises, users and the State, and creating conditions for investors to recover capital and generate profits.

2. The agreement on and adjustment of goods prices, service charges and other revenues subject to state management must comply with regulations on prices and charges and conditions prescribed in project contracts.

3. Thirty days before adjusting goods prices, service charges and other revenues under Clauses 1 and 2 of this Article, investors or project enterprises shall notify such to competent state agencies and users of goods and services.

Article 51.Assistance for collection of service charges

Investors or project enterprises may be provided with favorable conditions to properly and fully collect goods prices, service charges and revenues, and assisted by competent state agencies in collecting service charges and other revenues.

Article 52.Supervision and evaluation of investment, financial publicity

1. The supervision and evaluation of projects must comply with the law on supervision and evaluation of investment and agreements in project contracts.

2. Investors or project enterprises shall make public their financial statements and auditing reports in accordance with law and agreements in project contracts.

Chapter VIII

FINANCIAL FINALIZATION AND TRANSFER OF
PROJECT WORKS

Article 53.Financial finalization of project works

1. Within 6 months after the completion of a project work, an investor shall make the finalization of investment capital for work construction.

2. Competent state agencies shall reach agreement with investors on selection of independent audit firms which are capable and experienced for auditing the value of investment capital for construction of project works.

3. The Ministry of Finance shall guide the provisions of this Article on finalization of the value of project works.

Article 54.Transfer of project works

1. For project contracts containing provisions on transfer of project works, competent state agencies and investors shall agree in project contracts on conditions and procedures for transfer.

2. The transfer of a project work shall be conducted under the following conditions and procedures:

a/ One year before the date of transfer or within a time limit agreed upon in the project contract, the investor or project enterprise shall announce on a newspaper the transfer of the work, procedures and time limit for liquidation of the contract and payment of debts;

b/ The competent state agency shall assess the quality, value and state of the work under agreement in the project contract, draw up a list of assets to be transferred, identify damage (if any) and request the project enterprise to repair and maintain the work;

c/ The investor or project enterprise shall ensure that transferred assets are not used to secure the performance of a financial obligation or other obligations of the investor or project enterprise arising before the time of transfer, unless otherwise agreed in the project contract;

d/ The project enterprise shall transfer technology, train and provide regular maintenance and overhaul of the work to ensure technical conditions for its normal operation as required by the project contract;

dd/ After receiving the project work, the competent state agency shall manage and operate the work according to its functions and competence.

Chapter IX

INVESTMENT INCENTIVES AND ASSURANCE

Article 55.Investment incentives

1. Investors or project enterprises are entitled to incentives in enterprise income tax in accordance with the law on enterprise income tax.

2. Goods imported for project implementation are eligible for incentives in accordance with the law on import duty and export duty.

3. Investors or project enterprises are entitled to land use levy exemption and reduction for land areas assigned by the State or land rental exemption or reduction during the project implementation in accordance with the land law.

4. Investors or project enterprises may enjoy other incentives prescribed by law.

Article 56.Taxes for contractors involved in project implementation

Foreign contractors and domestic contractors participating in the implementation of projects shall perform tax obligations and enjoy tax incentives prescribed by law.

Article 57.Guarantee for obligations of investors, project enterprises and other enterprises

Based on the nature and implementation requirements of projects, the Prime Minister shall designate agencies to guarantee on behalf of the Government the provision of fuels, sale of products or services and other contractual obligations for investors, project enterprises or other enterprises participating in the project implementation and obligations of state enterprises selling fuels and materials or purchasing products or services from investors or project enterprises.

Article 58.Mortgage of assets and the right to commercially operate project works

1. Investors or project enterprises may mortgage assets, land use rights and the right to commercially operate project works to lenders in accordance with the land and civil laws. The mortgage period must not exceed the term of the project contract, unless it is otherwise agreed upon in the project contract.

2. An agreement on mortgage of assets and the right to commercially operate project works shall be established in writing and signed by the lender and parties to the project contract.

3. The mortgage of assets and the right to commercially operate project works must not affect objectives, size, technical standards and implementation schedule of projects and other conditions agreed upon in project contracts.

Article 59.Assurance of the exercise of land use rights

The land use purpose of a project shall be kept unchanged throughout the period of performance of the project contract, even in case the lender exercises the right to receive the project under Article 33 of this Decree.

Article 60.Assurance of foreign currency balance

1. Investors or project enterprises may purchase foreign currencies from credit institutions licensed to carry out foreign exchange activities to meet their demands for current transactions, capital transactions and other transactions or transfer capital, profits and investment liquidations abroad in accordance with the law on foreign exchange management.

2. For projects falling under the National Assembly’s competence to decide on investment policy, projects on construction of infrastructure facilities under the Government’s investment programs and other important projects as decided by the Prime Minister, their foreign currency demands may be considered and met for conducting the transactions mentioned in Clause 1 of this Article.

3. Based on socio-economic development orientations, foreign exchange management policies, foreign currency balancing capability in each period and objectives and nature of projects, the Prime Minister shall decide on and designate agencies to assure foreign currency balance for the projects specified in Clause 2 of this Article based on proposals of ministries, sectors and localities.

Article 61.Assurance of provision of public services

1. Investors or project enterprises may use land, roads and other auxiliary facilities to implement their projects in accordance with law.

2. In case of scarcity of public services or limitations on subjects eligible to use public works, investors or project enterprises shall be given priority in using these public services or works to implement their projects.

3. Competent state agencies shall support investors or project enterprises in carrying out necessary procedures to get priority in using public services and works.

Article 62.Assurance of asset ownership

1. Lawful assets of investors shall be by no means nationalized or confiscated by administrative measures.

2. In case the State compulsorily purchases or requisitions assets for the national defense or security purpose, for the national interest, in a state of emergency or in response to a natural disaster, investors are entitled to payments or compensations in accordance with the investment law, the law on compulsory purchase and requisition of assets and conditions agreed upon in project contracts.

Article 63.Settlement of disputes

1. Disputes between competent state agencies and investors or project enterprises and disputes between project enterprises and economic organizations participating in the project implementation shall be settled first of all through negotiation or reconciliation. In case of unsuccessful negotiation or reconciliation, parties may bring disputes to a Vietnamese arbitration or court for settlement in accordance with Vietnamese law, except the cases specified in Clauses 2 and 3 of this Article.

2. Disputes between competent state agencies and foreign investors or project enterprises established by foreign investors under Article 42 of this Decree in the course of performance of project contracts and guarantee contracts under Article 57 of this Decree shall be settled by a Vietnamese arbitration or court or an arbitration council established under agreement of parties.

3. Disputes between project enterprises and foreign organizations or individuals or Vietnamese economic organizations and disputes between investors shall be settled in accordance with the Investment Law.

4. Disputes which may be settled via arbitration under project contracts and relevant contracts are commercial ones. Awards of foreign arbitrations shall be recognized and enforced in accordance with the law on recognition and enforcement of foreign arbitral awards.

Chapter X

RESPONSIBILITY FOR STATE MANAGEMENT OF
INVESTMENT IN THE FORM OF PUBLIC-PRIVATE PARTNERSHIP

Article 64.Responsibilities of the Ministry of Planning and Investment

1. To assist the Government in uniformly managing investment in the form of public-private partnership nationwide.

2. To assume the prime responsibility for, and coordinate with related ministries and sectors in, guiding the implementation of regulations on management and use of funding sources in support of investment preparation; procedures for change of form of investment of projects funded with public investment capital; dossiers and procedures for approving project proposals of investors; dossiers and procedures for grant, modification and revocation of investment registration certificates; use of the State’s investment capital for project implementation; transfer of rights and obligations under project contracts and other issues falling under its competence provided in this Decree.

3. To examine and submit to the Prime Minister for consideration and decision on other similar types of project contracts as proposed by ministries, sectors and provincial-level People’s Committees.

4. To assume the prime responsibility for, and coordinate with the Ministry of Finance in, summarize plans on use of the State’s investment capital for project implementation; to manage funding sources in support of investment preparation.

5. To coordinate with the Ministry of Finance in guiding the disbursement of the State’s investment capital for project implementation.

6. To grant, modify and revoke investment registration certificates for projects under its competence; to appraise the State’s investment capital sources for project implementation according to its competence; to give its opinions on issues falling under its functions and competence at the request of ministries, sectors and provincial-level People’s Committees.

7. To assume the prime responsibility for, and coordinate with ministries, sectors and provincial-level People’s Committees in, examining proposals on application of other forms of investment assurance not provided in this Decree.

8. To assume the prime responsibility for, and coordinate with ministries, sectors and provincial-level People’s Committees in, supervising, examining, inspecting and reviewing and evaluating the project implementation nationwide.

9. To develop and manage national information systems and databases on investment in the form of public-private partnership.

10. To organize training and building of capacity for implementation of investment projects in the form of public-private partnership.

11. To perform other duties and exercise other powers prescribed by law.

Article 65.Responsibilities of the Ministry of Finance

1. To guide the use of expenses for investment preparation and implementation of projects of ministries, sectors and provincial-level People’s Committees; mechanism for implementation of investment projects under BT contracts; financial plans of projects; financial finalization of project works, and other related issues falling under its competence provided in this Decree.

2. To assume the prime responsibility for, and coordinate with the Ministry of Planning and Investment in, guiding the disbursement of the State’s investment capital for project implementation.

3. To coordinate with the Ministry of Planning and Investment in making plans on use of the State’s investment capital for project implementation and managing funding sources in support of investment preparation.

4. To give its opinions on investment assurance measures and incentives for projects.

5. To give its opinions on issues falling under its functions and competence at the request of ministries, sectors and provincial-level People’s Committees.

6. To synthesize and assess data on public debts of projects and financial obligations of the Government.

7. To perform other duties and exercise other powers prescribed by law.

Article 66.Responsibilities of the Ministry of Justice

1. To give legal opinions on project contracts, guarantee documents of the Government and documents relevant to projects signed by state agencies.

2. To participate in negotiations on issues related to applicable laws, settlement of disputes, government guarantee and other legal issues of project contracts and relevant contracts at the request of ministries, sectors and provincial-level People’s Committees.

3. To perform other duties and exercise other powers prescribed by law.

Article 67.Responsibilities of the State Bank of Vietnam

1. To give opinions on the capability to ensure the foreign currency balance for projects at the request of ministries, sectors and provincial-level People’s Committees; to summarize foreign currency demands of projects and manage the State’s foreign exchange reserves to ensure the foreign currency balance for projects.

2. To participate in the examination of issues falling under its functions and competence at the request of ministries, sectors and provincial-level People’s Committees.

3. To perform other duties and exercise other powers prescribed by law.

Article 68.Responsibilities of the Ministry of Construction

1. To guide the implementation of regulations of project management units on supervision and management of quality of project works and norms of operation expenses.

2. To participate in the examination of issues falling under its functions and competence at the request of ministries, sectors and provincial-level People’s Committees.

3. To perform other duties and exercise other powers prescribed by law.

Article 69.Responsibilities of other ministries and sectors

1. To perform the state management of investment in the form of public-private partnership in fields under their management.

2. To formulate and announce projects under their management.

3. To assume the prime responsibility for, and coordinate with the Ministry of Planning and Investment in, guiding the provisions of this Decree assigned to them.

4. To give their opinions on issues falling under their respective functions and powers at the request of ministries, sectors and provincial-level People’s Committees.

5. To summarize and evaluate the implementation of projects under their management.

6. To propose the Prime Minister for consideration and decision the application of other forms of investment guarantee not prescribed in this Decree.

7. To perform other duties and exercise other powers prescribed by law.

Article 70.Responsibilities of provincial-level People’s Committees

1. To perform the state management of investment in the form of public-private partnership in their localities as decentralized by the Government.

2. To formulate and announce projects of their localities.

3. To examine, grant, modify or revoke investment registration certificates for projects under their competence.

4. To give opinions on issues falling under their respective functions and competence at the request of ministries, sectors and provincial-level People’s Committees.

5. To review and evaluate the implementation of projects under their respective management.

6. To assume the prime responsibility for, and coordinate with competent state agencies in, organizing ground clearance for project implementation.

7. To propose the Prime Minister for consideration and decision the application of forms of investment assurance not prescribed in this Decree.

8. To perform other duties and exercise other powers prescribed by law.

Chapter XI

IMPLEMENTATION PROVISIONS

Article 71.Effect

1. This Decree takes effect on April 10, 2015.

2. The following decrees and decisions cease to be effective on the effective date of this Decree:

a/ The Government’s Decree No. 108/2009/ND-CP of November 27, 2009, on investment in the form of BOT, BTO and BT contracts;

b/ The Government’s Decree No. 24/2011/ND-CP of April 5, 2011, amending a number of articles of Decree No. 108/2009/ND-CP of November 27, 2009, on investment in the form of BOT, BTO and BT contracts;

c/ The Prime Minister’s Decision No. 71/2010/QD-TTg of November 9, 2010,  promulgating the Regulation on pilot implementation of investment in the form of public-private partnership.

Article 72.Transitional provisions

1. Lists of projects announced before the effective date of this Decree shall be revised and re-approved under this Decree, unless they have been approved by the Prime Minister.

2. Feasibility study reports approved before the effective date of this Decree are not required to be re-approved under this Decree.

3. Projects for which decisions approving investor selection results are issued before the effective date of this Decree are not required to select investors again under this Decree.

4. Re-negotiations on project contracts initialed before the effective date of this Decree are not required.

5. Projects for which investment registration certificates are granted or project contracts are officially signed before the effective date of this Decree may continue to be implemented under such investment registration certificates and project contracts.

6. Projects for which written commitments or approvals of the Prime Minister or ministries, sectors or provincial-level People’s Committees on use of the State’s investment capital for project implementation, investment incentives or guarantees and other issues related to the project implementation are made before the effective date of this Decree may continue to comply with such documents.

7. Other cases shall be implemented under decisions of the Prime Minister as proposed by the Ministry of Planning and Investment.

Article 73.Organization of implementation

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, and chairpersons of provincial-level People’s Committees shall, within the ambit of their respective functions and powers, guide and implement this Decree.

On behalf of the Government
Prime Minister
NGUYEN TAN DUNG