Directive 30/CT-TTg 2021 intensifying the implementation of legal documents on investment in the form of PPP and bidding for investor selection

DIRECTIVE

On intensifying the implementation of legal documents on investment in the form of public-private partnership and bidding for investor selection^[1]

The Law on Investment in the Form of Public-Private Partnership (below referred to as PPP Law) was passed by the XIV^th National Assembly at its 9^th session (and came into force on January 1, 2021). In furtherance of the PPP Law, the Government promulgated Decree No. 35/2021/ND-CP of March 29, 2021, detailing and guiding the PPP Law (below referred to as Decree No. 35/2021/ND-CP). Besides, the Government promulgated Decree No. 31/2021/ND-CP of March 26, 2021, detailing and guiding the implementation of a number of articles of the 2020 Law on Investment (below referred to as Decree No. 31/2021/ND-CP) which contain provisions revising a number of articles of the Government’s Decree No. 25/2020/ND-CP of February 28, 2020, detailing a number of articles of the Bidding Law regarding investor selection (below referred to as Decree No. 25/2020/ND-CP).

Over the past time, the promulgation of the above-mentioned legal documents, together with the implementation of other relevant legal documents, has created a consistent and stable legal framework of high validity to attract investment from the private sector in projects on socio-economic infrastructure development and public service provision, especially projects on construction of transport infrastructure facilities, energy generation, urban infrastructure, wastewater treatment, and waste disposal, etc.; and at the same time, enhanced transparency, competitiveness and economic efficiency in selection of investors to implement land-using investment projects, as well as the efficiency of use of land resources.

However, the implementation of legal documents on investment in the form of public-private partnership (PPP) and bidding for investor selection still reveals some limitations. Regulations on bidding for investor selection in a number of specialized sectors are not promptly issued; the formulation, approval, and publicization of lists of land-using investment projects under Decree No. 25/2020/ND-CP are not carried out in a positive, prompt and effective manner in consistency with relevant master plans and lists of projects subject to land recovery by the State, resulting in confusion and difficulties in determination of the form of investor selection and performance of procedures for approval of investment policy; some ministries, sectors and localities still fail to determinedly organize online bidding according to the roadmap specified in the Government’s Resolution No. 01/NQ-CP of January 1, 2021; public information and awareness raising work remains ineffective, leading to failure to reach high consensus and unified understanding and application of the model of investment project in the form of PPP and bidding for selection of investors to implement land-using projects, projects of specialized sectors, and socialized projects.

In order to further improve and intensify the implementation of policies and laws on investment in the form of PPP and bidding for investor selection, the Prime Minister requests ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees, and related organizations to focus on directing the implementation of the following tasks in a synchronous and effective manner:

I. TASKS ASSIGNED BY THE GOVERNMENT IN ARTICLE 93 OF DECREE NO. 35/2021/ND-CP:

1. The Ministry of Finance shall promulgate a circular guiding the management and use of expenses and collected amounts during the process of investor selection; and coordinate with ministries and ministerial-level agencies in guiding the frame of return on equity of investors and forms of project contracts; such work must be completed in the fourth quarter of 2021.

2. The Ministry of Transport shall promptly promulgate a circular guiding investment projects in the form of PPP in the transport sector (containing provisions on the BOT contract form) for unified application to major transport projects; such work must be completed in the first quarter of 2022.

3. In the course of making reports on the situation of investment in the form of PPP in 2021 under Clause 1, Article 6 of Decree No. 35/2021/ND-CP, the Ministry of Planning and Investment shall review and evaluate the implementation of investment in the form of PPP over the past time and, on that basis, propose tasks and solutions in the upcoming time so as to bring into play the leading role of public investment, and activate and mobilize all social sources; such work must be completed in the third quarter of 2022.

4. Ministries and minister-level agencies shall assume the prime responsibility for guiding in detail contents of investment in the form of PPP in the fields under their management, including contents in prefeasibility study reports and feasibility study reports, and detailed contents on criteria and methods for evaluation of bid dossiers and project contract forms suitable to requirements for implementation of projects of their sectors and fields, and agencies responsible for design appraisal in accordance with specialized laws, and other necessary contents specified in Decree No. 35/2021/ND-CP; such work must be completed in the second quarter of 2022.

5. For the sectors of water drainage, wastewater treatment, and waste disposal, the Ministry of Natural Resources and Environment shall reach agreement with the Ministry of Construction on the agency in charge of promulgating a circular guiding in detail contents of investment in the form of PPP, and report it to the Prime Minister before December 31, 2021. Based on the Prime Minister’s direction, the assigned agency shall promulgate the circular in the second quarter of 2022.

II. TASKS ASSIGNED BY THE GOVERNMENT AT POINT B, CLAUSE 7, ARTICLE 108 OF DECREE No. 31/2021/ND-CP:

Ministries and ministerial-level agencies shall promulgate, or submit to competent authorities for promulgation, documents detailing and guiding contents on bidding for investor selection for projects in specialized sectors and socialized projects, specifically as follows:

1. The Ministry of Industry and Trade: Small-sized renewable energy projects (wind farm projects, solar power projects, etc.), and small hydropower projects; projects on development and management of marketplaces and projects in other specialized sectors (if any); such work must be completed in the first quarter of 2022.

2. The Ministry of Transport: Projects on construction and commercial operation of aviation service works at airports and airdromes and projects in other specialized sectors (if any); such work must be completed in the first quarter of 2022.

3. The Ministry of Construction: Projects on clean water supply in urban areas and projects of other specialized sectors (if any); such work must be completed in the first quarter of 2022.

4. The Ministry of Finance: Projects on international football, dog racing and horse racing betting business, and projects of other specialized sectors (if any); such work must be completed in the first quarter of 2022.

5. The Ministry of Agriculture and Rural Development: Rural clean water production projects and projects of other specialized sectors (if any); such work must be completed in the second quarter of 2022.

6. The Ministry of Planning and Investment shall promulgate a circular guiding the selection of investors to implement investment projects on construction and commercial operation of golf courses; such work must be completed in the second quarter of 2022.

III. ORGANIZATION OF IMPLEMENTATION OF INVESTMENT PROJECTS

To request ministries, ministerial-level agencies, and provincial-level People’s Committees:

1. To study and select suitable projects for implementation in the form of PPP; to intensify investment promotion activities and access to capital sources with low interest rates and long grace periods; to prioritize resources for preparation and implementation of PPP projects with socio-economic efficiency and financial and commercial feasibility.

2. To promptly direct the formulation, appraisal and approval of lists of land-using investment projects, ensuring consistency with relevant master plans and lists of projects on land recovery for use as a basis for determination of the form of investor selection and performance of investment procedures.

3. To intensify information technology application in bidding for investor selection, stepping up the implementation of the roadmap for bidding for investor selection on the Vietnam National E-Procurement System as guided by the Ministry of Planning and Investment; to strictly comply with regulations on publicization of  information of PPP projects and land-using investment projects so as to optimize online investor selection and broaden access to such information to potential domestic and international investors.

4. To intensify the inspection, examination, supervision, and monitoring of the observance of law on investor selection to promptly detect violations for handling under regulations; to strictly comply with regulations on reporting of information about handling of investors’ violations, and send such information to the Ministry of Planning and Investment for publicization.

5. To proactively allocate resources, and diversify forms of training and further training to enhance the professional capacity regarding investment in the form of PPP and bidding for investor selection for their cadres, civil servants and public employees.

6. To coordinate with the Ministry of Planning and Investment in intensifying the publication and dissemination of regulations on investment in the form of PPP and bidding for investor selection to the business community, investors and finance institutions.

IV. ORGANIZATION OF IMPLEMENTATION

1. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, and chairpersons of provincial-level People’s Committees shall perform the tasks assigned under this Directive according to the set schedules.

2. The Ministry of Planning and Investment shall monitor and urge the implementation of this Directive; and report to the Prime Minister the implementation situation as well as problems and difficulties arising in the course of implementation of this Directive according to the Government’s Working Regulation.-

For the Prime Minister
Deputy Prime Minister
LE VAN THANH