Decree No. 02/2024/ND-CP On the Transfer of State-Owned Power Projects to Vietnam Electricity Corporation

DECREE
Regarding the transfer of power facilities as state assets to Vietnam Electricity Corporation
to the Vietnam Electricity Corporation

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing Certain Provisions of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Law on Management and Use of State Assets dated June 21, 2017;

At the proposal of the Minister of Finance;

The Government issues this Decree on the transfer of power facilities as state assets to Vietnam Electricity Corporation.

PART I
GENERAL PROVISIONS

Article 1. Scope of Regulation

1. This Decree stipulates the transfer of power facilities as state assets to Vietnam Electricity Corporation.

2. Power facilities as state assets transferred according to this Decree include:

a) Power facilities as state assets at state agencies, public service organizations, people's armed forces units, Communist Party of Vietnam agencies, Vietnam Fatherland Front agencies, political-social organizations, political-social-professional organizations, social organizations, social-professional organizations, and other organizations established under laws on associations (hereinafter referred to as state assets at agencies, organizations, and units);

b) Power facilities as state assets entrusted to enterprises for management without considering the state capital component in such enterprises (hereinafter referred to as state assets at enterprises);

c) Power facilities within infrastructure projects funded by state capital managed by Project Management Boards, agencies, organizations, and units acting as principal investors (hereinafter referred to as power facilities within infrastructure projects funded by state capital);

d) Power facilities within shared infrastructure in urban development projects, residential area projects, and other projects that must be handed over to the State according to the law;

đ) Power facilities established with full national ownership rights from sources outside the state budget (including the added value of power facilities due to investment, renovation, and upgrading by organizations and individuals on existing power facilities of electricity companies) voluntarily transferred by organizations and individuals to the State of Vietnam through Vietnam Electricity Corporation in a non-repayment form and agreed upon by the electricity company (hereinafter referred to as power facilities with origins outside the state budget);

e) Power facilities established with full national ownership rights from public-private partnership investment projects and transferred to electricity companies according to project contracts as provided by law or decided by competent authorities to hand over to electricity companies for reception tasks (hereinafter referred to as power facilities invested through public-private partnerships).

3. The following cases are not within the scope of regulation of this Decree:

a) Handling of power facilities as assets of projects using state capital, assets established with full national ownership rights (excluding assets specified in points c, đ, and e of Clause 2 of Article 1 of this Decree) which have not been assigned or transferred to agencies, organizations, or units or handled in other forms.

Handling of these cases shall be carried out in accordance with the Law on Management and Use of State Assets, Decree No. 151/2017/NĐ-CP dated December 26, 2017 of the Government detailing certain provisions of the Law on Management and Use of State Assets, Decree No. 29/2018/NĐ-CP dated March 5, 2018 of the Government detailing procedures and formalities for establishing full national ownership rights over assets and handling assets established with full national ownership rights, and other relevant regulatory legal documents. In cases where assets of projects using state capital, assets established with full national ownership rights have been assigned or transferred for management and use by agencies, organizations, or units by competent authorities, such agencies, organizations, or units shall be transferred to Vietnam Electricity Corporation according to this Decree;

b) Transfer, acceptance of capital and assets, and repayment of capital for power facilities under rural electrification programs and mountainous and island areas programs for the period 2013-2020;

c) Handover and repayment of capital investment in low-voltage rural power grid assets approved for investment by competent authorities before February 12, 2009;

d) Transfer, acceptance of capital and assets, and repayment of capital for Rural Energy II Project;

đ) Transfer of power facilities as state assets entrusted to enterprises with state capital components included, and power facilities as assets of enterprises with state capital;

e) Transfer of power facilities to Vietnam Electricity Corporation with a requirement for capital repayment.

Article 2. Applicability

1. Ministries, ministerial-level agencies, government agencies, Central Party Office, National Assembly Office, President’s Office, Supreme People's Court, Supreme People's Procuracy, State Audit Office, Social Policy Bank, Hanoi National University, Ho Chi Minh City National University, central agencies of the Vietnam Fatherland Front and political-social organizations, political-social-professional organizations, social organizations, social-professional organizations, and other organizations established under laws on associations (hereinafter referred to as ministries and central agencies), Provincial People's Committees (hereinafter referred to as provincial-level People's Committees).

2. Agencies, organizations, units, Project Management Boards, enterprises, and other entities having power facilities within the scope prescribed in Clause 2 of Article 1 of this Decree.

3. Vietnam Electricity Corporation and units authorized by Vietnam Electricity Corporation to accept power facilities.

4. Other organizations and individuals related to the transfer of power facilities as prescribed in this Decree.

Article 3. Explanation of Terms

In this Decree, the following terms are understood as follows:

1. Power facilities include:

a) Transmission lines and substations with voltage levels of 110kV and above;

b) Transmission lines and substations with voltage levels below 110kV;

c) Independent power systems in rural, mountainous, border areas, and islands under the sovereignty of Vietnam that have not yet been connected to the national power grid;

d) Power plants, equipment, power grids connecting power plants to the national power system, and auxiliary facilities of power plants.

2. The transferring party includes:

a) Agencies, organizations, and units currently managing and using power facilities as specified in point a of Clause 2 of Article 1 of this Decree;

b) Enterprises entrusted with the management of power facilities as specified in point b of Clause 2 of Article 1 of this Decree;

c) The project management board, agency, organization, unit entrusted to be the main investor for technical infrastructure projects funded by state capital for electrical works as specified in point c, Clause 2, Article 1 of this Decree;

d) The main investor of urban area projects, residential area projects, and other projects for electrical works as specified in point d, Clause 2, Article 1 of this Decree;

đ) Organization or individual being the owner for electrical works as specified in point đ, Clause 2, Article 1 of this Decree;

e) Project enterprise for electrical works as specified in point e, Clause 2, Article 1 of this Decree.

3. The recipient is Vietnam Electricity Corporation, units assigned or authorized by Vietnam Electricity Corporation to accept electrical works according to the provisions of the law (hereinafter referred to collectively as power units). Vietnam Electricity Corporation shall have the responsibility to publicly announce the power units assigned or authorized to accept electrical works according to the type of work and the locality.

4. The authority receiving the handover of technical infrastructure in urban area projects, residential area projects, and other projects is the agency, organization, or unit assigned by the provincial People's Committee to receive infrastructure in urban area projects, residential area projects, and other projects according to the provisions of the law.

5. Electrical works belonging to shared technical infrastructure in urban area projects, residential area projects, and other projects handed over again to the State by the main investor are the shared electrical works in urban area projects, residential area projects, and other projects that according to the project approved by the competent authority, the main investor must hand over again to the State.

Article 4. Conditions for transferring electrical works to Vietnam Electricity Corporation

1. Electrical works specified in points a, b, c, and d, Clause 2, Article 1 of this Decree, when transferred to Vietnam Electricity Corporation according to the provisions of Chapter II of this Decree, must meet all of the following conditions:

a) Comply with the power development plan, distribution network development scheme in the provincial planning at the time of construction or at the time of inspecting the actual status of the electrical works to be transferred (for electrical works specified in point a, point d, Clause 1, Article 3 of this Decree);

b) Meet relevant standards and specifications at the time of inspecting the actual status of the electrical works to be transferred;

c) The electrical works are currently operating normally (used for power generation, power transmission, power distribution) at the time of inspecting the actual status of the electrical works to be transferred;

d) The electrical works are not in a state of pledge, mortgage, guarantee, or assurance of any other debt obligation.

For electrical works specified in points a and b, Clause 2, Article 1 of this Decree, if they comply with the provisions of points a and d of this clause but do not meet the conditions specified in points b and c of this clause, but the power unit determines that it can carry out renovation and repair to continue operation, then it is considered to meet the conditions for transfer.

2. Electrical works specified in point đ, Clause 2, Article 1 of this Decree, when transferred to Vietnam Electricity Corporation according to the provisions of Chapter III of this Decree, must fully meet the conditions stipulated in Clause 1 of this Article and must have the ability to supply electricity or develop electricity supply for organizations and households in the locality.

3. Electrical works specified in point e, Clause 2, Article 1 of this Decree must meet the transfer conditions as prescribed in Decree No. 35/2021/NĐ-CP dated March 29, 2021, of the Government guiding the Law on Investment under Public-Private Partnership (hereinafter referred to as Decree No. 35/2021/NĐ-CP).

Article 5. Principles for transferring power facilities to Vietnam Electricity Corporation

1. In cases where power facilities meet the conditions stipulated in Article 4 of this Decree and the subjects specified in points a, b, c, đ, and e of Clause 2, Article 3 of this Decree, the agency receiving the handover of shared technical infrastructure in urban area projects, residential area projects, and other projects that have a need to transfer to Vietnam Electricity Corporation shall be transferred intact to Vietnam Electricity Corporation in accordance with the provisions of this Decree.

2. Agencies, organizations, units, enterprises, and other subjects specified in Clause 2, Article 3 of this Decree shall be responsible for continuing to manage, use, and handle according to the regulations for:

a) Power facilities that agencies, organizations, units, enterprises, and other subjects do not have a need to transfer;

b) Power facilities that do not meet the conditions for transfer as prescribed in Article 4 of this Decree;

c) Power facilities located at sites containing state secrets as prescribed by laws on protecting state secrets;

d) Power facilities funded by loans where the agencies, organizations, or units owning the assets have not completed loan repayment.

3. The transfer of power facilities to Vietnam Electricity Corporation shall be carried out in such a manner that the transferring party reduces its assets, while Vietnam Electricity Corporation increases its assets and state investment capital at Vietnam Electricity Corporation according to the value of the power facilities at the time of transfer; the determination of the value of the transferred power facilities shall be conducted in accordance with the provisions of this Decree; there shall be no repayment of capital for transferred power facilities. Vietnam Electricity Corporation shall record an increase in assets and an increase in investment capital of Vietnam Electricity Corporation at power units in accordance with the laws on managing and using state investment capital in production and business operations at enterprises and the financial management regulations of Vietnam Electricity Corporation.

4. For power facilities at point đ of Clause 2, Article 1 where the costs of the facilities have been included in the electricity selling price of the transferring party to the power unit (except for projects/facilities applying fixed electricity selling prices - FIT), the costs of the transferred power facilities for the remaining period of the project must be deducted from the electricity selling price in the Power Purchase Agreement between the transferring party and the power unit.

5. After completing the handover and acceptance process, the power unit shall be responsible for managing, using, accounting for assets and capital, and depreciating assets in accordance with the laws on state investment capital in production and business operations at enterprises and relevant laws. Management and use of land associated with transferred power facilities shall be carried out in accordance with the laws on land and the provisions of this Decree.

6. During the period before the completion of the handover of power facilities to the power unit, agencies, organizations, units, enterprises, and individuals with power facilities shall be responsible for managing, operating, maintaining, and repairing power facilities in accordance with the laws, ensuring safety and stable operation.

Chapter II
TRANSFER OF STATE ASSETS IN THE FORM OF POWER FACILITIES AT AGENCIES, ORGANIZATIONS, UNITS, ENTERPRISES AND POWER FACILITIES IN TECHNICAL INFRASTRUCTURE PROJECTS FUNDED BY STATE CAPITAL

Article 6. Procedures and formalities for transferring power facilities that are public assets at agencies, organizations, units, enterprises, and power facilities within technical infrastructure projects funded by state capital

1. When there is a need to transfer power facilities, the Transferor shall be responsible for preparing a proposal for transfer and sending it (directly or through postal services or electronically if digital signatures have been established) to the Transferee according to the announcement of Vietnam Electricity Corporation.

The proposal for transfer includes:

a) A document proposing the transfer of power facilities from the Transferor according to Model No. 01 attached as an appendix to this Decree: one original copy;

b) Documents as prescribed in Clause 1 of Article 7 of this Decree.

2. Within thirty days from the date of receiving all the documents for the proposal of power facility transfer, the Transferee shall be responsible for leading and coordinating with the Transferor to inspect the current status of the power facilities, evaluate whether the conditions for transfer as stipulated in Article 4 of this Decree are met, and prepare a Record according to Model No. 02 attached as an appendix to this Decree; based on which:

a) In case the power facilities meet the conditions for transfer, the Transferee shall lead and coordinate with the Transferor to conduct an inventory, determine the value of the transferred power facilities according to this Decree, and implement the contents as prescribed in Clauses 3 and 4 of this Article;

b) In case the power facilities do not meet the conditions for transfer, the Transferee shall issue a document notifying the Transferor that the power facilities do not meet the conditions for transfer, specifying the specific conditions not met.

3. Within seven days from the completion of the inventory and determination of the value of the power facilities, the Head of the Transferor shall issue a Decision on the transfer of power facilities according to Model No. 06 attached as an appendix to this Decree.

4. Within seven days from the issuance of the transfer decision, the Transferor shall lead and coordinate with the Transferee to hand over and accept the power facilities along with the documents as prescribed in Article 7 of this Decree. The handover and acceptance of assets must be recorded in a Record according to Model No. 08 attached as an appendix to this Decree.

5. Based on the Record of handover and acceptance of assets, the Transferee shall record the increase in assets and investment capital of the owner at the enterprise.

Article 7. Documents for handover and acceptance of power facilities

Documents for handover and acceptance of power facilities include original documents and documents prepared at the time of handover and acceptance.

1. Original documents include:

a) Investment decisions, technical design, construction drawings of the power facilities, completion acceptance documents of the project, independent works related to the power facilities, notification of the results of the final inspection work according to the law, environmental impact assessment reports (if applicable): one copy;

b) Documents on the acquisition, receipt of assets in cases where the power facilities are formed from purchases, transfers, or reallocations: one copy;

c) Accounting documents on the original cost and remaining value of the power facilities at the time of transfer for power facilities that have been accounted for: one copy;

d) Approval documents for settlement by the competent authority (if approved settlement has been made); request for approval of settlement or Record of final inspection A-B or approval of budget estimate (if no approved settlement has been made) for power facilities that have not been accounted for: one copy;

đ) Completion documents, layout diagrams of the right-of-way corridor and station transformer site plans: one copy.

e) Warranty and insurance documents for power facilities during the warranty period or when insured: one original copy;

g) Land-related documents concerning land allocation, lease, recognition of land use rights associated with power facilities and other relevant land documents (if applicable): one copy;

h) Certificates of design review, design review documents, fire prevention and firefighting acceptance results documents issued by the competent authority (if applicable); fire extinguishing plans and fire prevention plans according to laws on fire prevention and firefighting: one copy.

Copies specified in this clause must be stamped and confirmed by the Transferor. In cases where the power facilities being transferred are only part of an investment construction project, the Transferor shall extract copies of the relevant documents pertaining to the transferred power facility section.

2. Besides the documents prescribed in Clause 1 of this Article, at the time of handover and acceptance, the Transferor shall lead and coordinate with the Transferee to prepare a layout diagram of the current status of the power facilities as a legal basis for future management and operation.

3. In cases where the documents prescribed in Clause 1 of this Article are missing or lost, the Transferor shall issue a document confirming the loss of documents or the absence of original documents and bear responsibility for their confirmation; such confirmation documents shall replace the lost or absent documents. At the same time, the Transferor shall be responsible for leading and coordinating with the Transferee to re-establish land layout diagrams associated with the power facilities, overall current layout diagrams, station transformer layout diagrams, and right-of-way corridor layout diagrams with confirmations from all parties involved as a legal basis for management and operation.

Article 8. Responsibilities of parties related to the transfer of electrical works as state assets at agencies, organizations, units, enterprises, electrical works under technical infrastructure projects invested with state capital.

1. The transferring party shall be responsible for:

a) Organizing management, operation, maintenance, and repair of assets in accordance with the provisions of the law until the date of signing the Handover Record; bearing responsibility for compliance with relevant procedures and regulations concerning investment and construction of the project before handover; not implementing pledges, mortgages, guarantees, or any other form of debt guarantee for the electrical work during the waiting period for handover;

b) Reporting to the superior management agency on the results of the transfer after signing the Handover Record;

c) Preparing complete files as stipulated in Clause 1, Article 7 of this Decree or having a confirmation document regarding the loss or absence of files and implementing the re-establishment of files in accordance with Clause 3, Article 7 of this Decree; cooperating with the Receiving Party to inspect the actual condition of the electrical work, assess the fulfillment of transfer conditions, inventory, and determine the value of the transferred electrical work;

d) Implementing the handover of assets and related files, creating favorable conditions for the Receiving Party to manage and operate the assets;

đ) Implementing the accounting reduction of assets and the value of assets handed over; reporting the declaration of asset changes in accordance with the provisions of the law;

e) Implementing other responsibilities prescribed in this Decree and relevant laws;

2. The receiving party shall be responsible for:

a) Implementing the acceptance of assets and related files;

b) Implementing the accounting increase of assets and the increase in the owner's investment capital at the enterprise according to the value of the transferred electrical work determined in accordance with Article 9 of this Decree in accordance with the provisions of the law;

c) Organizing management, operation, maintenance, and repair of assets in accordance with the provisions of the law from the date of signing the Handover Record;

d) Implementing other responsibilities prescribed in this Decree and relevant laws;

Article 9. Inventory and determination of the value of transferred electrical works

1. The inventory and determination of the value of transferred electrical works shall be recorded in a Record in Form No. 03 attached hereto.

b) In cases where the electrical works have not been accounted for and depreciation/amortization has not been calculated for the usage period but there are relevant documents and approvals for the final settlement of the project and there are documents to determine the time of putting the works into use, the value of the transferred electrical works shall be determined as follows:

In cases where the actual inventory of the number of items of the transferred electrical works is less than the number of items of the settled electrical works, the value of the settled transferred electrical works shall be determined by the detailed value of each item of the electrical works according to the actual inventory; if there is no detailed settlement for each item, the value of the settled transferred electrical works shall be determined by the portion of the total settled value of the works allocated according to appropriate criteria for the items of the electrical works transferred according to the actual inventory;

In cases where the electrical works have not been accounted for, depreciation has not been calculated for the usage period, and there are no relevant documents and approvals for the final settlement of the project but there are documents to determine the time of putting the works into use, the determination of the value of the electrical works shall be carried out as follows;

In cases where the usage period exceeds the amortization period applicable to the unit, the adjustment of the value of the transferred works shall be carried out in accordance with the provisions of point c of this clause;

c) In cases where the electrical works have not been accounted for, depreciation has not been calculated for the usage period, and there are no invoices from units with the current value of the electrical works, the Receiving Party shall temporarily determine the value of the transferred electrical works; if it cannot be determined, they shall hire a consulting firm to appraise the value, and the Transferring Party and the Receiving Party shall agree on the value to record the increase in state assets. If hiring a consulting firm for appraisal, the selection of the consulting firm shall be carried out in accordance with the provisions of the law on bidding;

In cases where a State Appraisal Council is established, the establishment and principles of operation of the Council shall be implemented in accordance with the Law on Prices 2023;

d) In cases where the electrical works are shared by customers and the construction value of the Transferring Party or the completed electrical works have been invested, the determination of the value of the transferred electrical works shall be carried out in accordance with the provisions of point c of this clause;

a1) Proposed settlement value;

a2) Value determined by the A-B Acceptance Record;

d3) Approved budget estimate value of the electrical works;

Article 10. Handling of land adjacent to transferred electrical works

1. In case the electrical works are located within the premises of the workplace, the operation facility, the production and business establishment, or within the scope of infrastructure assets that cannot be separated from the premises of the workplace, the operation facility, the production and business establishment, and the infrastructure assets, the right to use the land for the area close to the electrical works shall continue to belong to the Transferor, while the electrical works close to the land legally owned by the Transferee shall remain with the Transferee. The Transferor shall enter into an agreement with the Transferee and shall be responsible for ensuring favorable conditions for the Transferee to carry out maintenance, repair, management, and operation of the electrical works. After transferring the electrical works, if the Transferor requests to move the electrical works from the current location to a new location, the Transferor must notify the Transferee in writing and shall be responsible for coordinating with the Transferee to contact the competent authority on land management and related functional agencies to arrange a suitable new location according to the laws on land, ensuring convenience for the management and operation work. The costs for dismantling the electrical works at the old location, transporting, constructing, and installing the electrical works at the new location, and other costs related to the relocation of the electrical works shall be borne by the party requesting the relocation.

2. In case the electrical works are located outside the premises of the workplace, the operation facility, the production and business establishment, or within the scope of infrastructure assets, or can be separated from the premises of the workplace, the operation facility, the production and business establishment, and the infrastructure assets, the transfer of the entire area of land close to the electrical works shall be carried out. The Transferor shall be responsible for voluntarily returning the land for the area close to the transferred electrical works according to the laws on land (the Transferor is not required to rearrange and handle the property and land according to the Government's regulations on rearranging and handling state-owned assets for the transferred electrical works and the area of land close to it, handed over to the power company); the State shall recover the land and allocate or lease the land to the Transferee according to the laws on land; the Transferee shall be responsible for paying the land rent according to the laws on land.

During the time completing the procedures on land according to the regulations, the local authorities where the electrical works are located shall be responsible for ensuring favorable conditions for the Transferee to carry out maintenance, repair, management, and operation of the received electrical works.

Article 11. Handling of expenses arising during the transfer of assets

1. Content of Expenses

a) Expenses for assessing the conditions for transfer, inventory, and determining the value of the electrical works;

b) Expenses for hiring a valuation enterprise to advise on determining the value of the electrical works;

c) Expenses for administrative procedures regarding land and the transferred electrical works;

d) Expenses for redrawing the land map attached to the electrical works, the overall site plan, the substation layout plan, and the transmission line corridor layout plan;

đ) Expenses for managing, operating, maintaining, and repairing the electrical works;

e) Other expenses directly related to the transfer and acceptance of the electrical works.

2. Expenditure levels:

a) For the expenses stipulated in Clause 1 of this Article which have standards, norms, and regulations set by the competent authority, they shall be implemented according to the standards, norms, and regulations set by the competent authority;

b) For service rental expenses carried out according to the signed Contract in accordance with the law, the selection of the service provider shall be conducted according to relevant laws. The Transferor and the Transferee shall agree on one party to select and sign the service rental Contract;

c) In case the expenses stipulated in Clause 1 of this Article do not have standards, norms, and regulations set by the competent authority (except for the cases stipulated in point b of this Clause), the head of the unit implementing the expenses shall decide the amount of expenditure, ensure complete invoices and documents according to the state financial management regulations, and bear responsibility for their decision.

3. Sources of funds:

a) Direct expenses for participating in the assessment of transfer conditions, inventory, determination of asset value, transfer, and acceptance of the electrical works shall be borne by the party responsible for participation according to the regulations;

b) Expenses for hiring a valuation enterprise to determine the asset value and other direct expenses related to the transfer shall be borne by the Transferee;

c) Expenses borne by the Transferee shall be used for the company's production and business activities. Expenses borne by the Transferor shall be sourced from the regular budget of the agency, organization, or unit according to the state budget law and the allocated funds for use by the agency, organization, or unit (in case the Transferor is an agency, organization, or unit), and recorded as part of the company's production and business expenses (in case the Transferor is a company).

Chapter III

TRANSFER OF ELECTRICAL WORKS BELONGING TO COMMON INFRASTRUCTURE IN URBAN AND RESIDENTIAL PROJECTS AND OTHER PROJECTS THAT MUST BE TRANSFERRED BACK TO THE STATE ACCORDING TO THE LAWS

Article 12. Procedures and formalities for transferring electrical works belonging to common technical infrastructure in urban area projects, residential area projects, and other projects that must be handed over to the State in accordance with the provisions of the law.

1. The transferring party shall be responsible for preparing the application dossier for handing over the electrical works to the State, and sending it (directly or through postal services or electronically if there is a digital signature) to the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects.

The application dossier for handing over the electrical works to the State includes:

a) A document from the investor requesting the transfer of the electrical works according to Model No. 01 attached to this Decree: one original copy;

b) Documents serving management, operation, and maintenance of the works as stipulated in Appendix IX of Government Decree No. 06/2021/ND-CP dated January 26, 2021 on detailed regulations on some contents regarding quality management, construction, and maintenance of construction works: one copy;

c) Approval decision on final settlement issued by the competent state agency (if any): one copy;

d) Land-related documents concerning land allocation, land lease, change of land use purpose, recognition of land use rights near the works, and other related documents (if any): one copy;

đ) Fire prevention and fighting design approval certificate, fire prevention and fighting design document, acceptance result document on fire prevention and fighting issued by the competent authority (if any), fire fighting plan, fire prevention plan in accordance with the law on fire prevention and fighting: one copy.

Copies specified in this Clause shall be stamped with a confirmation seal of the transferring party. In case these documents are not available or lost, the transferring party shall issue a confirmation document about the loss of documents or their non-existence and bear responsibility for such confirmation; the confirmation document shall replace the missing or non-existent documents. At the same time, the transferring party shall be responsible for taking the lead and coordinating with the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects and the receiving party to re-establish the land plot diagram attached to the electrical works, overall current status layout diagram, substation layout diagram, and power line right-of-way layout diagram with the confirmation of all relevant parties to serve as the legal basis for management and operation.

2. Within seven days from the date of receipt of the complete application dossier for transferring the electrical works, the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects shall issue a document on the transfer of the electrical works along with the dossiers prepared by the transferring party and send them to the receiving party as announced by Vietnam Electricity Corporation.

3. Within thirty days from the date of receipt of the dossier sent by the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects, the receiving party shall be responsible for taking the lead and coordinating with the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects and the transferring party to inspect the actual condition of the electrical works, assess whether they meet the conditions for transfer as stipulated in Article 4 of this Decree, and prepare a Record according to Model No. 02 attached to this Decree, based on which:

a) If the electrical works meet the conditions for transfer, the inventory and valuation of the transferred electrical works shall be carried out according to the provisions of Clause 4 of this Article; the inventory and valuation of the transferred electrical works shall be recorded in a Record according to Model No. 04 attached to this Decree;

b) If the electrical works do not meet the conditions for transfer, the receiving party shall issue a notification to the transferring party and the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects informing that the electrical works do not meet the conditions for transfer, specifying the unmet conditions. After the transferring party has rectified the deficiencies to meet the transfer conditions and proceed with the transfer according to the provisions, the subsequent steps for transfer shall be carried out in accordance with this Decree.

The value of the transferred electrical works shall be determined as follows:

a) In cases where the transferred electrical works have an approval decision on final settlement issued by the competent state agency and documents to determine the time of putting the works into use, the value of the transferred electrical works shall be determined as follows:

When the actual inventory of the transferred electrical works is less than the quantity settled in the final settlement, the value of the transferred electrical works shall be determined by the total detailed settlement value of the actual inventory items; in cases where the detailed settlement is not made for each item, the value of the transferred electrical works shall be determined by the portion of the total settlement value of the works allocated according to appropriate criteria for the actual inventory items.

In cases where the transferred electrical works do not have an approval decision on final settlement issued by the competent state agency but have documents to determine the time of putting the works into use, the determination of the value of the electrical works shall be carried out as follows:

b) In cases where there is insufficient basis to determine the value of the electrical works as stipulated in point a of this Clause and in cases where the usage period exceeds the depreciation period applicable to electricity units, the receiving party shall be responsible for hiring a valuation company to advise on determining the value of the transferred electrical works; the selection of the valuation company shall be carried out in accordance with relevant laws.

5. Within seven days from the completion of the inventory and valuation of the electrical works, the head of the agency receiving the transfer of technical infrastructure in urban area projects, residential area projects, and other projects shall be responsible for issuing the Decision on Transfer of Electrical Works according to Model No. 06 attached to this Decree.

6. Within seven days from the date of the Transfer Decision for the electrical works, the transferring party shall take the lead and coordinate with the receiving party and the agency responsible for transferring technical infrastructure in urban development projects, residential area projects, and other projects to organize the handover and acceptance of the electrical works along with the relevant documents as stipulated in Clause 1 of this Article and prepare a current layout diagram of the electrical works at the time of handover to serve as a legal basis for subsequent operation and management. The handover and acceptance shall be recorded in a Protocol according to Model No. 08 attached to this Decree.

7. The handling of land adjacent to the transferred electrical works and the settlement of incidental costs arising during the transfer process shall be carried out in accordance with Articles 10 and 11 of this Decree.

8. After completing the handover and acceptance, the receiving party shall record an increase in assets and capital investment of the owner in the enterprise in accordance with the laws on the management and use of state capital invested in production and business activities in enterprises.

Article 13. Responsibilities of the parties involved in the handover and acceptance of electrical works within technical infrastructure in urban development projects, residential area projects, and other projects.

1. Responsibilities of the transferring party:

a) Organize the management, operation, maintenance, and repair of the electrical works in compliance with the provisions of the law until the signing of the handover and acceptance protocol; bear responsibility for complying with procedures and regulations related to investment and construction of the works before the handover;

b) Prepare all documents as specified in Clause 1 of Article 12 of this Decree, cooperate with the receiving party and the agency responsible for transferring technical infrastructure in urban development projects, residential area projects, and other projects to inspect the condition of the electrical works, inventory, and determine the value of the works to be handed over;

c) Carry out the handover of assets and related documents, facilitate the receiving party's acceptance, management, and operation;

d) Record a reduction in assets and the value of the assets handed over in accordance with the provisions of the law;

e) Fulfill other responsibilities as prescribed in this Decree and relevant laws;

2. The receiving party shall be responsible for:

a) Take the lead and coordinate with the transferring party and the agency responsible for transferring technical infrastructure in urban development projects, residential area projects, and other projects to inspect the condition of the electrical works, inventory, and determine the value of the works to be handed over;

b) Accept assets and related documents;

c) Record an increase in assets and an increase in the owner's capital investment in the enterprise according to the value of the transferred electrical works determined in Clause 4 of Article 12 of this Decree in accordance with the law;

d) Organize the management, operation, maintenance, and repair of the assets in compliance with the law from the date of signing the handover and acceptance protocol;

e) Fulfill other responsibilities as prescribed in this Decree and relevant laws;

3. The agency responsible for transferring technical infrastructure in urban development projects, residential area projects, and other projects shall cooperate with the transferring party and the receiving party during the handover and acceptance process as stipulated in this Decree, report to the People's Committee of the province to handle any issues arising during the handover and acceptance process.

Chapter IV

TRANSFER OF ELECTRICAL WORKS WITH NON-GOVERNMENT FUNDS

Article 14. Establishing the Right of Full Ownership for All People and Transferring Power Grid Projects with Non-State Budget Origin

1. Authority to decide on establishing the right of full ownership for all people and transferring to Vietnam Electricity Corporation:

b) The Minister of Industry and Trade decides or delegates authority to decide on power grid projects in areas covering two or more provinces or central cities.

2. Organizations and individuals who are owners of power grid projects with non-state budget origin shall prepare a dossier to request transferring ownership rights over assets to Vietnam Electricity Corporation, to be sent (directly or through postal service or electronic means if digital signatures have been established) to the Receiving Party as announced by Vietnam Electricity Corporation.

The transfer request dossier includes:

a) A document from the organization or individual who is the owner of the power grid project requesting to transfer ownership rights over the power grid project to Vietnam Electricity Corporation according to Model No. 01 attached to this Decree: One original copy;

b) Investment decision, technical design, construction drawing related to the power grid project, completion acceptance record of the project, independent project component, Environmental Impact Assessment report (if applicable), Notification of project review results, Notification of inspection results on completion acceptance of project components and construction works according to the law, environmental impact assessment report (if applicable): One copy;

c) Completion dossier, layout diagram of overhead line corridor and substation site plan (if applicable): One copy;

d) Land dossier related to land allocation, lease, recognition of land use rights for investment in the project and other relevant documents (if applicable): One copy;

đ) Fire prevention and fighting design approval certificate, fire prevention and fighting design approval document, fire prevention and fighting acceptance result approval document issued by the competent authority (if applicable); fire fighting plan, fire prevention plan according to the law on fire prevention and fighting: One copy.

Copies specified in this clause must be certified by the competent authority. In case these dossiers are missing or lost, the organization or individual who is the owner of the power grid project must issue a confirmation document about the loss of the dossier or its absence and bear responsibility for such confirmation. The organization or individual who is the owner of the power grid project must cooperate with the Receiving Party to re-establish the land layout diagram linked to the power grid project, overall current layout diagram, substation layout diagram, and overhead line corridor layout diagram confirmed by the relevant parties to serve as the legal basis for management and operation.

3. Within thirty days from the date of receipt of the dossier sent by the Transferor, the Receiving Party is responsible for hosting and coordinating with the Transferor to inspect the actual condition of the power grid project, evaluate whether it meets the conditions for transfer as stipulated in Article 4 of this Decree, and establish a Record according to Model No. 02 attached to this Decree, based on which:

a) If the power grid project meets the conditions for transfer, then proceed with inventory and valuation of the transferred power grid project according to Clause 4 of this Article; the inventory and valuation of the power grid project must be recorded in a Record according to Model No. 05 attached to this Decree;

b) If the power grid project does not meet the conditions for transfer, the Receiving Party must issue a document notifying the Transferor that the power grid project does not meet the conditions for transfer, specifying the specific conditions not met. If the Transferor rectifies the deficiencies to meet the transfer conditions, they can proceed with subsequent steps for transfer according to this Decree.

4. The Receiving Party hosts and coordinates with the Transferor to determine the value of the power grid project as follows:

If the usage period exceeds the depreciation period prescribed for electricity units or there is insufficient basis to determine the value of the power grid project according to the above provisions, then a business appraisal firm must be hired to advise on determining the value of the transferred power grid project. The Receiving Party is responsible for hiring the business appraisal firm; the selection of the business appraisal firm is carried out according to the relevant laws.

5. Within thirty days from the completion of the inventory and valuation, the Receiving Party is responsible for preparing a dossier to report to the authority or person authorized as stipulated in point a of Clause 1 of this Article to consider and decide on establishing the right of full ownership for all people and transferring to Vietnam Electricity Corporation (in the case where the power grid project is located in one province or central city) or report to Vietnam Electricity Corporation for consideration and report to the authority or person authorized as stipulated in point b of Clause 1 of this Article to decide on establishing the right of full ownership for all people and transferring to Vietnam Electricity Corporation (in the case where the power grid project is located in areas covering two or more provinces or central cities).

The dossier for establishing the right of full ownership for all people and transferring to Vietnam Electricity Corporation includes:

a) A document from the Receiving Party requesting to establish the right of full ownership for all people and transferring to Vietnam Electricity Corporation: One original copy;

b) A list of power grid projects prepared by the Receiving Party (technical specifications, project status, year of commissioning, project value): One original copy;

c) Inventory and valuation record of the power grid project according to Model No. 05 attached to this Decree: One original copy;

d) A document from the organization or individual who is the owner of the power grid project requesting to transfer ownership rights over the power grid project to Vietnam Electricity Corporation according to Model No. 01 attached to this Decree: One original copy.

6. Within seven days from the date of receiving complete and valid documents, the competent authority shall issue a Decision to establish the ownership of the entire people and transfer the assets to Vietnam Electricity Corporation according to Model No. 07 attached hereto, or respond in writing in cases where the request is not appropriate. The transferring party and the receiving party are responsible for the information and value of the power project and the documents serving as the basis for the competent authority's decision to establish the ownership of the entire people and transfer the assets to Vietnam Electricity Corporation.

7. Within seven days from the date of issuing the Decision to establish the ownership of the entire people and transfer the assets to Vietnam Electricity Corporation, the transferring party shall take the lead and coordinate with the receiving party to organize the handover and acceptance of the power project along with the relevant documents as stipulated in Clause 2 of this Article and prepare a layout plan of the current status of the power project at the time of handover as the legal basis for future operation and management. The handover and acceptance shall be recorded in a Handover Record according to Model No. 08 attached hereto.

8. The handling of land adjacent to the transferred power project and the settlement of incidental costs arising during the asset transfer process shall be carried out in accordance with the provisions of Articles 10 and 11 of this Decree.

a) The transferring party shall be responsible for fulfilling all financial obligations related to land according to the laws before transferring the land area associated with the power project to the receiving party.

b) In cases where the transferring party is an economic organization (excluding enterprises), the expenses paid by the transferring party shall be accounted for as operational costs of the economic organization.

c) In cases where the request to establish the ownership of the entire people is not approved by the competent authority, the expenses incurred by the receiving party for inventorying, determining the value of the power project and other related expenses shall be accounted for as production and business costs of the receiving party.

9. After completing the handover and acceptance, the receiving party shall increase its assets and capital investment of the owner in the enterprise in accordance with the laws on the management and use of state capital invested in production and business activities in enterprises.

Article 15. Responsibilities of the parties involved in the handover and acceptance of power projects with origins outside the budget.

1. The transferring party shall be responsible for:

a) Manage, operate, maintain, and repair assets in compliance with the laws until the signing of the Handover Record; bear responsibility for complying with procedures and regulations related to the construction of the project prior to handover.

b) Prepare complete documents as stipulated in Clause 2 of Article 14 of this Decree; cooperate with the receiving party to inspect the actual condition of the power project, assess the conditions for transfer, inventory, and determine the value of the transferred power project.

c) Carry out the handover of assets and related documents, facilitate the receiving party's acceptance, management, and operation;

d) Implementing other responsibilities prescribed in this Decree and relevant laws;

2. The receiving party shall be responsible for:

a) Take the lead and coordinate with the transferring party to inspect the actual condition of the power project, assess the conditions for transfer, inventory, and determine the value of the transferred power project.

b) Accept assets and related documents;

c) Account for the increase in assets and capital investment of the owner in the enterprise according to the value of the power project determined in Clause 4 of Article 14 of this Decree in accordance with the laws.

d) Organize the management, operation, maintenance, and repair of the assets in compliance with the law from the date of signing the handover and acceptance protocol;

e) Fulfill other responsibilities as prescribed in this Decree and relevant laws;

Chapter V

TRANSFER OF POWER PROJECTS FUNDED THROUGH PUBLIC-PRIVATE PARTNERSHIP MODELS

Article 16. Confirmation of Completion, Acceptance, Transfer Conditions, and Operation Management of Power Projects Invested under Public-Private Partnership Model

1. The confirmation of completion and transfer of power projects invested under the public-private partnership model (except for joint venture projects) shall be carried out in accordance with the provisions of Articles 76 and 77 of Decree No. 35/2021/NĐ-CP dated March 29, 2021 of the Government.

2. In cases where the Vietnam Electricity Corporation is the entity receiving the transfer of the project according to the project contract (Construction-Operation-Transfer Contract or Construction-Operation-Business Contract) or is the entity assigned by the competent authority to take over the operation, business, and maintenance of the power project in accordance with Clause 2 of Article 77 and Clause 4 of Article 80 of Decree No. 35/2021/NĐ-CP:

a) The Vietnam Electricity Corporation shall be responsible for coordinating with the contracting agency to implement procedures to determine the quality, value, and status of the power project in accordance with the project contract; to take over the operation, business, and maintenance of the power project without affecting the continuity and quality of electricity supply from the project completion date or the transfer date specified in the project contract, even if there is no decision on the establishment of national ownership and the transfer of the power project to the electricity company from the competent authority.

b) The Vietnam Electricity Corporation is the entity receiving the transfer of power projects invested under the public-private partnership model through asset increase and capital investment increase at the enterprise. After the end of the project contract or at the transfer date specified in the project contract (for early transferred projects), the contracting agency or the Vietnam Electricity Corporation (for early transferred projects) shall be responsible for reporting to the competent authority to decide on the establishment of national ownership and the transfer of power projects invested under the public-private partnership model to the Vietnam Electricity Corporation in accordance with Article 17 of this Decree.

c) Costs related to preparing to take over the operation, business, and maintenance of the power project until the date of signing the Handover Minutes shall be borne by the Vietnam Electricity Corporation and recorded as production and business costs of the electricity company.

Article 17. Establishment of National Ownership and Transfer of Power Projects Invested under the Public-Private Partnership Model to the Vietnam Electricity Corporation

1. The procedure for transferring and taking over power projects invested under the public-private partnership model shall be implemented in accordance with the provisions of Article 78 of Decree No. 35/2021/NĐ-CP. For individual components of power projects invested under the public-private partnership model that are handed over to the Vietnam Electricity Corporation before the termination of the project contract (referred to as early transferred projects in this Decree), the following shall apply:

a) After completing the construction of early transferred power projects, the project enterprise shall be responsible for preparing and submitting a handover proposal to the Vietnam Electricity Corporation not later than 60 days before the agreed transfer date. The proposal includes:

A handover proposal for the power project: 01 original copy;

A report on the compliance of the project and infrastructure system with the conditions stipulated in Clause 1 of Article 77 of Decree No. 35/2021/NĐ-CP: 01 original copy.

b) Within 30 days from the date of receipt of the handover proposal, the Vietnam Electricity Corporation shall organize, in coordination with the project enterprise and other relevant agencies (if necessary), the inspection of the quality, value, and status of the power project according to the principles and conditions agreed upon in the project contract. If the project meets the conditions, the list of early transferred power projects shall be established and the property handover minutes signed. If the project does not meet the conditions, a record of non-compliance conditions shall be prepared to request the project enterprise to rectify before establishing the list of early transferred power projects and signing the property handover minutes.

2. Not later than 30 days before the agreed transfer date (for early transferred projects) or before the termination date of the project contract (for remaining projects), the Vietnam Electricity Corporation (for early transferred projects) or the contracting agency (for remaining projects) shall prepare and submit a report to the Minister, Head of Central Agency (in case the project contract signing agency is under central management) or the Chairman of the Provincial People's Committee (in case the project contract signing agency is under local management) to decide on the establishment of national ownership and the transfer of the power project to the Vietnam Electricity Corporation.

The proposal for the establishment of national ownership and the transfer of the power project includes:

a) A proposal from the Vietnam Electricity Corporation (for early transferred projects) or a proposal from the contracting agency (for remaining projects) to establish national ownership of assets and transfer to the Vietnam Electricity Corporation: 01 original copy;

b) A list of power projects (project name, technical specifications, quantity, value of the project determined in accordance with Clause 5 of this Article): 01 original copy;

c) The documents specified in Point a Clause 1 of this Article (for early transferred projects) or the project enterprise's handover proposal in accordance with Article 79 of Decree No. 35/2021/NĐ-CP (for remaining projects): 01 original copy.

3. Within 07 days from the date of receipt of complete and valid documents, the competent authority shall decide on the establishment of national ownership and the transfer to the Vietnam Electricity Corporation.

4. The transferring party shall coordinate with the contracting agency of the project and the receiving party to organize the handover and acceptance of the electrical works along with the relevant documents as stipulated in Clause 2 of this Article and establish a record of the actual status of the electrical works at the time of handover for the basis of subsequent administration and management. The handover and acceptance shall be documented in Model Form No. 08 attached to this Decree. The timing of the handover and acceptance shall be determined as follows:

a) Within seven days from the date of the Decision establishing the ownership rights of the entire people over the assets and transferring them to Vietnam Electricity Corporation;

b) The agreed transfer date (for early transferred electrical works) or the termination date of the project contract (for remaining electrical works), in cases where the competent authority has not issued the Decision establishing the ownership rights of the entire people over the assets and transferring them to Vietnam Electricity Corporation by the agreed transfer date (for early transferred electrical works) or the termination date of the project contract (for remaining electrical works).

5. The value of the electrical works shall be determined based on the residual value of the assets tracked and recorded in the accounting books by the project enterprise. In cases where the electrical works constitute a component of a public-private partnership project, the value of the electrical works (if the project enterprise tracks and records each component separately); if not tracked and recorded separately, the value of the electrical works shall be determined based on the portion of the project's asset value allocated according to appropriate criteria for the electrical works component.

6. The handling of any incidental costs arising during the transfer of assets shall be carried out in accordance with Article 11 of this Decree. The handling of land associated with the transferred electrical works shall be conducted in accordance with laws on land and related laws. The transferring party shall fulfill all financial obligations regarding the land area associated with the electrical works before transferring it to the receiving party in accordance with the provisions of the law.

If the residual value of the assets on the project enterprise's accounting books is less than 20% of the original asset value, the value of the electrical works shall be determined as 20% of the original asset value.

In cases where the State Audit Agency conducts a revaluation audit upon request of the contracting agency, based on the results of the State Audit Agency, the receiving party shall adjust the original value, residual value of the electrical works, and adjust the owner's investment capital in the enterprise according to the revalued value audited by the State Audit Agency.

Chapter VI

IMPLEMENTATION

Article 18. Effectiveness and Transitional Provisions

1. This Decree shall take effect from March 1, 2024.

2. From the date this Decree takes effect, Decree No. 29/2018/NĐ-CP dated March 5, 2018 of the Government shall not be applied to handle power projects as specified in Point d and Point e, Clause 2, Article 1 of this Decree.

a) For power projects that have been decided by the Prime Minister to transfer to Vietnam Electricity Corporation but have not yet received a decision from the Prime Minister on the handover and acceptance of the power project and the increase in investment capital of the owner at the enterprise by the date this Decree takes effect;

b) For power projects currently undergoing the transfer procedures as prescribed in Decision No. 41/2017/QĐ-TTg dated September 15, 2017 of the Prime Minister regarding the transfer of power projects invested with state capital to Vietnam Electricity Corporation for management, but have not yet been transferred to Vietnam Electricity Corporation by the date this Decree takes effect, they shall be transferred to Vietnam Electricity Corporation according to the provisions of this Decree;

c) For power projects belonging to shared technical infrastructure in urban area projects, residential area projects, and power projects funded from non-state budget sources that have been accepted by power units before the date this Decree takes effect under the form of repayment of capital to the investor, self-accounting for increased assets, and increasing the investment capital of the owner at the enterprise (in cases where the investment capital of the owner has not yet been increased at the enterprise), the value of the power project will be based on the asset increase and transfer costs already audited by the power unit; the current value of the power project shall not be included in the income of the power unit;

d) For power projects belonging to shared technical infrastructure in urban area projects, residential area projects, and power projects funded from non-state budget sources that have been managed and operated by power units before the date this Decree takes effect under the form of repayment of capital to the investor but have not yet completed accounting for increased assets and increasing the investment capital of the owner at the enterprise, the power unit shall be responsible for re-evaluating the asset value and recording the increase in assets and the increase in the owner's equity at the enterprise;

Article 19. Responsibility for Implementation

1. The Ministry of Finance shall be responsible for urging, guiding, and inspecting ministries, central agencies, and provincial People's Committees in implementing this Decree.

2. Ministries, central agencies, and provincial People's Committees shall be responsible for:

a) Directing subordinate agencies, organizations, units, and enterprises within their jurisdiction to organize reviews and compile lists of power projects that need to be transferred to Vietnam Electricity Corporation as prescribed in this Decree; urging and inspecting the transfer of power projects by subordinate agencies, organizations, units, and enterprises;

b) Ministers, Heads of Central Agencies, and Chairmen of Provincial People's Committees shall decide on establishing national ownership according to the authority prescribed in this Decree;

c) Provincial People's Committees shall determine support tools for the agency receiving the handover of shared technical infrastructure in urban area projects, residential area projects, and other projects as stipulated in Clause 4, Article 3 of this Decree;

d) Provincial People's Committees shall perform state management functions over land related to transferred power projects as prescribed by law; d) Fulfill other responsibilities as prescribed in this Decree and relevant laws.

3. The Ministry of Industry and Trade shall be responsible for:

a) The Minister of Industry and Trade shall decide on establishing national ownership according to the authority prescribed in this Decree;

b) Performing state management functions over the electricity sector as prescribed by law.

4. The State Capital Investment Committee shall be responsible for:

b) Performing tasks and exercising rights as the representative of state capital owners at Vietnam Electricity Corporation related to the transfer of power projects as prescribed by law on the management and use of state capital invested in production and business activities of enterprises;

c) Fulfilling other responsibilities as prescribed in this Decree and relevant laws.

5. Vietnam Electricity Corporation shall be responsible for:

a) Issuing public documents designating power units authorized to act as the transferee according to the law, sending them to ministries, central agencies, and provincial People's Committees, and simultaneously publishing them publicly on the Vietnam Electricity Corporation's website, and being responsible for the authorization;

b) Directing, guiding, and inspecting power units authorized to accept power projects in organizing the acceptance and management of power projects according to the regulations;

c) Guiding power units tasked with accepting power projects to report to Vietnam Electricity Corporation to report to the competent authority deciding on the establishment of national ownership for power projects with origins outside the state budget, power projects invested through public-private partnership methods, and the results of transferring power projects and increasing the investment capital of the owner at the enterprise.

d) Based on the depreciation period for fixed assets as prescribed, the Vietnam Electricity Corporation shall be responsible for notifying and guiding electricity units to uniformly apply the depreciation period for fixed assets subject to transfer when determining the value of power projects as stipulated in point b, Clause 2, Article 9, point a, Clause 4, Article 12, and Clause 4, Article 14 of this Decree;

Fulfill other responsibilities as prescribed in this Decree and relevant laws.