Decree No. 03/2015/NĐ-CP on the determination of environmental damage

THE GOVERNMENT --------	SOCIALIST REPUBLIC OF VIET NAM Independence - Freedom - Happiness ----------------
Number: 03/2015/NĐ-CP	Hanoi, January 6, 2015

DECREE

REGULATIONS ON THE DETERMINATION OF ENVIRONMENTAL DAMAGE

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

Based on the Civil Code dated June 14, 2005;

Pursuant to the Environmental Protection Law on June 23, 2014;

At the proposal of the Minister of Natural Resources and Environment,

The Government promulgates this Decree on the determination of environmental damage.

PART I

PROVISIONS

The decision to switch the issuance of coats, overcoats, windbreakers, and down jackets to other uniforms for civil servants working at the National Market Management and Development Agency is decided by the Minister of Industry and Trade.NG

Article 1. Scope of Regulation

1. This Decree stipulates the responsibility to demand compensation for environmental damage and the determination of such damage, including: Collecting data and evidence to determine environmental damage, calculating environmental damage, and determining the responsibility for compensating environmental damage caused by pollution and degradation in the following cases:

a) Water environment serving conservation, daily life, recreation, production, and other purposes is polluted, severely polluted, or extremely severely polluted;

b) Soil environment serving conservation, production, and other purposes is polluted, severely polluted, or extremely severely polluted;

c) Natural ecosystems within and outside nature reserves that have deteriorated;

d) Protected species under the law die or are injured.

2. This Decree does not apply to cases of environmental damage caused by any of the following reasons:

a) Caused by natural disasters;

b) Caused by force majeure or emergency situations that must comply with the requirements of competent state management agencies;

c) Other cases as provided by law.

3. The determination of damage and compensation for damage to human health, life, property, and legitimate interests of organizations and individuals resulting from the consequences of environmental pollution and degradation shall be carried out in accordance with civil law regulations.

Article 2. Applicability

This Decree applies to organizations and individuals whose actions cause environmental pollution and degradation within the territory of the Socialist Republic of Vietnam, and other related organizations and individuals.

Article 3. Responsibility to Demand Compensation for Environmental Damage and Determination of Such Damage

1. People's Committees at all levels and organizations and individuals who discover signs of environmental pollution or degradation have the responsibility to notify the competent authority responsible for demanding compensation for environmental damage as specified in Clause 2 of this Article.

2. The responsibility to demand compensation for damage is defined as follows:

a) The People's Committee of the commune has the responsibility to demand compensation for environmental damage caused by pollution and degradation within its administrative area. In this case, the People's Committee of the commune has the responsibility to request the People's Committee of the district to organize the collection and examination of data and evidence to determine environmental damage caused by pollution and degradation;

b) The People's Committee of the district has the responsibility to demand compensation for environmental damage caused by pollution and degradation in areas involving two communes, towns, or townships and above;

c) The People's Committee of the province has the responsibility to demand compensation for environmental damage caused by pollution and degradation in areas involving two districts, cities, or provincial-level cities and above;

d) The Ministry of Natural Resources and Environment has the responsibility to demand compensation for environmental damage caused by pollution and degradation in areas involving two provinces or centrally-administered cities and above.

3. The responsibility for collecting and examining data and evidence to determine environmental damage is defined as follows:

a) The People's Committee of the district has the responsibility to organize the collection and examination of data and evidence to determine environmental damage caused by pollution and degradation within its administrative area, except in the cases specified in Points b and c of this Clause;

b) The People's Committee of the province has the responsibility to organize the collection and examination of data and evidence to determine environmental damage caused by pollution and degradation in areas involving two districts, cities, or provincial-level cities and above within its administrative area, except in the cases specified in Point c of this Clause;

c) The Ministry of Natural Resources and Environment takes the lead and coordinates with the People's Committees of the provinces to organize the collection and examination of data and evidence to determine environmental damage caused by pollution and degradation in areas involving two provinces or centrally-administered cities and above.

4. The agency responsible for collecting and examining data and evidence to determine environmental damage as specified in Clause 3 of this Article has the responsibility to calculate the damage, determine the responsibility for compensating environmental damage, and provide the results to the agency specified in Clause 2 of this Article to demand compensation for environmental damage.

5. The Ministry of Natural Resources and Environment guides the procedures for implementing the demand for compensation for environmental damage as specified in Clauses 2, 3, and 4 of this Article.

Chapter II

DATA AND EVIDENCE TO DETERMINE ENVIRONMENTAL DAMAGE

Article 4. Data and evidence for determining environmental damage

1. Data and evidence to be collected to determine organizations and individuals causing environmental pollution and degradation include:

a) Emission sources, activities causing environmental incidents, directly harming or related to the polluted or degraded environment area;

b) Basic information about organizations and individuals related to the polluted or degraded environment area including: Type of activity; products, capacity, input materials; production process; waste; discharge points; waste treatment measures; monitoring and analysis of environmental parameters;

c) Other necessary data and evidence related to the polluted or degraded environment area.

2. Data and evidence to be collected or estimated to calculate environmental damage in cases of water and soil pollution include:

a) Area, volume, quantity of polluted water and soil;

b) Pollutants and their concentrations in water and soil;

c) Decisions, permits, documents of competent state management agencies prescribing the use or approval of planning for the utilization of water and soil environmental components at the location where pollution and degradation occur.

3. Data and evidence to be collected or estimated to calculate environmental damage in cases of natural ecosystem degradation include:

a) Area of degraded natural ecosystems;

b) Degree of degradation of natural ecosystems;

c) Decisions, documents of competent state management agencies prescribing the degree of conservation of natural ecosystems.

4. Data and evidence to be collected or estimated to calculate environmental damage in cases of protected species being injured or killed according to the law include:

a) Protected species that are injured or killed;

b) Number of injured or dead individuals of protected species;

c) Decisions, documents of competent state management agencies prescribing the degree of protection of species.

Article 5. Forms and timing for collecting data and evidence to determine environmental damage

1. Data and evidence to determine environmental damage may take the form of: Images, tapes, data obtained from monitoring, measurement, analysis, remote sensing, geographic information systems, and other forms.

2. Data and evidence to calculate environmental damage must be collected or estimated at the time when the environment is most polluted or degraded since the occurrence or at the time of discovery of environmental pollution or degradation.

Article 6. Procedures and processes for collecting and verifying data and evidence to determine environmental damage

1. The organization of collecting and verifying data and evidence to determine environmental damage shall be carried out in accordance with the following procedures and processes:

a) Identifying types of data and evidence needed to determine environmental damage and compensation for such damage;

b) Selecting service providers for monitoring, assessment, and measurement to collect data and evidence;

c) Organizing a verification board for the collected data and evidence.

2. The verification board for data and evidence determining environmental damage must have at least 30% of its members as environmental experts; at least 30% of its members as management staff; representatives of local authorities where the evidence and data are collected; representatives of community residents and relevant parties.

3. The Ministry of Natural Resources and Environment shall stipulate criteria for selecting and responsibilities of service providers for monitoring, assessment, and measurement to collect data and evidence; guide the establishment and operation of the verification board for data and evidence.

Article 7. Documents for Claiming Compensation for Environmental Damage

1. The documents for claiming compensation for environmental damage include:

a) A request for compensation for damage issued by the responsible agency as stipulated in Clause 2, Article 3 of this Decree;

b) Data and evidence collected and verified according to the provisions of Clause 3, Article 3 and Clause 1, Article 6 of this Decree;

c) The conclusion report of the data and evidence verification board;

d) The calculation results of environmental damage and conclusions on liability for compensation for environmental damage.

2. The Ministry of Natural Resources and Environment shall guide the model of documents for claiming compensation for environmental damage.

Article 8. Responsibility for Providing Data and Evidence to Determine Environmental Damage

Organizations and individuals related to areas where the environment has been polluted or degraded, People's Committees at all levels in areas where the environment has been polluted or degraded have the responsibility to cooperate and provide complete, accurate, and timely data and evidence as required by the agencies organizing the collection and verification of data and evidence as stipulated in Clause 3, Article 3 of this Decree.

Article 9. Costs for Determining Damage and Procedures for Claiming Compensation for Environmental Damage

1. Costs for determining damage and procedures for claiming compensation for environmental damage are actual and reasonable costs for activities carried out by authorized agencies to organize the collection and verification of data and evidence to serve the determination of environmental damage and the implementation of procedures for claiming compensation for environmental damage.

2. During the process of determining damage and implementing procedures for claiming compensation for environmental damage, the agencies organizing the collection and verification of data and evidence as stipulated in Clause 3, Article 3 of this Decree are responsible for advancing funds for damage determination and compensation claim procedures, compiling these costs as the basis for requesting organizations and individuals causing damage to repay during the compensation resolution process as prescribed in Clause 1, Article 14 of this Decree.

3. The Ministry of Natural Resources and Environment, in collaboration with the Ministry of Finance, shall specify detailed regulations on costs for determining damage and procedures for claiming compensation for environmental damage.

Chapter III

CALCULATION OF ENVIRONMENTAL DAMAGE

Article 10. Principles for Calculating Environmental Damage

1. The calculation of environmental damage is based on the costs to mitigate pollution, degradation, and restore the environment at the location of pollution and degradation to meet technical standards for water quality and soil quality; costs to restore ecosystems and protected species to their original state or equivalent.

2. The calculation of environmental damage is based on data and evidence collected, estimated, and verified according to the provisions of this Decree.

3. Environmental damage in a geographic area is the sum of damage to each component of the environment in that geographic area.

Article 11. Calculation of Environmental Damage

1. The total damage caused by pollution and degradation to the environment of a geographic area is calculated using the following formula:

T = T^{N |||} + T^{3. Amend Clause 3 Article 2 as follows:} + T^HST + T^LBV, including:

T is the damage caused by pollution and degradation to the environment of a geographic area;

T^{N |||} is the damage caused by pollution and degradation to water environment;

T^{3. Amend Clause 3 Article 2 as follows:} is the damage caused by pollution and degradation to soil environment;

T^HST is the damage caused by pollution and degradation to ecosystems;

T^LBV is the damage caused to protected species due to pollution and degradation or harm.

2. Damage caused by pollution and degradation to the water environment is defined as follows:

a) In cases where the water environment is only designated for a single purpose and is only polluted at one level, the damage caused by pollution and degradation is calculated using the following formula:

, including:

i is the purpose of using the water environment based on decisions, permits, or documents from competent state management agencies allowing its use or approving plans for the use of the water environment at the location of pollution and degradation, with values ranging from 1 to 7 as specified in Appendix I of this Decree;

j is the degree of water pollution based on collected, estimated, and verified data and evidence according to this Decree, with values ranging from 1 to 3 corresponding to moderate, severe, and extremely severe pollution levels;

 is the damage to the water environment with purpose (i) polluted at level (j);

 is the adjustment factor for damage based on the purpose of using the water environment as specified in Appendix I of this Decree;

 is the total volume of water used for purpose (i) polluted at level (j), determined, estimated, and verified according to this Decree;

 is the cost standard for treating one unit area, volume, or quantity of polluted water at level (j) to meet technical standards for water quality;

b) In cases where the water environment is only designated for a single purpose but includes regions with different levels of pollution, the damage caused by pollution and degradation to the water environment is the sum of damage to each region with different pollution levels, calculated using the following formula:

, including:

 is the damage to the water environment designated for purpose (i);

c) In cases where the water environment is designated for multiple purposes simultaneously, the highest value adjustment factor for damage based on the purpose of use is applied to calculate damage using the formulas in Points a and b of this Clause;

d) In cases where the water environment is divided into multiple regions for different uses, the damage caused by pollution and degradation to the water environment is the sum of damage caused by pollution and degradation to each region of the water environment.

Damage caused by pollution and degradation to each region of the water environment is calculated using the formulas specified in Points a, b, and c of this Clause and based on collected, estimated, and verified data and evidence according to this Decree.

3. Damage caused by pollution and degradation to the soil environment is defined as follows:

a) In the case where the soil environment is only designated for one purpose and is polluted at a certain level, the damage caused to the soil environment due to pollution and degradation shall be calculated according to the following formula:

, including:

i represents the purpose of using the soil environment based on decisions, permits, or documents issued by competent state management agencies allowing its use or approving the planning of soil environment use at the location of pollution and degradation, with a value ranging from 1 to 5 as stipulated in Appendix II of this Decree;

j represents the degree of soil pollution based on data and evidence collected, estimated, and appraised according to this Decree, with a value ranging from 1 to 3 corresponding to the levels of pollution, severe pollution, and extremely severe pollution;

 is the damage to the soil environment with purpose of use (i) that is polluted at level (j);

 is the adjustment factor for damage according to the purpose of use of the soil environment as specified in Appendix II of this Decree;

is the total amount of land used for purpose (i) that is polluted at level (j), determined, estimated, and appraised according to this Decree;

 is the standard cost for treating one unit area, volume, or quantity of polluted land at level (j) to meet environmental quality standards for soil environment quality;

b) In the case where the soil environment is only designated for one purpose (i) but includes areas of land polluted at different levels, the damage caused to the soil environment due to pollution and degradation shall be the sum of the damages to each area of land with different pollution levels, calculated according to the following formula:

, including:

 is the damage to the soil environment designated for purpose (i);

c) In the case where the soil environment is simultaneously designated for multiple purposes, the highest adjustment factor for damage according to the purpose of use shall be applied to calculate the damage according to the formulas set forth in Points a and b of this Clause;

d) In the case where the soil environment is divided into several areas for different purposes of use, the damage caused to the soil environment due to pollution and degradation shall be the sum of the damages caused to each area of the soil environment;

The damage caused to each area of the soil environment due to pollution and degradation shall be calculated according to the formulas prescribed in Points a, b, and c of this Clause and based on data and evidence collected, estimated, and appraised according to this Decree.

4. Damage caused to ecosystems due to pollution and degradation is defined as follows:

a) In the case where an ecosystem is only designated for one conservation level and is degraded at one level, the damage caused to the ecosystem due to pollution and degradation shall be calculated according to the following formula:

, including:

i represents the conservation level of the ecosystem according to decisions or documents issued by competent state management agencies, with a value ranging from 1 to 4 as stipulated in Appendix III of this Decree;

j represents the degree of degradation of the ecosystem based on data and evidence collected, estimated, and appraised according to this Decree and according to laws on determining the degree of degradation of ecosystems;

is the adjustment factor for damage according to the conservation level of the ecosystem as specified in Appendix III of this Decree;

 is the adjustment factor for damage according to the degree of degradation of the ecosystem as provided by law;

 is the total area of the ecosystem designated with conservation level (i) that is degraded at level (j), determined, estimated, and appraised according to this Decree;

 is the standard cost for restoring one unit area of the ecosystem designated with conservation level (i) that is degraded;

b) In the case where an ecosystem is only designated for one conservation level but includes areas degraded at different levels, the damage caused to the ecosystem due to pollution and degradation shall be the sum of the damages to each area degraded at different levels, calculated according to the following formula:

, including:

 is the damage to the ecosystem designated with conservation level (i);

n is the total number of degradation levels as provided by laws on determining the degree of degradation of ecosystems;

c) In the case where an ecosystem is divided into several areas with different conservation levels, the damage caused to the ecosystem due to pollution and degradation shall be the sum of the damages caused to each area;

The damage caused to each area of the ecosystem due to pollution and degradation shall be calculated according to the formulas prescribed in Points a and b of this Clause and based on data and evidence collected, estimated, and appraised according to this Decree.

5. Damage caused to protected species due to pollution and degradation is defined as follows:

a) In the case where individuals of a protected species, as stipulated by law, die or are injured, the damage caused to the protected species due to pollution and degradation shall be calculated according to the following formula:

, including:

k represents the protected species whose individuals have died or been injured due to pollution and degradation of the environment or due to harm;

 is the adjustment factor for damage according to the protection level of the species (k) as specified in Appendix IV of this Decree;

 is the number of individuals of the protected species (k) that have died, determined, estimated, and appraised according to this Decree;

 is the standard cost for restoring or replacing one individual of the protected species (k) that has died;

 is the number of individuals of the protected species (k) that have been injured, determined, estimated, and appraised according to this Decree;

 is the standard cost for rescue, care, and recovery of health for one individual of the protected species (k) that has been injured;

b) In the case where individuals of multiple protected species die or are injured, the damage caused to protected species due to pollution and degradation shall be the sum of the damages caused to each protected species due to pollution, degradation, and harmful acts;

The damage caused to each protected species due to pollution and degradation shall be calculated according to the formula prescribed in Point a of Clause 5 of this Article.

Article 12. Degree of ecological degradation and cost standards for pollution control and environmental restoration

1. The Ministry of Natural Resources and Environment shall guide the determination of the degree of ecological degradation to calculate environmental damage.

2. The Ministry of Natural Resources and Environment shall take the lead and coordinate with the Ministry of Finance to establish cost standards for treating one unit area, volume, or quantity of polluted water or land to meet technical environmental standards as specified in Points a Clause 2, Point a Clause 3 Article 11 of this Decree; cost standards for restoring one unit area of degraded ecosystems as specified in Point a Clause 4 Article 11 of this Decree; cost standards for restoring and replacing protected species individuals that have died and cost standards for rescue and care to restore health of injured protected species individuals as specified in Point a Clause 5 Article 11 of this Decree, serving as the basis for calculating environmental damage.

Chapter IV

DETERMINATION OF LIABILITY FOR ENVIRONMENTAL DAMAGE COMPENSATION

Article 13. Principles for determining liability for environmental damage compensation

1. The identification of organizations and individuals causing environmental pollution and degradation shall be carried out according to the following main principles:

a) Pollution and degradation in a natural geographic area is caused by waste sources or harmful actions within that area or outside it but affecting that area;

b) There must be scientific evidence establishing a link between pollutants that may originate from waste sources or harmful actions and the reduction in function and usefulness of the environment;

c) The identification of organizations and individuals causing environmental pollution and degradation must ensure timeliness and fairness.

2. Organizations and individuals causing environmental pollution and degradation must compensate for all environmental damage they cause, and at the same time pay all costs for determining damage and procedures for claiming compensation to the agency that has advanced funds pursuant to Clause 2 Article 9 of this Decree.

3. In cases where two or more organizations and individuals cause environmental pollution and degradation, the responsibility for compensating for environmental damage, the responsibility for paying costs to determine damage, and the procedures for claiming compensation for each organization and individual shall be determined proportionally to their share of the total environmental damage.

4. Organizations and individuals who fully comply with laws on environmental protection, have waste treatment systems meeting requirements, and can prove that they did not cause environmental pollution or degradation shall not be required to compensate for environmental damage and shall not bear related costs for determining damage and procedures for claiming compensation.

5. The Ministry of Natural Resources and Environment shall guide the procedures and methods for proving that organizations and individuals did not cause environmental pollution as stipulated in Clause 4 of this Article.

Article 14. Resolution of Environmental Damage Compensation

1. Based on data, evidence, and results of damage calculations, the agency specified in Clause 2 Article 3 of this Decree shall decide on compensation resolution through the following forms:

a) Negotiating compensation with the party causing damage;

b) Requesting arbitration to resolve;

c) Initiating litigation before the court.

2. The agency specified in Clause 2 Article 3 of this Decree may use the compensation amount after deducting costs for determining damage and procedures for claiming compensation to invest in pollution control, degradation recovery, and environmental improvement at the location where pollution and degradation occurred.

3. In cases where pollution and degradation occur across two or more provinces or centrally governed cities, the compensation amount after deducting costs for determining damage and procedures for claiming compensation shall be transferred to the Vietnam Environmental Protection Fund to invest in pollution control, degradation recovery, and environmental improvement at the location where pollution and degradation occurred.

Chapter V

IMPLEMENTING PROVISIONS

Article 15. Effective Date

1. This Decree takes effect from March 1, 2015, and replaces Government Decree No. 113/2010/NĐ-CP dated December 3, 2010, on the determination of environmental damage.

2. For acts of environmental pollution and degradation leading to environmental damage occurring before the Environmental Protection Law 2014 took effect and which have not been compensated, the determination of damage and liability for compensation shall be carried out in accordance with the provisions of this Decree.

3. The Ministry of Natural Resources and Environment shall be responsible for guiding the implementation of this Decree.

4. Ministers, heads of ministerial-level agencies, heads of government-affiliated agencies, Chairpersons of provincial and centrally governed city People's Committees, and relevant organizations and individuals shall be responsible for implementing this Decree./

Place of Receipt: - Central Party Committee Secretariat; - Prime Minister, Deputy Prime Ministers; - Ministries, agencies equivalent to ministries, and government agencies; - Provincial People's Councils and People's Committees under central jurisdiction; - Central Party Office and Party Committees; - General Secretary's Office; - President's Office; - Ethnic Council and Committees of the National Assembly; - National Assembly's Office; - Supreme People's Court; - Supreme People's Procuracy; - State Audit Agency; - National Financial Supervisory Commission; - Social Policy Bank; - Vietnam Development Bank; - Vietnam Fatherland Front Central Committee; - Central Agencies of Mass Organizations; - VPCP: BTCN; all PCN, Assistant PM, CEO Portal, all Departments, Bureaus, subordinate units, Gazette; Application Form for Participation in Drug Addiction Treatment Using Substitute Drugs

PRIME MINISTER PRIME MINISTER Nguyen Tan Dung

ANNEX I

WATER ENVIRONMENT USE PURPOSE DAMAGE ADJUSTMENT FACTOR)
(Annexed by Government Decree No. 03/2015/NĐ-CP dated January 6, 2015)

Purpose of water environment use (i)	Hệ Adjustment factor ()
Strictly protected zone of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=1)	5
Other zones of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=2)	3
Buffer zone of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=3)	2
For domestic use (i=4)	2
For industrial, agricultural, aquaculture production (i=5)	1,5
For recreational purposes (i=6)	1,5
For other purposes or not yet planned (i=7)	1

ANNEX II

ADJUSTMENT FACTOR FOR ENVIRONMENTAL DAMAGE BASED ON PURPOSE OF LAND ENVIRONMENT USE ()
(Annexed by Government Decree No. 03/2015/NĐ-CP dated January 6, 2015)

Purpose of land environment use (i)	Hệ Adjustment factor ()
Strictly protected zone of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=1)	5
Other zones of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=2)	3
Buffer zone of natural conservation areas, historical and cultural relics, scenic spots that have been classified (i=3)	2
For agricultural, forestry, aquaculture production (i=4)	1,5
For other purposes or not yet planned (i=5)	1

ANNEX III

ADJUSTMENT FACTOR FOR ENVIRONMENTAL DAMAGE BASED ON LEVEL OF ECOLOGICAL CONSERVATION ()
(Annexed by Government Decree No. 03/2015/NĐ-CP dated January 6, 2015)

Level of ecological conservation (i)	Hệ Adjustment factor ()
1. Natural conservation areas, historical and cultural relics, scenic spots that have been classified
a) Strictly protected zone (i=1)	5
b) Other zones (i=2)	3
c) Buffer zone (i=3)	2
2. Other natural ecosystems not belonging to natural conservation areas (i=4)	1

ANNEX IV

ADJUSTMENT FACTOR FOR ENVIRONMENTAL DAMAGE BASED ON LEVEL OF SPECIES PROTECTION PRIORITY ()
(Annexed by Government Decree No. 03/2015/NĐ-CP dated January 6, 2015)

Level of protection	Hệ Adjustment factor ()
Species listed in the Catalogue of Rare and Precious Species under Priority Protection	10
Species listed in the Catalogue of Wild Animals Prohibited from Exploitation in Nature	8
Species listed in the Catalogue of Wild Animals Subject to Conditional Exploitation in Nature	6
Other species under priority protection as prescribed by law	4