Decree No. 07/2003/ND-CP Amending and Supplementing Certain Provisions of the Investment and Construction Management Regulation issued together with Decree No. 52/1999/NĐ-CP dated July 8, 1999, and Decree No. 12/2000/NĐ-CP dated May 5, 2000 of the Government.

DECREE

Amending and supplementing certain provisions of the investment and construction management regulations issued together with Decree No. 52/1999/NĐ-CP dated July 8, 1999, and Decree No. 12/2000/NĐ-CP dated May 5, 2000, of the GovernmentDeputy ministers of ministerial-level agencies,

___________________

THE GOVERNMENT

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

Considering the proposals of the Minister of Construction, the Minister of Planning and Investment, and the Minister of Finance.

DECREE:

Article 1. Amending and supplementing certain provisions of the Investment and Construction Management Regulations issued together with Decree No. 52/1999/NĐ-CP dated July 8, 1999, and Decree No. 12/2000/NĐ-CP dated May 5, 2000, of the Government (hereinafter referred to as Decree No. 52/CP and Decree No. 12/CP) as follows:

(1). Point đ Clause 2 Article 3 of Decree No. 52/CP shall be amended and supplemented as follows:

"đ) For investment projects of Vietnamese representative offices abroad; projects requiring confidentiality for national security and defense; projects purchasing ownership rights, the preparation of investment projects shall be carried out according to the provisions at point (11) of Article 1 of this Decree (excluding contents that are not suitable for the nature of the project); the examination of projects, investment decisions, and the management of project implementation shall be decided separately by the Prime Minister based on the proposal and recommendation of the relevant agency."

(2). Point 2 Clause 1 Article 1 of Decree No. 12/CP shall be amended and supplemented as follows:

"2. For group A projects consisting of multiple component projects or sub-projects, if each component project or sub-project can operate independently or be implemented in phases as recorded in the feasibility study report approval document or the investment policy decision document of the competent authority, each component project or sub-project shall be implemented from the investment preparation stage and managed during the investment implementation process as an independent investment project."

(3). Article 8 of Decree No. 52/CP shall be amended and supplemented as follows:

"Article 8. Management of planning projects

1. The Ministry of Planning and Investment is the state management agency for overall socio-economic development planning in regions and inter-provincial areas nationwide, responsible for:

a) Guiding the content, procedures for preparing, examining, and managing overall socio-economic development planning projects; industry development planning.

b) Organizing the preparation of overall socio-economic development planning projects for key regions and inter-provincial areas to submit to the Prime Minister for approval.

c) Examining overall socio-economic development planning projects of localities prepared by provincial people's committees (hereinafter referred to as provincial level) according to the division of responsibilities; industry development planning projects prepared by ministries managing industries to submit to the Prime Minister for approval.

The examination content includes:

The consistency of the plan with the socio-economic development strategy;

The rationality of the plan in allocating resources;

The consistency of socio-economic development plans, territorial plans, industry development plans, and construction plans;

The feasibility of the plan.

2. The Ministry of Construction is the state management agency for urban and rural construction planning, and key regional construction planning, responsible for:

a) Guiding the content, procedures for preparing, examining, and managing urban and rural construction planning projects, and key regional construction planning projects.

b) Organizing the preparation of key regional construction planning projects to submit to the Prime Minister for approval.

c) Examining urban and rural construction planning projects prepared by provincial-level people's committees to submit to the Prime Minister for approval according to the division of responsibilities.

The examination content includes:

The consistency of construction planning with the socio-economic development strategy and long-term construction plans;

The consistency of construction planning in population distribution;

The consistency of construction planning with socio-economic development plans, territorial plans, and industry development plans;

The feasibility of the plan and measures for construction planning management.

3. Provincial-level people's committees organize the preparation of overall socio-economic development planning, comprehensive spatial urban planning, and community clusters; urban and industrial zone construction planning projects within their province, approve them, and submit them for review to serve as the basis for investment project development.

4. Ministries manage the preparation of industry development planning projects.

5. The Ministry of Finance guides the temporary advance payment and settlement of costs for preparing and examining planning projects.

6. When researching and preparing comprehensive socio-economic development planning projects, industry development planning projects, and urban and rural construction planning projects, opinions from related ministries, sectors, and localities must be widely solicited. When researching and preparing urban and rural construction planning projects, the agencies organizing the projects must publicly announce and seek public opinion from the people and People's Councils living in the planned areas. Urban and rural construction planning projects (both general and detailed) approved by the competent authorities must be publicly announced and regularly displayed at all levels of people's committees and public places in the planning areas so that the people can implement and monitor the implementation.

7. The Ministry of Planning and Investment and the Ministry of Construction shall carry out (according to their functions) the review of legal normative documents on socio-economic development planning; industry development planning; and construction planning to issue or submit to the competent authority for issuance."

(4). Clause 2 Article 10 of Decree No. 52/CP shall be amended and supplemented as follows:

"2. Authority to decide on investment in projects using state budget funds:

a) The Prime Minister decides on investment in national key projects decided on the investment policy by the National Assembly. The State Investment Appraisal Council organizes the appraisal of projects and submits them to the Prime Minister for investment decision.

b) Ministers, heads of ministerial-level agencies, government agencies, central financial management agencies of the Communist Party of Vietnam, and central agencies of political-social organizations (as defined in the State Budget Law), and Chairmen of provincial-level people's committees decide on investment in group A projects already included in approved socio-economic development plans or industry development plans, or projects with investment policies decided in writing by the competent authority, after obtaining permission from the Prime Minister to invest."

The person authorized to decide on investment for Group A projects shall organize a review of the feasibility study report and be responsible for soliciting written opinions from the relevant ministries, including the Ministry managing the sector, the Ministry of Planning and Investment, the Ministry of Construction (for construction investment projects), the Ministry of Finance, and other related ministries, agencies, and localities to report to the Prime Minister for permission to invest. Within fifteen working days from the date of receiving all necessary documents, the relevant ministries, agencies, and localities must provide written responses.

In cases where Group A projects utilize local government budget funds, they must be submitted for discussion, decision, and public announcement at the People's Council.

The content of the application for investment permission includes:

The alignment of the project with approved socio-economic development plans, industry development plans, and construction plans;

National resource exploitation and utilization regimes; technical solutions;

The financial capability of the project;

State incentives and support for the project;

The investment effectiveness of the project;

The implementation timeline of the project;

Environmental, ecological, fire prevention, safety, resettlement, security, and defense impacts.

Attached to the application for investment permission should be written comments from relevant ministries, agencies, and localities.

For Group A projects not included in approved socio-economic development plans, industry development plans, or construction plans, or lacking a formal investment policy approval from the competent authority, a pre-feasibility study report must first be reviewed and approved by the Prime Minister before preparing the feasibility study report.

The Minister, head of a ministry-level agency, central financial management agency of the Communist Party Central Committee, central agency of political-social organizations (as specified in the State Budget Law), and the Chairman of the provincial People's Committee shall decide on investment or authorize others to decide on investment for Group B and C projects in accordance with approved plans.

For Group B projects not included in approved plans, a written agreement from the authority that approved the plan must be obtained prior to preparing the feasibility study report.

Specifically, for Group C projects, the investment decision-making body must ensure sufficient investment capital to implement the project within two years.

c) Depending on specific conditions, the person authorized to decide on investment may delegate such authority to the entities specified in point d of this clause to decide on investment for Group B and C projects. The delegator shall bear legal responsibility for the delegation, while the delegatee shall be accountable for their decisions both legally and to the delegator.

d) Entities authorized to decide on investment:

- At the ministerial level:

Director-General, Bureau Chief, Chairman of the Board of Directors of State-owned Corporations, General Director of State-owned Enterprises, Head of a ministry-affiliated agency; Commander of Military Regions, Corps, Services, Border Guard, and equivalent positions under the Ministry of Defense.

- At the provincial level:

Department Director, Chairman of the People's Committee of districts, counties, towns, cities under provinces (hereinafter referred to as district level), Chairman of the Board of Directors of State-owned Corporations, General Director of State-owned Enterprises, Head of a provincial People's Committee-affiliated agency.

đ) The Chairman of the People's Committee at the district and commune levels can decide on investment for projects within their local budgets (including additional funding from higher levels) up to three billion VND (for district level) and one billion VND (for commune level) based on specific local conditions stipulated by the provincial People's Committee according to the local socio-economic development plan approved by the competent authority and the capacity of the delegated entities.

Before making an investment decision, the People's Committee at the district and commune levels must seek opinions from qualified professional organizations (including consulting firms) to assess the project. Project implementation must comply with legal regulations.

Commune-level projects utilizing state budget funds for infrastructure construction and social facilities, after being approved by the Commune People's Council, must be endorsed by the District People's Committee regarding investment objectives and planning. If funded by community contributions, the Commune People's Committee is responsible for organizing the investment and construction in accordance with the Regulation on Mobilizing, Managing, and Using Voluntary Contributions from the People for Building Infrastructure in Communes and Towns issued together with Decree No. 24/1999/NĐ-CP dated April 16, 1999.

e) The person authorized to decide on investment shall not use public service funds for new construction investments. For renovation and expansion projects using public service funds exceeding one billion VND, the procedures for investment preparation and execution must be carried out in accordance with this Decree.

(5). Point 2 Clause 5 Article 1 of Decree 12/CP is amended and supplemented as follows:

Authority to decide on investment for projects using state development credit funds and state-guaranteed credit funds:

"2. The Prime Minister decides on investment for national key projects decided on investment policy by the National Assembly. The National Investment Appraisal Council organizes the appraisal of these projects and submits them to the Prime Minister for investment decision.

For Group A, B, and C projects invested by enterprises, the enterprises themselves shall conduct project appraisals and make investment decisions in accordance with regulations and bear legal responsibility; Group A and B projects must align with approved plans; before deciding on investment for Group A projects, approval from the Prime Minister is required. The content of the application for investment permission is as stipulated in Clause (4) of Article 1 of this Decree (excluding written comments from relevant ministries, agencies, and localities)."

The sector management agency and the provincial people's committee shall organize the review of the feasibility study report of Group A projects of enterprises under their management and shall be responsible for soliciting written opinions from the Ministry of Planning and Investment, the Ministry of Construction (for construction investment projects), the Ministry of Finance, and other relevant ministries, sectors, and localities related to the project to compile a report to the Prime Minister for permission to invest. The content of the review of the feasibility study report of the project includes the contents that the main investor must apply for investment permission as stated in Clause (4) of Article 1 of this Decree. Within fifteen working days from the date of receiving all documents, the ministries, sectors, and localities asked for opinions must be responsible for providing written responses.

In cases where Group A or Group B investment projects are not included in the approved planning, they shall be implemented according to the provisions at Point b Clause (4) of Article 1 of this Decree.

Depending on the specific conditions of enterprises, the person authorized to decide on investment may delegate authority to the Director of subordinate units to decide on investment in Group B and C projects. The delegator shall bear legal responsibility for the delegation. The delegatee shall bear legal responsibility for their decision before the law and the delegator.

(6). Point 1 of Clause 6 and Points 1 and 3 of Clause 7 of Article 1 of Decree No. 12/CP shall be amended and supplemented as follows:

Authority to decide on investment in projects using enterprise development capital and other sources of capital:

"1. The Prime Minister decides on investment in national key projects decided on by the National Assembly regarding investment orientation. The State Investment Appraisal Council shall organize the appraisal of investment projects and submit them to the Prime Minister for investment decision."

Group A, B, and C projects invested by enterprises (regardless of economic components) shall self-assess the project, self-decide on investment according to regulations, and bear legal responsibility; investment projects must ensure compliance with approved planning; for Group A projects, before making an investment decision, they must obtain permission to invest from the Prime Minister or the Prime Minister may authorize the Minister or the Chairman of the provincial People's Committee to grant permission to invest.

The sector management agency and the provincial people's committee shall organize the review of the feasibility study report of Group A projects of enterprises under their management and shall be responsible for soliciting written opinions from the Ministry of Planning and Investment, the Ministry of Construction (for construction investment projects), the Ministry of Finance, and other relevant ministries, sectors, and localities related to the project to compile a report to the Prime Minister for permission to invest. The content of the review of the feasibility study report of the project includes the contents that the main investor must apply for investment permission as stated in Clause (4) of Article 1 of this Decree (excluding contents about technical solutions, financial capacity, investment effectiveness of the project, and written comments from relevant ministries, sectors, and localities). Within fifteen working days from the date of receiving all documents, the ministries, sectors, and localities asked for opinions must be responsible for providing written responses.

In cases where Group A or Group B projects are not included in the approved planning, they shall be implemented according to the provisions at Point b Clause (4) of Article 1 of this Decree.

3. For projects using multiple sources of capital, the main investor shall be responsible for separating the items or parts of the project to allocate each type of capital separately to these items or parts and manage them according to the regulations applicable to the allocated type of capital.

For projects using multiple sources of capital that cannot be separated into individual items or parts, the project shall be managed according to the regulations applicable to the source of capital with the largest percentage in the total investment amount of the project.

For projects using contributions from multiple members, based on the contribution ratio and the characteristics of the project, the members shall agree to determine the management method and organizational operation of the project.

(7). Article 14 of Decree No. 52/CP shall be supplemented with Clause 3 as follows:

"3. In tendering, acceptance, and final settlement of investment capital, it is strictly prohibited for the main investor to extort or accept bribes from contractors.

In the tender documents, it is strictly prohibited for the main investor to stipulate contents that create unfair competition among contractors; it is also strictly prohibited to rig tenders and impose conditions contrary to regulations for personal gain.

The main investor directly managing the implementation of the project and the Project Management Board shall be responsible for using the investment capital effectively; fully implementing the financial management regulations; and compensating for material losses caused by wasteful use of state or enterprise investment capital and being criminally prosecuted according to the law.

The Project Management Board is an organization performing the role and responsibilities of the main investor, tasked with directly managing the implementation of the project and bearing legal responsibility before the law and the main investor.

(8). Article 15 of Decree No. 52/CP shall amend Clause 3 and add Clause 4 as follows:

"3. Responsibilities of investment and construction consulting organizations:

a) Investment and construction consulting organizations must ensure full conditions and capabilities as prescribed by the Ministry of Construction when engaging in business activities.

b) They shall bear legal responsibility and responsibility to the main investor for the contents committed in the contract, especially the economic-technical contents determined in their consulting products and must compensate for damages caused.

c) Consulting organizations must purchase professional liability insurance. Insurance premiums shall be included in the price of consulting products. Purchasing professional liability insurance for consulting is a legal condition for consulting activities.

d) For projects using state budget capital, state-guaranteed credit, and state development investment credit, if there is a requirement to hire foreign consultants, the hired foreign organizations and experts must form a joint venture with Vietnamese consultants to carry out the work (except in cases approved by the Prime Minister). Domestic consultants are allowed to form joint ventures, associations, or hire foreign organizations and experts in investment and construction consulting activities.

d) In advisory products, it is strictly prohibited for investment and construction consulting organizations to designate the use of materials or technical supplies from a specific manufacturer or supplier, and they may only require general technical performance criteria for such materials or technical supplies.

e) It is strictly prohibited for investment and construction consulting organizations to buy or sell legal status to participate in bidding or to buy or sell bids, or to disclose bidding information to participating contractors.

4. The Ministry of Finance shall stipulate the insurance regime for professional liability of investment and construction consulting.

(9). Clause 2 of Article 16 of Decree 52/CP shall be amended and supplemented as follows:

"2. Responsibilities of construction enterprises:

a) Construction enterprises must ensure all conditions and capabilities as prescribed by the Ministry of Construction when undertaking construction works.

b) They are responsible under the law and to the project owner for the contents committed in the contract for receiving and executing construction works and must compensate for any damages caused.

c) Construction enterprises must purchase insurance for materials, equipment, and workshops used for construction, work injury insurance for workers, and civil liability insurance for third parties. Insurance premiums are included in production costs. Purchasing insurance is a legal condition for the operation of construction enterprises.

d) It is strictly prohibited for construction enterprises to buy or sell legal status to participate in bidding or to collude, buy or sell bids, or conspire with the project owner during the bidding process."

(10). Article 20 of Decree 52/CP shall be amended and supplemented as follows:

"Article 20. Investment supervision and evaluation:

1. Supervision and evaluation of national economic investment activities, sectors, fields, and localities is referred to as comprehensive investment supervision and evaluation. Supervision and evaluation of investment projects approved or decided upon by authorized persons is referred to as project investment supervision and evaluation.

2. Requirements and contents of investment supervision and evaluation include:

a) Comprehensive investment supervision and evaluation; monitoring and evaluating the scale, speed, structure, and effectiveness of investment in the economy, sectors, and localities at different periods; monitoring and evaluating the implementation of investment according to approved planning, plans, and programs.

b) Supervision and evaluation of the appropriateness of investment project decisions made by ministries, sectors, and authorized bodies compared to approved planning and plans.

c) Supervision and evaluation of the implementation of projects by investors according to the contents approved by authorized bodies and compliance with state regulations on investment and construction.

d) Through investment supervision and evaluation, recommendations are made to the investment decision-making body, investors, or related agencies to consider and handle arising issues.

3. Implementation of investment supervision and evaluation:

a) The Prime Minister directs the implementation of comprehensive investment supervision and evaluation and important national projects, group A projects decided or permitted to invest by the Prime Minister.

The Ministry of Planning and Investment guides investment supervision and evaluation nationwide; implements comprehensive investment supervision and evaluation and important national projects, group A projects decided or permitted to invest by the Prime Minister; compiles and reports quarterly to the Prime Minister on investment supervision and evaluation nationwide.

b) Ministries, provinces, centrally governed cities organize the implementation of comprehensive supervision and evaluation of projects within their jurisdiction; report periodically every six months to the Prime Minister.

c) Investors and Project Management Boards have the responsibility to supervise and evaluate investment projects according to regulations; compile and report periodically every three months to the project decision-making body (capital, progress, bidding, quality) and propose solutions to address issues.

d) Authorized bodies are not allowed to adjust investments for projects that do not comply with investment supervision and evaluation regulations.

đ) Costs for investment supervision and evaluation work shall be guided by the Ministry of Finance in coordination with the Ministry of Planning and Investment.

The Ministry of Planning and Investment shall provide detailed guidance on the contents regarding investment supervision and evaluation."

(11). Abolish Clause 9 of Article 1 of Decree 12/CP; Article 22 of Decree 52/CP shall be amended and supplemented as follows:

"Article 22. Preparation of Investment Projects

1. Investors must hire consulting organizations with legal personality and sufficient capacity to meet the requirements of the project to prepare feasibility study reports, preliminary feasibility study reports, or investment reports and bear responsibility for the contents required in these reports.

For some investors with sufficient capacity, if they undertake the preparation of feasibility study reports, preliminary feasibility study reports, or investment reports themselves, they must have a decision from the authorized investment decision-maker assigning the task of preparing the project.

2. Group A projects already included in approved planning or have a decision on investment policy from authorized bodies do not need to prepare a preliminary feasibility study report but can directly prepare a feasibility study report.

For Group A projects not included in approved planning or without a decision on investment policy from authorized bodies, investors must prepare a preliminary feasibility study report submitted to the Prime Minister for review and approval.

For Group B projects, investors organize the preparation of feasibility study reports; if deemed necessary to prepare a preliminary feasibility study report, the authorized investment decision-maker will review and decide.

3. The following projects do not need to prepare feasibility study reports but only need to prepare investment reports, designs, and cost estimates:

a) Projects with small capital investment (less than 3 billion VND), repair and maintenance projects using public funds.

b) Small-scale social infrastructure projects (Group C projects) using budget funds (not for business purposes) that are consistent with development plans and approved by authorized investment policy decision-makers.

4. Projects for purchasing individual machines and equipment do not need to prepare feasibility study reports but only need to prepare investment reports and cost estimates."

(12). Clause 6 of Article 26 of Decree 52/CP shall be amended and supplemented as follows:

"6. Authority to review investment projects:"

The person with investment decision authority shall direct the assessment of the feasibility study report in accordance with the provisions set forth in Article 27 of Decree 52/CP.

For projects utilizing credit funds, the lending organization shall assess the financial plan and repayment plan to approve or deny the loan before the person with investment decision authority makes a decision.

The person with investment decision authority shall utilize specialized agencies under their jurisdiction that have sufficient capacity to organize the assessment of the feasibility study report and may invite specialized agencies from other relevant ministries and sectors to assess the project. Specifically, for projects using state budget capital managed at the provincial level, the provincial People's Committee shall assign the Provincial Department of Planning and Investment as the lead agency responsible for organizing the project assessment and soliciting opinions from the Provincial Department of Finance, the Provincial Construction Department (for construction investment projects) and other relevant agencies regarding the content of the project assessment.

(13). Article 28 of Decree 52/CP shall be amended and supplemented as follows:

"The State Investment Project Appraisal Council shall be established by the Prime Minister's decision to appraise or re-appraise the following investment projects:

1. Large and important investment projects prior to the Government submitting them to the National Assembly for approval and investment policy decision.

2. Investment projects that have undergone appraisal but the Prime Minister deems it necessary to re-appraise.

3. Investment projects and planning projects as required by the Prime Minister."

The Minister of Planning and Investment shall serve as the Chairman of the State Investment Project Appraisal Council.

(14). Clause 12 of Article 1 of Decree 12/CP is abolished; Point 3.1 of Clause 3 of Article 38 of Decree 52/CP shall be amended and supplemented as follows:

Approval authority for technical design and total budget estimate:

"3.1. For investment and construction projects funded by the state budget, credit guaranteed by the state, and state development credit:

a) Technical designs and total budget estimates for national key projects decided by the Prime Minister for investment, and group A projects funded by the state budget shall be approved by the Minister, Head of a ministry equivalent to a ministry, or head of a government agency, or the Chairman of the provincial People's Committee with investment projects or the person with investment decision authority after obtaining the review opinion of the Ministry of Construction.

Specifically, for specialized construction works within group A projects funded by the state budget, they shall be implemented according to the following regulations: water conservancy, agricultural, and forestry construction works shall be assigned to the Ministry of Agriculture and Rural Development; transportation construction works to the Ministry of Transport; tunnel, mine, power plant, transmission line, and substation construction works to the Ministry of Industry; postal and telecommunications construction works where the main part is specialized technology to the Ministry of Posts and Telecommunications; security, defense, and national secret protection construction works to the Ministry of Defense and the Ministry of Public Security, which will take the lead in organizing reviews and approving technical designs and total budget estimates.

For group A projects funded by credit guaranteed by the state and state development credit, and investment projects for purchasing equipment with special professional requirements, relevant ministries, sectors, and localities shall organize their own reviews of the designs and total budget estimates to submit to the competent authority for approval.

The agency leading the review of technical designs and total budget estimates must bear legal responsibility for the content of its review.

b) For group B and C construction investment projects managed by central ministries, sectors, and agencies, the person with investment decision authority shall approve the technical design and total budget estimate after receiving the review from the specialized management agency of the investment decision-making level.

For group B and C construction investment projects managed by localities, the Chairman of the provincial People's Committee shall approve the technical design and total budget estimate after receiving the review from the provincial Construction Department or the department with specialized construction functions (depending on the nature of the project).

For group A, B, and C construction investment projects invested by enterprises, the enterprise shall organize its own review, and the person with investment decision authority shall approve the technical design and total budget estimate.

c) The person with approval authority for technical design and total budget estimate as stipulated in points a and b of this item may delegate such authority to the head of a directly subordinate unit to approve the technical design and total budget estimate, but they must bear legal responsibility for such delegation. The delegatee shall bear responsibility for their decision before the law and the delegator.

d) For construction investment projects implementing technical design and detailed construction drawings (detailed design), based on the technical complexity of the project components and the professional capacity and specialized staff of the investor, the person with approval authority for technical design and total budget estimate may delegate authority to the investor to approve detailed design and budget estimates for project components consistent with the approved technical design and total budget estimate.

In cases where changes occur in detailed design and component budget estimates compared to the approved technical design and total budget estimate, the investor must submit to the competent authority for examination and approval.

During construction, the investor may only change the design and budget after being inspected and permitted by the person with investment decision authority. In urgent situations requiring immediate handling of design changes, the investor may make decisions and bear legal responsibility and accountability to the person with investment decision authority.

(15). Clause 5 of Article 45 of Decree 52/CP shall be amended and supplemented as follows:

"5. Projects funded by the state budget, credit guaranteed by the state, state development credit, and state-owned enterprise development investment must have their designs and budget estimates approved by the competent authority before commencement, strictly prohibiting the practice of designing and constructing simultaneously."

For group A projects, if technical design and total budget estimate have not been approved but it is necessary to commence construction, there must be a commencement section design and estimate approved by the competent authority and a lawful tendering and contracting agreement. At the latest, after completing 30% of the total investment amount, the technical design and total budget estimate must be approved by the competent authority.

The Ministry of Construction is responsible for inspecting the implementation of the contents stipulated in this clause and handling or recommending the competent authority to handle cases where such implementation is deliberately not carried out.

(16). Clause 3 Article 47 Decree 52/CP shall be amended and supplemented as follows:

"3. The Prime Minister decides on the establishment of the State Acceptance Council for construction works. The State Acceptance Council is responsible for inspecting and reviewing the acceptance work of the project owner and directly accepting construction works belonging to group A projects, important national projects when deemed necessary, and other works requested by the Prime Minister.

- The Chairman of the State Acceptance Council is the Minister of Construction.

- The organizational structure, tasks, rights, and responsibilities of the State Acceptance Council shall be prescribed by the Prime Minister.

(17). Article 49 Decree 52/CP shall be amended and supplemented with clauses 1, 6, 8, 9, 12 and added clause 13 as follows:

"1. For projects or construction packages implementing direct award, capital investment payment shall be based on the value of the quantity of work completed and accepted at each stage or monthly according to the contract signed.

6. The project owner, capital provider, or lender has the responsibility to consider and create conditions to meet the necessary requirements for advance funding for certain large components, semi-finished products in construction that need to be produced in advance to ensure investment progress and some special materials, materials that need to be stored seasonally, and other incidental works during the implementation of the investment.

8. In the final year of construction or commissioning of a component or project, the quantity of construction work of that component or project in that year can only be paid in full when the contractor has completed the settlement report with the project owner; for foreign contractors, retention and payment will follow international practice.

Annually, the capital provider, lender retains 5% of the total planned investment capital of the project and will notify completion after the project owner completes the final settlement of investment capital within the specified time limit as stipulated in Clause 18 Article 1 of this Decree in the planning year.

9. Payment of investment capital for construction packages implementing bidding shall be made according to the progress recorded in the tendering and contracting agreement and the contract value (for lump sum contracts) or paid according to the bid price and specific conditions recorded in the contract.

After the completion of construction, the final settlement of construction packages shall not exceed the total budget estimate and total investment amount approved by the competent authority for investment approval.

Payment period: Within ten working days from the date the contractor submits complete payment procedures, the project owner must pay the value of the work completed to the contractor. Based on the payment proposal submitted by the project owner, within seven working days from receiving complete valid documents, the capital disbursing and lending agency (depending on the source of investment capital of the project) is responsible for making payments according to the payment method stipulated in this clause and the unamended provisions of Article 49 of Decree 52/CP.

12. For state budget funds for construction and some special projects, advance payment and capital investment payment shall be guided specifically by the Ministry of Finance.

13. For construction packages or projects implemented under Design-Supply-Construct Contracts (EPC), advance payment for equipment procurement shall be based on the payment schedule of the supply contract. For other works, the advance payment shall be 15% of the package value but shall not exceed the annual investment plan of the package.

(18). Clause 2 Article 56 Decree 52/CP shall be amended and supplemented as follows:

"2. Capital investment settlement deadline:

a) For important national projects, after the project is put into operation, the project owner must complete the capital investment settlement report and submit it to the competent authority for approval within twelve months at the latest.

b) For group A projects, after the project is put into operation, the project owner must complete the capital investment settlement report and submit it to the competent authority for approval within nine months at the latest.

c) For group B and C projects, after the project is completed and put into operation, the project owner must complete the capital investment settlement report and submit it to the competent authority for approval within six months at the latest.

d) For projects with individual components that can be independently commissioned, after the handover to the project owner, the project owner must complete the component capital investment settlement report and submit it to the competent authority for approval within three months at the latest.

(19). Article 57 Decree 52/CP shall be amended and supplemented as follows:

Projects using state budget funds, state-guaranteed credit, and state development investment credit must be reviewed and approved for capital investment settlement according to regulations:

1. Review of capital investment settlement:

Before approving the capital investment settlement, all settlement reports must be reviewed. The authority approving the capital investment settlement decides on the organization to review the settlement according to the following:

a) Engage an independent auditing organization operating in Vietnam to audit the settlement report. If the authority approving the capital investment settlement conducts its own review, it must have a specialized agency capable of performing the task.

b) Responsibilities for reviewing the settlement:

- The capital providing, lending, and paying agency is responsible for confirming the amount of capital provided, lent, and paid to the project.

- The auditing organization and specialized agency conducting the settlement review must bear legal responsibility for the results of the settlement review.

2. Approval of capital investment settlement:

a) The Minister of Finance shall approve the final account settlement of investment capital for projects decided to be invested in by the Prime Minister and Group A projects using state budget funds.

b) For the remaining projects, the person authorized to decide on investment is also the person who approves the final account settlement of investment capital.

3. Costs for auditing and approving the final account settlement of investment capital shall be included in the total approved budget estimate.

The Ministry of Finance shall provide guidance on the content of auditing final account reports, management and use of auditing fees and approval costs for the final account settlement of investment capital."

(20). Article 60 of Decree No. 52/CP shall be amended and supplemented as follows:

"1. The form of direct management and implementation of projects by the project sponsor shall be implemented for sponsors who have the necessary conditions in terms of business expertise and specialization suitable for the investment project.

2. For construction projects using state budget funds, when implementing the form of direct management and implementation of projects by the sponsor, the sponsor must establish a Project Management Board with sufficient capacity and expertise in accordance with the regulations of the Ministry of Construction."

(21). Article 62 of Decree No. 52/CP shall be amended and supplemented as follows:

"1. The key delivery form prescribed in this Decree is the form of managing and implementing projects after the project has been decided to invest in. Based on the feasibility study report approved by the competent authority, the sponsor selects the contractor and assigns the contractor to implement the total contract from survey design, procurement of materials and equipment, construction installation until completion and handover of the works to the sponsor through the EPC Contract.

The EPC Contract may be applied to projects, sub-projects (project components), or packages.

The content of the EPC Contract shall follow the guidelines of the Ministry of Construction.

2. When implementing the EPC Contract for projects using state budget funds, the sponsor must establish a Project Management Board with sufficient capacity in accordance with the regulations of the Ministry of Construction.

3. The sponsor is responsible for hiring consultants to supervise the implementation process of the EPC Contract and organize acceptance of the contract in accordance with regulations.

4. For sponsors who do not have the conditions to directly manage and implement projects, it is encouraged to apply the key delivery form through the EPC Contract; when applying, the contractor must be selected based on having sufficient capacity to organize the implementation of the project, ensuring quality, progress, reasonable prices, and other requirements set forth by the sponsor in the EPC Contract."

(22). Point 1 Clause 16 of Article 1 of Decree No. 12/CP shall be amended and supplemented as follows:

"1. The form of self-implementing projects shall only be applicable in the following cases:

a) The sponsor is a business enterprise registered for production and construction activities suitable for the requirements of the project, regardless of the source of investment capital.

b) The sponsor has sufficient capacity for production and construction activities suitable for the requirements of forest planting, perennial tree planting projects (including new planting and annual care of planted trees); aquaculture and agriculture projects (belonging to the agricultural, forestry, fisheries, and industrial sectors); breeding and seedling projects, land reclamation and construction of paddy fields; underground mine investment projects, coal and ore extraction, regular maintenance and repair of construction works and production equipment; construction works of detention centers."

12/2025/TT-BNNMT dated June 19, 2025 issued by the Minister of Agriculture and EnvironmentHandling of ongoing investment projects:

"Projects approved before the effective date of this Decree but not yet commenced or still being implemented shall continue their subsequent works during the implementation phase according to the provisions of this Decree without needing to resubmit the project for approval."

Article 3. Contents on investment management and construction at some articles stipulated in Decree No. 52/CP and Decree No. 12/CP that contradict the contents of the amended and supplemented provisions in this Decree shall be abolished.

Article 4. The Ministry of Construction, the Ministry of Planning and Investment, and the Ministry of Finance shall take the lead (in accordance with their assigned functions) to coordinate with relevant ministries and agencies to guide and monitor the implementation of this Decree.

Every six months and annually, ministries, sectors, localities, State-owned corporations shall be responsible for compiling the situation of investment and construction of their agencies and units and any issues encountered and send them to the Ministry of Construction, the Ministry of Planning and Investment, and the Ministry of Finance for consolidation and reporting to the Prime Minister.

Article 5.This Decree shall take effect fifteen days after its publication in the Official Gazette..

Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairmen of People's Committees of provinces and centrally governed cities, Chairmen of Boards of Directors of state-owned enterprises, and related organizations shall be responsible for enforcing this Decree.