Decree No. 12/2009/ND-CP on project management for construction investment projects

DECREE

Regarding project management for construction investment

_______

THE GOVERNMENT

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

Pursuant to the Construction Law dated November 26, 2003;

Considering the proposal of the Minister of Construction,

DECREE:

PART I

GENERAL PROVISIONS

Article 1. Scope of Application

This Decree guides the implementation of the Construction Law on the preparation, review, and approval of construction investment projects; the implementation of construction investment projects; and the capacity conditions of organizations and individuals in construction activities.

The preparation, review, and approval of construction investment projects using Official Development Assistance (ODA) funds shall be carried out in accordance with the laws on construction and the laws on the management and use of ODA funds.

Article 2. Classification of Projects and State Management of Construction Investment Projects

1. Construction investment projects (hereinafter referred to as projects) are classified as follows:

a) According to scale and nature: national key projects which are examined and decided upon by the National Assembly regarding investment policies; other projects are divided into three groups A, B, C as stipulated in Appendix I of this Decree;

b) According to sources of investment capital:

- Projects using state budget funds;

- Projects using credit guaranteed by the State, and State development investment credit;

- Projects using development investment capital of state-owned enterprises;

- Projects using other capital including private capital or mixed funding from multiple sources.

2. Construction of works must be consistent with overall socio-economic development plans, sectoral plans, construction plans, ensuring social security and environmental safety, and complying with land laws and other relevant laws.

3. In addition to the provisions of Clause 2 of this Article, depending on the source of capital used for the project, the State manages according to the following regulations:

a) For projects using state budget funds, including component projects, the State manages the entire investment process from determining investment policies, preparing projects, making investment decisions, designing, preparing budgets, selecting contractors, construction, acceptance, handover, and operation;

b) For projects of enterprises using credit guaranteed by the State, State development investment credit, and development investment capital of state-owned enterprises, the State manages the policy and scale of investment. Enterprises with projects are responsible for organizing and managing the projects in accordance with this Decree and other relevant laws;

c) For projects using other capital including private capital, the investor decides independently on the form and content of project management. For projects using mixed funding from different sources, the parties contributing capital agree on the management method or manage according to the regulations applicable to the largest percentage of capital in total investment.

4. For national key projects or group A projects consisting of several component projects, if each component project can operate independently or be implemented in phases, each component project may be managed and implemented as an independent project. The division of projects into component projects is decided by the investment decision-maker.

Article 3. Investors in Construction Works

Investors in construction works are those who own capital or are entrusted to manage and use capital for construction investment, including:

1. For projects using state budget funds, the investor in construction works is determined by the investment decision-maker before preparing the construction investment project in accordance with the State Budget Law.

a) For projects decided on investment by the Prime Minister, the investor is one of the following agencies or organizations: Ministries, ministerial-level agencies, government agencies, other central agencies (collectively referred to as ministry-level agencies), People's Committees of provinces and centrally-administered cities (collectively referred to as provincial-level People's Committees), and state-owned enterprises;

b) For projects decided on investment by ministers, heads of ministry-level agencies, and chairpersons of People's Committees at all levels, the investor is the unit managing and using the work.

If the unit managing and using the work cannot be determined or does not meet the conditions to be an investor, the investment decision-maker may entrust it to a unit that meets the conditions to be an investor. If the unit managing and using the work does not meet the conditions to be an investor, the unit will manage and use the work and is responsible for appointing personnel to participate with the investor in organizing the preparation of the project, design, monitoring, management, acceptance, and taking over the work for operation and use;

c) If the investor cannot be determined according to the provisions of point b of this clause, the investment decision-maker may delegate to another unit that meets the conditions to be an investor or act as the investor simultaneously.

2. For projects using credit, the borrower is the investor.

3. For projects using other capital, the investor is the owner of the capital or the person representing according to the law.

Article 4. Supervision and evaluation of investment for construction projects

1. Projects using state capital exceeding 50% of the total investment amount must be subject to supervision and investment evaluation. For projects using other capital, the supervision and investment evaluation shall be decided by the investor decision-maker.

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

a) Assessing the effectiveness and feasibility of the project;

b) Monitoring and evaluating the implementation of the project by the investor according to the contents approved by the competent authority and compliance with state regulations on investment and construction;

c) Through supervision and evaluation of investment, identifying any emerging or adjusted contents and proposing recommendations to the competent authority to ensure the effectiveness and feasibility of the project.

3. Implementation of investment supervision and evaluation:

a) The investor decision-maker or the authorized person to make investment decisions is responsible for organizing the supervision and evaluation of investment. Specifically, for projects decided on investment by the Prime Minister, the Ministry managing the sector will organize the supervision and evaluation of investment. For projects supervised and evaluated by the Minister, Head of a ministry-level agency, or Chairman of the People's Committee of a province, they must report the implementation status of investment projects to the Ministry of Planning and Investment for consolidation and reporting to the Prime Minister;

b) The Ministry of Planning and Investment guides the supervision and evaluation of investment for projects; summarizes the national supervision and evaluation of investment work, periodically reports to the Prime Minister.

Chapter II

ESTABLISHING, REVIEWING AND APPROVING INVESTMENT PROJECTS FOR CONSTRUCTION

Article 5. Preparing the Investment Report for Construction Projects (Feasibility Study Report) and Applying for Investment Permission

1. For national key projects, the investor must prepare the Investment Report for Construction Projects to submit to the National Assembly for consideration and decision on the investment policy. For other projects, the investor does not need to prepare the Investment Report.

2. Contents of the Investment Report for Construction Projects include:

a) The necessity of investing in construction, favorable and unfavorable conditions; resource exploitation and usage system if applicable;

b) Estimated scale of investment: capacity, construction area; project components; estimated construction location and land use requirements;

c) Preliminary analysis and selection of technology, technical parameters; supply conditions for materials, equipment, raw materials, energy, services, technical infrastructure; land clearance and resettlement plans if applicable; impacts of the project on the environment, ecology, fire prevention, security, and defense;

d) Investment form, preliminary determination of the total investment amount, project implementation period, funding mobilization plan according to progress and economic-social efficiency of the project and phased investment if applicable.

Article 6. Preparing the Investment Project for Construction (Detailed Feasibility Study Report)

1. When constructing a project, the investor must organize the preparation of the investment project and submit it to the investor decision-maker for review and approval, except in the following cases:

a) Construction works only require the preparation of the Economic and Technical Report for Construction Works as stipulated in Clause 1, Article 13 of this Decree;

b) Individual residential buildings constructed by individuals as stipulated in Clause 5, Article 35 of the Construction Law.

2. The content of the project includes the explanatory section as prescribed in Article 7 and the basic design section as prescribed in Article 8 of this Decree.

3. For projects not included in the approved sectoral planning, the investor must report to the sector management ministry or localities at the appropriate level for examination and approval to supplement the planning within their jurisdiction or submit to the Prime Minister for approval to supplement the planning before preparing the investment project for construction.

The location and scale of construction must comply with the approved construction planning. In cases where the project is not included in the construction planning, the location and scale of construction must be approved in writing by the provincial People's Committee for Class A projects or have written approval from the competent authority that approves the planning for Class B and C projects. The time for reviewing and approving the sectoral planning or construction planning shall not exceed 15 working days.

Article 7. Content of the explanatory section of the Investment Project for Construction Works

1. The necessity and investment objectives; market demand assessment, product consumption for production and business projects; product competitiveness; social impact on localities, regions (if applicable); form of construction work investment; construction location, land usage requirements; conditions for supplying raw materials, fuel, and other input factors.

2. Description of the scale and area of construction works, project components; analysis of technical, technological, and capacity options.

3. Implementation solutions including:

a) General plan for land clearance, resettlement, and infrastructure construction support if necessary;

b) Architectural design options for urban construction works and those with architectural requirements;

c) Operation plan for the project and labor utilization;

d) Implementation phases, progress schedule, and project management form.

4. Environmental impact assessment, fire prevention and firefighting measures, and security and defense requirements.

5. Total investment amount of the project; capital arrangement capability, sources of funds, and funding capacity according to the schedule; repayment plan for projects requiring capital recovery, and economic-financial and social effectiveness analysis of the project.

Article 8. Content of the Basic Design of the Investment Project for Construction Works

1. Basic design is carried out during the preparation phase of the Investment Project for Construction Works based on selected design options, ensuring key technical parameters are reflected in compliance with applicable standards and regulations, serving as the basis for subsequent design stages.

The content of basic design includes the explanatory section and drawings.

2. The explanatory section of the basic design includes the following contents:

a) Summary introduction of the construction site, design options; overall layout of the construction works, or route design scheme for linear construction works; size and scale of construction components; interconnection between project components and regional technical infrastructure;

b) Technology schemes, production lines for technology-intensive works;

c) Architectural design options for works with architectural requirements;

d) Main structural schemes, technical systems, and primary technical infrastructure of the works;

đ) Environmental protection plans, fire prevention and firefighting schemes as prescribed by law;

e) List of main standards and regulations applied.

3. The drawing section of the basic design includes:

a) Overall layout drawings of the construction works or route design scheme drawings for linear construction works;

b) Process flow diagrams, production line drawings for technology-intensive works;

c) Architectural design drawings for works with architectural requirements;

d) Main structural, technical system, and primary technical infrastructure drawings of the works, connected to regional technical infrastructure.

Article 9. Documents Submitted for Review of the Investment Project for Construction Works

Documents submitted for review of the Investment Project for Construction Works include:

1. Application for project review according to the model attached as Appendix II to this Decree.

2. The project comprising the explanatory section and basic design.

3. Relevant legal documents.

Article 10. Competence to Review Investment Projects for Construction Works

1. The investment decision-maker shall be responsible for organizing the review of the project before approval. The entity in charge of reviewing the project is the specialized unit directly under the investment decision-making level. The entity in charge of reviewing the project shall be responsible for soliciting opinions on the basic design from the state management agency according to Clause 6 of this Article and obtaining opinions from related agencies to review the project. The investment decision-maker may hire consultants to review part or all of the contents stipulated in Clause 1 and Clause 2 of Article 11 of this Decree.

For projects that have been delegated or authorized to decide on investment, the person who has been delegated or authorized to decide on investment shall be responsible for organizing the review of the project.

2. The Prime Minister shall establish the National Review Council for Investment Projects to organize the review of projects decided on investment by the Prime Minister and other projects if deemed necessary. The Minister of Planning and Investment shall be the Chairman of the National Review Council for Investment Projects.

3. For projects using state budget capital:

a) The Ministry-level agency shall organize the review of the project decided on investment by itself. The entity in charge of organizing the review of the project is the specialized unit directly under the investment decision-maker;

b) The Provincial People's Committee shall organize the review of the project decided on investment by itself. The Department of Planning and Investment is the entity in charge of organizing the review of the project.

The District People's Committee and Commune People's Committee shall organize the review of the project decided on investment by themselves. The entity in charge of reviewing the project is the unit with the function of managing the budget plan directly under the investment decision-maker.

4. For other projects, the investment decision-maker shall organize the review of the project independently.

5. For special construction projects, the review of the project shall be carried out in accordance with the provisions of the Government's Decree on the management of investment in special construction projects.

6. The review of the basic design shall be conducted concurrently with the review of the investment project, without having to organize a separate review.

State management agencies shall participate in providing opinions on the basic design:

a) The Ministry managing the specialized construction works for national key projects, Group A projects;

b) The Department managing the specialized construction works for Group B, Group C projects.

The Ministry of Construction shall issue a Circular specifying the competence and responsibility of the above agencies in participating in providing opinions on the basic design.

7. The time limit for reviewing the project, calculated from the date of receiving complete valid files, specifically:

a) For national key projects: the time limit for reviewing the project shall not exceed 90 working days;

b) For Group A projects: the time limit for reviewing the project shall not exceed 40 working days;

c) For Group B projects: the time limit for reviewing the project shall not exceed 30 working days;

d) For Group C projects: the time limit for reviewing the project shall not exceed 20 working days.

Article 11. Contents of Review of Investment Projects for Construction Works

1. Examining factors ensuring the effectiveness of the project, including: necessity of investment; project input factors; scale, capacity, technology, time, implementation progress of the project; financial analysis, total investment amount, economic and social benefits of the project.

2. Examining factors ensuring the feasibility of the project, including: compliance with planning; land use requirements, natural resources (if any); ability to clear land, ability to mobilize funds to meet the project schedule; investor management experience; ability to repay borrowed capital; fire prevention and firefighting solutions; factors affecting the project such as national defense, security, environment, and other relevant legal regulations.

3. Examining the basic design, including:

a) Compliance of the basic design with detailed construction planning or approved overall layout; compliance of the basic design with the selected route scheme for construction works along routes; compliance of the basic design with the location, scale of construction, and planning indicators already approved for construction works in areas without approved detailed construction planning;

b) Compatibility of connection with the technical infrastructure of the area;

c) Rationality of the technological scheme, production line technology for construction works requiring technology;

d) Application of construction standards, environmental standards, fire prevention and firefighting standards;

đ) Conditions for the operational capacity of consulting organizations, professional qualifications of individuals preparing the basic design as prescribed.

Article 12. Authority to Decide on Investment in Construction Projects

1. For projects using state budget funds:

a) The Prime Minister decides on investment for national key projects according to the Resolution of the National Assembly and other important projects;

b) The Minister, Head of a Ministry-level agency decides on investment for Group A, B, and C projects. The Minister, Head of a Ministry-level agency may delegate or decentralize the authority to decide on investment for Group B and C projects to subordinate agencies;

c) The Chairman of People's Committees at all levels decides on investment for Group A, B, and C projects within the scope and budget balancing capacity of the locality after approval by the People's Council at the same level. The Chairman of Provincial and District People's Committees may delegate or decentralize the authority to decide on investment for Group B and C projects to subordinate agencies;

d) Depending on the specific conditions of each locality, the Chairman of the Provincial People's Committee specifies the detailed regulations for the Chairman of the District and Commune People's Committees to decide on investment for projects using financial support from higher-level budgets.

2. For projects using other funds or mixed funds, the investor decides on investment and bears responsibility.

3. The person with the authority to decide on investment can only make such decisions after obtaining the results of project appraisal. Specifically, for projects using credit funds, lending organizations must appraise the financial plan and repayment plan before approving or rejecting the loan.

4. The content of the decision to invest in construction projects follows the model set out in Appendix III of this Decree.

Article 13. Economic and Technical Report on Construction Projects

1. When investing in the following construction projects, the investor does not need to establish an investment project but only needs to prepare an Economic and Technical Report on Construction Projects to submit for approval by the investment decision-maker:

a) Construction projects for religious purposes;

b) New construction, renovation, repair, and upgrade projects with a total investment amount under VND 15 billion (excluding land use fees), consistent with socio-economic development plans, industry plans, and construction plans; except when the investment decision-maker deems it necessary and requires the establishment of an investment project.

2. The content of the Economic and Technical Report on Construction Projects shall be implemented in accordance with Clause 4 of Article 35 of the Construction Law.

3. The person with the authority to decide on investment as stipulated in Article 12 of this Decree is responsible for organizing the appraisal of the Economic and Technical Report on Construction Projects and making the investment decision.

4. The investor is responsible for organizing the appraisal of the construction design drawings and estimates to obtain approval for the Economic and Technical Report on Construction Projects.

Article 14. Adjustment of Investment Projects for Construction Projects

1. An investment project for a construction project may be adjusted if any of the following situations occur:

a) Affected by natural disasters such as earthquakes, typhoons, floods, tsunamis, enemy attacks, or other force majeure events;

b) New factors emerge that bring higher efficiency to the project;

c) When the construction planning changes directly affecting the location, scale, nature, and objectives of the project;

d) Due to abnormal fluctuations in raw material, fuel, material prices, exchange rates for foreign currency components, or new government policies that allow adjustments to the construction project investment price floor.

2. When adjusting the project leads to changes in the location, scale, or objectives of the project or exceeds the approved total investment amount, the investor must report to the investment decision-maker for approval. If the adjustment does not change the location, scale, objectives, and does not exceed the approved total investment amount, the investor may adjust the project independently. Any changed contents must be reappraised.

3. The person deciding to adjust the investment project for a construction project is legally responsible for their decision.

Article 15. Architectural design competition for construction projects

1. Encouragement is given to architectural design competitions for construction projects with architectural requirements.

2. For large public works with specific architectural requirements, the investment decision-maker decides on conducting a competition or selecting the optimal architectural design proposal that meets urban aesthetic and landscape requirements.

3. The author of the selected architectural design proposal shall be guaranteed their copyright and may directly negotiate and sign contracts to implement the project investment planning and construction design when the author has the required capacity according to regulations; if the author lacks the required capacity, they may form a consortium with a consulting organization that has the required capacity to sign a contract with the investor. If the author of the selected architectural design proposal refuses to implement the project investment planning and construction design, the investor shall organize the selection of another contractor in accordance with the law.

Chapter III

IMPLEMENTATION OF INVESTMENT PROJECTS FOR CONSTRUCTION

Section 1. DESIGN OF CONSTRUCTION PROJECTS

Article 16. Steps in Construction Project Design

1. Construction project design includes the following steps: basic design, technical design, construction drawing design, and other design steps according to international practices decided by the investment decision-maker upon approval of the project.

a) Basic design is defined in Clause 1, Article 8 of this Decree;

b) Technical design is carried out based on the basic design in the approved construction project investment plan, ensuring full representation of technical parameters and suitable materials in compliance with applicable standards and regulations, serving as the basis for implementing construction drawing design;

c) Construction drawing design ensures full representation of technical parameters, suitable materials, and detailed structures in compliance with applicable standards and regulations, providing sufficient conditions for construction implementation.

2. An investment project for construction may include one or more types of projects at different levels. Depending on the scale and nature of the specific project, construction project design can be implemented in one, two, or three steps as follows:

a) One-step design applies to construction projects that only prepare an economic and technical report. In this case, the basic design, technical design, and construction drawing design steps are combined into one step called construction drawing design.

For one-step design cases, standard designs or typical designs issued by competent state authorities may be used to implement construction drawing design;

b) Two-step design includes basic design and construction drawing design applied to projects requiring a feasibility study except those specified in points a and c of this clause. In this case, technical design and construction drawing design steps are combined into one step called construction drawing design;

c) Three-step design includes basic design, technical design, and construction drawing design applied to projects requiring a feasibility study. Depending on the complexity of the project, the implementation of three-step design is decided by the investment decision-maker.

When implementing two-step or three-step design, the subsequent design step must be consistent with the previously approved design step.

3. The investor is responsible for organizing the construction project design; if the investor has the required capacity, they may conduct the design themselves, otherwise, they should hire a consulting organization for design. Specifically, for three-step design, the construction contractor may be tasked with preparing the construction drawing design if they have the required capacity according to regulations.

Article 17. Design Documents and Construction Budget for Construction Projects

1. Design documents for each construction project shall include design descriptions, design drawings, related construction survey documents, maintenance procedures for the project, and the construction budget for the project.

2. Design documents for construction projects must be stored in accordance with the laws on record keeping.

Article 18. Review and Approval of Technical Design and Construction Drawing Design

1. Review and approval of design for three-stage design cases

a) For technical design:

The investor shall organize the review and approval of the technical design. The results of the review and approval of the technical design shall be documented in writing, including the following contents:

- The conformity of the technical design with the basic design;

- The rationality of the structural solutions of the project;

- Compliance with applicable construction standards and regulations;

- Safety assessment of the project;

- The rationality of the selection of production lines and technological equipment for projects with technological requirements;

- Compliance with environmental protection and fire prevention regulations.

The investor may hire consultants to review part or all of the above contents as a basis for the review. The results of the review shall be documented in writing.

b) For construction drawing design:

Construction drawing design must be confirmed by the signature and stamp of the investor or their authorized representative before being put out for construction. The investor may hire construction supervision consultants to check the construction drawing design and sign confirmation in the drawings before approving them.

2. Review and approval of construction drawing design for two-stage and single-stage design cases

a) For two-stage design cases, the investor shall organize the review and approval of the construction drawing design. For single-stage design cases, the investor shall organize the review of the construction drawing design for the investment decision-maker to approve together with the economic and technical report on construction of the project.

b) The content of the review of construction drawing design shall be carried out as prescribed in point a, Clause 1 of this Article.

c) The stamping of confirmation on drawings before putting them out for construction shall be carried out as prescribed in point b, Clause 1 of this Article.

3. Costs for reviewing and checking construction design shall be included in the total investment amount and construction budget for the project.

Section 2. CONSTRUCTION PERMIT

Article 19. Construction Permit for Construction Projects

1. Before commencing construction of a project, the investor must have a construction permit, except for the following construction projects:

a) State secrets projects, emergency construction projects, temporary construction projects serving main construction projects;

b) Linear construction projects not passing through urban areas but conforming to approved planning, and construction projects under investment projects that have been approved by competent state authorities;

c) Construction projects within urban development zones, industrial zones, export processing zones, high-tech zones, residential areas with detailed construction plans at a scale of 1/500 that have been approved by competent state authorities;

d) Repair, renovation, and installation of internal equipment without changing the architectural appearance, load-bearing structure, and safety of the project;

đ) Small-scale infrastructure projects in remote and mountainous areas;

e) Individual houses in remote and mountainous areas outside urban areas and not within concentrated residential areas; individual houses in rural residential areas without approved construction plans.

2. In areas where construction plans have been announced but not yet implemented, construction of projects and individual houses can only be granted a temporary construction permit valid for the duration of the plan implementation period.

3. Conditions for issuing construction permits for projects in urban areas shall be carried out in accordance with Article 65 of the Construction Law. Rights and obligations of those applying for construction permits shall be implemented in accordance with Article 68 of the Construction Law.

4. The construction permit shall be in the form prescribed in Appendix VI of this Decree.

Article 20. Documents for Applying for Construction Permit for Urban Construction Projects and Housing

The documents for applying for a Construction Permit include:

1. An application form for a Construction Permit according to the model attached as Appendix IV to this Decree. In cases where a temporary Construction Permit with a specified duration is requested, the application form must also contain a commitment to dismantle the construction project when the State implements land clearance.

2. A copy of one of the documents on land use rights as prescribed by law.

3. Design drawings showing the location plan, cross-sections, main elevations; foundation plan of the construction project; location diagram or route of the construction project; system diagrams and technical connection points for electricity supply, water supply, stormwater drainage, sewage drainage. For renovation and improvement projects requiring a Construction Permit, photographs of the current state of the construction project must be provided.

Article 21. Documents for Applying for Construction Permit for Rural Housing

The documents for applying for a Construction Permit for rural housing include:

1. An application form for a Construction Permit according to the model attached as Appendix V to this Decree.

2. A copy of one of the documents on land use rights as prescribed by law.

3. A layout plan of the construction project on the plot of land and adjacent buildings, if any, drawn by the owner.

Article 22. Acceptance of Application Documents for Construction Permit

1. The issuing authority has the responsibility to accept application documents for a Construction Permit, based on the type of application documents for a Construction Permit, to check their validity according to the provisions of Article 20 or Article 21 of this Decree.

2. Upon receiving complete valid documents, the issuing authority must issue a receipt, which includes the date for returning the result. The receipt is made in two copies, one copy given to the applicant for the Construction Permit and one copy retained at the issuing authority.

3. In cases where the application documents for a Construction Permit are not valid, the issuing authority must explain and guide the applicant to supplement the documents in accordance with the regulations. The time taken to complete the documents does not count towards the Construction Permit issuance period.

Article 23. Authority to Issue Construction Permits

1. The People's Committee of the province organizes the issuance of Construction Permits for special grade and first-grade construction projects; religious constructions; historical and cultural heritage constructions; monumental statues, advertisements, and grand murals within its administrative boundaries; construction projects on major urban streets; projects with foreign direct investment; and other projects and constructions as stipulated by the People's Committee of the province.

2. The People's Committee of the district issues Construction Permits for remaining construction projects and individual houses in urban areas within its administrative boundaries, except for those specified in Clause 1 of this Article.

3. The People's Committee of the commune issues Construction Permits for individual houses in rural residential areas that have been approved for planning within its administrative boundaries.

Article 24. Amendment of Construction Permit

1. When there is a need to amend the design of a construction project differently from the contents of the issued Construction Permit, the investor must apply for an amendment of the Construction Permit before commencing construction according to the amended content. The issuing authority of the Construction Permit is responsible for ensuring compliance with the construction plan and bears responsibility for the content of the amendment. The content of the amendment of the Construction Permit is recorded in the "extension, amendment" section of the issued Construction Permit.

2. The documents for applying for an amendment of the Construction Permit include:

a) An application for amending the Construction Permit;

b) The original Construction Permit already issued;

c) Amended design drawings.

3. The deadline for considering an amendment of the Construction Permit shall not exceed ten working days from the date of receiving complete valid documents.

Article 25. Responsibilities of the Authority Issuing Construction Permits

1. Publicly display the conditions, procedures, and formalities for issuing construction permits at the office of the authority issuing construction permits.

2. Provide in writing information related to the issuance of construction permits upon request from the applicant. The deadline for providing information shall not exceed seven working days from the date of receiving the request.

3. Seek opinions from relevant agencies when necessary to clarify information to serve the issuance of construction permits.

Within ten working days from the date of receipt of the letter requesting opinions, organizations asked for opinions must provide written responses to the authority issuing construction permits. If there is no written response beyond this period, it will be considered as agreement and they shall bear legal responsibility for all consequences resulting from non-response or delayed response.

4. Issue construction permits within twenty working days from the date of receiving complete and valid application files. For individual houses, the issuance of construction permits shall not exceed fifteen working days from the date of receiving complete and valid application files.

5. Bear legal responsibility and compensate for damages caused by issuing incorrect permits or issuing construction permits later than the time limit stipulated in Clause 4 of this Article.

6. Coordinate with the People's Committee of the commune where the construction project is located to inspect the implementation of construction according to the permit and handle violations as prescribed. In cases where a decision to suspend construction has been made but the permit holder does not comply, revoke the construction permit and transfer it to the competent authority for handling as prescribed.

7. Request the People's Committee of the commune where the construction project is located to notify the competent authority not to provide electricity and water services, suspend business activities, and services for construction projects that violate planning regulations, are constructed without permits, or do not conform to issued construction permits.

8. Resolve complaints and denunciations regarding the issuance of construction permits in accordance with the provisions of the law.

9. Collect fees for issuing construction permits as prescribed.

10. Shall not designate individuals or organizations to design or establish subordinate design units to carry out design work for permit applicants.

Article 26. Extension of Construction Permits

1. Within twelve months from the date of issuance of the construction permit, if the project has not commenced, the applicant for the construction permit must apply for an extension of the construction permit.

2. Documents for applying for an extension of the construction permit include:

a) Application for extension of the construction permit;

b) Original copy of the issued construction permit.

3. The time for reviewing and extending the construction permit shall not exceed five working days from the date of receiving complete and valid application files.

4. The authority issuing the construction permit is also responsible for extending the construction permit.

Section 3. MANAGEMENT OF CONSTRUCTION PROJECT IMPLEMENTATION

Article 27. Contents of Management of Construction Project Implementation

Management of construction project implementation includes management of construction quality, construction progress, construction volume, labor safety on construction sites, and construction environmental management. Specifically, construction quality management is carried out in accordance with the provisions of the Decree on construction quality management.

Article 28. Management of Construction Project Progress

1. Before implementation, construction projects must establish a construction progress schedule. The construction progress schedule of the project must be consistent with the overall progress schedule of the project that has been approved.

2. For large-scale construction projects with extended construction periods, the construction progress schedule must be established for each phase according to months, quarters, or years.

3. The contractor has the obligation to prepare a detailed construction progress schedule, interweaving and combining necessary tasks while ensuring consistency with the overall progress schedule of the project.

4. The investor, contractor, supervisory consultant, and related parties have the responsibility to monitor and supervise the construction progress schedule of the project and adjust the progress schedule when construction progress at certain phases is delayed, but without affecting the overall progress schedule of the project.

In cases where it is determined that the overall progress schedule of the project is delayed, the investor must report to the investment decision-maker to make a decision on adjusting the overall progress schedule of the project.

5. It is encouraged to accelerate construction progress based on ensuring the quality of the project.

If accelerating construction progress brings higher benefits to the project, the contractor may be considered for rewards under the contract. In cases where delaying construction progress causes losses, the party in violation must compensate for the losses and be subject to breach penalties under the contract.

Article 29. Management of Construction Work Volumes

1. Construction work must be carried out according to the design volume that has been approved.

2. The construction work volume is calculated and confirmed between the investor, the contractor, and the supervisory consultant during the construction period or phase and is compared with the approved design volume to serve as the basis for acceptance and payment under the contract.

3. When there is an additional volume outside the design and approved construction budget, the investor and the contractor must consider and handle it. Specifically, for projects using state budget funds, when the additional volume exceeds the total investment ceiling, the investor must report to the investment decision-maker for review and decision.

The additional volume approved by the investor or the investment decision-maker serves as the basis for payment and final settlement of the project.

4. Strictly prohibit the fabrication, overstatement of volumes, or collusion among parties leading to incorrect payment volumes.

Article 30. Management of Labor Safety on Construction Sites

1. The contractor must establish safety measures for people and the project on the construction site. Where safety measures involve multiple parties, they must be agreed upon by all parties.

2. Safety measures and labor safety regulations must be publicly displayed on the construction site so that everyone can see and comply; dangerous positions on the site must be staffed with personnel to guide and warn against accidents.

3. The contractor, investor, and related parties must regularly inspect and supervise labor safety work on the construction site. Upon discovering violations of labor safety, construction must be halted. The person responsible for labor safety violations within their management scope must bear legal responsibility.

4. The contractor is responsible for training, guiding, and disseminating labor safety regulations. For certain jobs requiring strict labor safety, workers must hold a labor safety training certificate. It is strictly prohibited to use untrained and undirected workers regarding labor safety.

5. The contractor is responsible for providing adequate personal protective equipment and labor safety equipment for workers in accordance with regulations when using labor on the construction site.

6. In case of labor safety incidents, the contractor and related parties are responsible for organizing handling and reporting to the competent authority for labor safety in accordance with the law, while also being responsible for remedying and compensating for damages caused by the contractor's failure to ensure labor safety.

Article 31. Management of Construction Environment

1. Contractors must implement measures to ensure environmental safety for workers on construction sites and protect the surrounding environment, including dust control, noise reduction, waste management, and site cleanup. For construction projects within urban areas, measures such as covering and waste removal to designated locations must be implemented.

2. During the transportation of construction materials and waste, protective measures must be taken to ensure safety and environmental hygiene.

3. Contractors and project sponsors must be responsible for supervising the implementation of construction environmental protection measures and shall be subject to supervision by state management agencies. If contractors fail to comply with environmental protection regulations, sponsors and state management agencies have the right to halt construction and require contractors to properly implement environmental protection measures.

4. Individuals causing damage to the environment during construction work shall bear legal responsibility and compensate for losses caused by their fault.

Article 32. Demolition of Construction Projects

1. The demolition of construction projects or parts thereof shall be carried out in the following cases:

a) Land clearance;

b) Structures posing a risk of collapse that endanger human life and adjacent structures;

c) Structures located in areas prohibited from construction under Clause 1, Article 10 of the Construction Law;

d) Parts of construction projects or entire projects that deviate from the construction plan or construction permit;

e) Other cases as prescribed by law.

2. Demolition of construction projects must adhere to the following principles:

a) A demolition decision must be made;

b) A demolition plan must be developed in accordance with regulations;

c) Safety for people and adjacent structures must be ensured;

d) Environmental hygiene must be maintained;

e) Supervision must be conducted to prevent potential risks.

Section 4. FORMS OF PROJECT MANAGEMENT FOR CONSTRUCTION INVESTMENTS

Article 33. Forms of Project Management

1. The investment decision-maker determines the form of project management in accordance with Clause 2, Article 45 of the Construction Law.

2. In cases where the sponsor directly manages the project, the sponsor establishes a Project Management Board to assist in managing the project. The Project Management Board must have the organizational capacity to fulfill project management tasks as required by the sponsor. The Project Management Board may hire management consultants to oversee certain tasks if it lacks the necessary conditions and capacity, but this must be agreed upon by the sponsor.

For small-scale and simple projects with a total investment amount below 7 billion VND, the sponsor may not establish a Project Management Board and instead use its own specialized staff to manage and operate the project or hire professionals with experience to assist in managing the project.

3. When the sponsor hires a consulting firm to manage the project, the consulting firm must have the appropriate organizational capacity to manage the project based on its scale and nature. The responsibilities and rights of the project management consultant are carried out according to the agreement between both parties. The project management consultant may hire other organizations or individuals to participate in management, but this must be approved by the sponsor and consistent with the contract signed with the sponsor.

When applying the form of hiring a project management consultant, the sponsor must still utilize specialized units within its own organization or designate a point person to monitor and oversee the implementation of the contract by the project management consultant.

Article 34. Tasks and powers of the investor and the Project Management Board in cases where the investor establishes a Project Management Board

1. The investor shall perform tasks and powers from the project preparation stage to the completion and handover of the works for operation, ensuring the effectiveness and feasibility of the project and compliance with legal regulations. The Project Management Board may be entrusted with managing multiple projects but must obtain approval from the investment decision-maker and ensure the principle that each project is not interrupted, managed, and settled according to regulations. The assignment of tasks and delegation of authority to the Project Management Board must be reflected in the decision establishing the Project Management Board. The investor is responsible for directing, inspecting, and bearing responsibility for the results of the Project Management Board's performance of its tasks and powers.

2. The Project Management Board shall perform tasks assigned by the investor and powers delegated by the investor. The Project Management Board shall be responsible before the investor and the law for the performance of the tasks and powers assigned and delegated.

Article 35. Tasks and powers of the investor and project management consultant in cases where the investor hires a project management consultant

1. The investor shall perform tasks and powers from the project preparation stage to the completion and handover of the works for operation, ensuring the effectiveness and feasibility of the project and compliance with legal regulations. The investor is responsible for selecting and signing contracts with organizations having the necessary conditions and capacity to manage projects to assist the investor in managing and implementing the project. The investor is responsible for monitoring and supervising the implementation of contracts by the project management consultant.

2. The project management consultant shall perform tasks and powers as agreed in the contract signed between the investor and the project management consultant. The project management consultant shall be responsible before the law and the investor for fulfilling the commitments in the contract.

Chapter IV

QUALIFICATIONS OF ORGANIZATIONS AND INDIVIDUALS IN CONSTRUCTION ACTIVITIES

Article 36. General provisions on qualifications of organizations and individuals

1. Organizations and individuals participating in construction activities must have sufficient qualifications appropriate to the type of project; the type, level of works, and work as prescribed by this Decree.

2. Organizations and individuals participating in the following areas must have sufficient capacity conditions:

a) Preparing investment projects for construction works;

b) Managing investment construction projects;

c) Designing urban planning;

d) Designing construction works;

đ) Surveying construction works;

e) Constructing construction works;

g) Supervising construction works;

h) Conducting specialized construction experiments;

i) Inspecting the quality of construction works;

k) Certifying the safety load-bearing capacity of construction works and the quality conformity of construction works.

The qualifications of organizations and individuals participating in the above construction activities are demonstrated through professional certificates or other conditions appropriate to the work undertaken.

3. Individuals participating in construction activities must have diplomas and training certificates suitable for the work undertaken issued by legitimate educational institutions.

4. Individuals holding the position of head of urban planning design project, construction design project; leading design; head of construction survey; supervising construction works and individuals practicing independently performing urban planning design, construction design, and supervising construction works must hold a professional certificate as prescribed. Individuals participating in project management must have a certificate in project management for construction works.

5. To ensure the quality of construction works, organizations and individuals in construction activities must have sufficient qualifications appropriate to each tender package or specific type of work.

6. The construction activity capacity of organizations is determined based on levels based on the professional practice capacity of individuals within the organization, construction experience, financial capability, equipment, and organizational management capacity.

The Ministry of Construction shall establish a system of information on the qualifications and activities of consulting organizations, contractors engaged in construction activities nationwide, including foreign contractors operating in Vietnam.

7. For projects using state budget funds, state-guaranteed credit, state development investment credit, contractors preparing technical designs or construction drawings shall not sign contracts for construction supervision consultancy services with investors for works they designed, construction supervisors shall not sign contracts with construction contractors to conduct quality inspections of construction works they supervise, except with permission from the investment decision-maker.

8. When selecting contractors to undertake works in construction activities, the investor must base their selection on the qualification conditions stipulated in this Decree and shall bear legal responsibility for damages resulting from selecting contractors without the appropriate qualifications for the work.

Article 37. Professional Certificate

1. The professional certificate is a document confirming the professional capacity issued to engineers and architects who have the necessary specialized qualifications and work experience in the fields of construction design planning, construction surveying, building project design, and construction supervision.

2. The professional certificate shall be standardized in format and valid nationwide. The professional certificate must clearly state the scope and field of practice permitted.

3. In construction activities, the professional certificate is issued by the Director of the Construction Department. The Director of the Construction Department decides to establish an Advisory Board to assist in issuing professional certificates for construction activities according to regulations.

Article 38. Conditions for Issuing a Professional Certificate for Architects

To be eligible for a professional certificate for architects, a person must hold a bachelor's degree or higher in architecture or construction planning, have at least five years of experience in design work, and have participated in designing at least five architectural projects or five approved construction planning schemes.

Article 39. Conditions for Issuing a Professional Certificate for Engineers

To be eligible for a professional certificate for engineers, a person must hold a bachelor's degree or higher in a relevant field corresponding to the requested field of practice, have at least five years of experience in the registered field of practice, and have participated in designing or surveying at least five projects.

Article 40. Conditions for Issuing a Professional Certificate for Construction Project Supervision

1. To be eligible for a professional certificate for construction project supervision, a person must hold a bachelor's degree or higher in a relevant field corresponding to the requested field of practice; have directly participated in design or construction work for at least three years or in at least five projects, or have at least three years of experience in construction project supervision before the Construction Law took effect; and have completed training in construction project supervision skills.

2. For individuals with associate or vocational degrees in relevant fields who have directly participated in design or construction work or construction project supervision for at least three years and have completed training in construction project supervision skills, they may be issued a professional certificate for construction project supervision. This certificate can only be used to supervise Class IV projects.

Article 41. Qualification Requirements for Project Leader

1. The qualification of the Project Leader is divided into two levels based on the type of project. The Project Leader must hold a bachelor's degree in a relevant field corresponding to the nature and requirements of the project and meet the corresponding conditions for each level below:

a) Level 1: having continuously worked in project preparation for at least seven years, having been the leader of one Group A project or two Group B projects of the same type, or having been a Level 1 design leader for projects of the same type;

b) Level 2: having continuously worked in project preparation for at least five years, having been the leader of one Group B project or two Group C projects of the same type, or having been a Level 2 or higher design leader for projects of the same type;

c) Specifically, in remote areas, individuals with associate or vocational degrees in relevant fields, who have continuously worked in project preparation and design for at least five years, may be recognized as Level 2 Project Leaders.

2. Scope of activities:

a) Level 1: eligible to lead the preparation of national important projects, Group A, B, and C projects of the same type;

b) Level 2: eligible to lead the preparation of Group B and C projects of the same type;

c) Individuals without classification are eligible to lead the preparation of economic-technical reports for construction projects of the same type; if they have led the preparation of five economic-technical reports for construction projects, they may lead the preparation of Group C projects of the same type.

Article 42. Conditions for the capacity of consulting organizations when preparing project proposals

1. The capacity of consulting organizations preparing project proposals is divided into two levels according to the type of project as follows:

a) Level 1: having at least 20 people who are architects, engineers, economic engineers suitable for the requirements of the project; among whom there must be someone qualified to serve as the head of a Level 1 project proposal preparation or Level 1 design head for similar projects;

b) Level 2: having at least 10 people who are architects, engineers, economic engineers suitable for the requirements of the project; among whom there must be someone qualified to serve as the head of a Level 2 project proposal preparation or Level 2 design head for similar projects.

2. Scope of activities:

a) Level 1: can prepare national important project proposals, Group A, B, and C projects of the same type;

b) Level 2: can prepare Group B and C projects of the same type;

c) For organizations that do not yet meet the conditions to be classified, they are only allowed to prepare Economic and Technical Reports for similar construction projects.

Article 43. Conditions for the capacity of Project Management Consulting Director

1. The capacity of Project Management Consulting Director is divided into two levels according to the type of project. The Project Management Consulting Director must have a bachelor's degree in a relevant construction field suitable for the project requirements, hold a project management vocational certificate, and meet the corresponding conditions for each level as follows:

a) Project Management Consulting Director Level 1:

Having at least 7 consecutive years of experience in design and construction work, previously serving as the Director or Deputy Director of Project Management Consulting for at least one Group A project or two Group B projects of the same type, or as the Head of Construction Site Level 1 or Design Head Level 1;

b) Project Management Consulting Director Level 2: having at least 5 consecutive years of experience in design and construction work, previously serving as the Director or Deputy Director of Project Management Consulting for at least one Group B project or two Group C projects of the same type, or as the Head of Construction Site Level 2 or Design Head Level 2;

c) In remote areas, individuals with an associate’s degree or a technical college diploma in a relevant construction field, with at least 5 years of experience in project proposal preparation, design, or construction work, may hold the position of Project Management Consulting Director Level 2.

2. If the investor establishes a Project Management Board, the Project Management Director must have a bachelor's degree or higher in a relevant field, hold a project management vocational certificate, and have at least 3 years of professional experience. For Group C projects in remote areas, the Project Management Director may have an associate’s degree or a technical college diploma in a relevant field and at least 3 years of professional experience. The investor may appoint individuals from their own organization or hire those meeting the above conditions to serve as the Project Management Director.

SCOPE OF ACTIVITY

a) Level 1: can manage national important projects, Group A, B, and C projects;

b) Level 2: can manage Group B and C projects;

c) Individuals who have not been classified can only manage Economic and Technical Construction Reports; if they have managed at least 5 such reports, they can manage Group C projects of the same type.

Article 44. Conditions for the capacity of consulting organizations when providing project management consulting services

1. The capacity of project management consulting organizations is divided into two levels as follows:

a) Level 1:

- Having a Project Management Consulting Director Level 1 suitable for the type of project;

- Having at least 30 architects, engineers, and economic engineers suitable for the requirements of the project, including at least 3 economic engineers;

- Having managed at least one Group A project or two Group B projects of the same type.

b) Level 2:

- Having a Project Management Consulting Director Level 1 or Level 2 suitable for the type of project;

- Having at least 20 architects, engineers, and economic engineers suitable for the requirements of the project, including at least 2 economic engineers;

- Having managed at least one Group B project or two Group C projects of the same type.

2. Scope of activities:

a) Level 1: can manage national important projects, Group A, B, and C projects;

b) Level 2: can manage Group B and C projects;

c) Organizations that do not meet the conditions for classification can only manage Economic and Technical Construction Reports.

3. For project management consulting organizations that do not meet the conditions for classification, if they have managed at least five Economic and Technical Construction Reports, they can manage Group C projects.

Article 45. Qualification Conditions for the Head of Construction Survey

1. The qualification of the head of survey is divided into two levels as follows:

a) Level 1: holding a professional certificate as an engineer, having been the head of at least one level I construction project survey task or having been the head of five level II construction project survey tasks;

b) Level 2: holding a professional certificate as an engineer, having been the head of at least one level II construction project survey task or three level III construction project survey tasks, or having participated in at least five level II construction project survey tasks or higher.

2. Scope of activities:

a) Level 1: is eligible to be the head of survey for special grade, grade I, grade II, grade III, and grade IV construction projects of the same type;

b) Level 2: is eligible to be the head of survey for grade II, grade III, and grade IV construction projects of the same type;

c) For topographic surveys, heads of survey are eligible to be the head of survey for all types of scales.

Article 46. Qualification Conditions for Consulting Organizations when Conducting Construction Surveys

1. The qualification of construction survey organizations is divided into two levels as follows:

a) Level 1:

- Having at least 20 engineers suitable for the requirements of the survey task, including at least one person meeting the conditions to be a Level 1 head of survey;

- Having appropriate equipment for each type of survey and a standard-compliant laboratory;

- Having completed at least one special grade or grade I construction project survey task of the same type, or two grade II construction project survey tasks of the same type.

b) Level 2:

- Having at least 10 engineers suitable for the requirements of the survey task, including at least one person meeting the conditions to be a Level 2 head of survey;

- Having appropriate equipment for each type of survey;

- Having completed at least one grade II construction project survey task of the same type, or two grade III construction project survey tasks of the same type.

2. Scope of activities:

a) Level 1: is eligible to undertake the survey task of special grade, grade I, grade II, grade III, and grade IV construction projects of the same type;

b) Level 2: is eligible to undertake the survey task of grade II, grade III, and grade IV construction projects of the same type;

c) For topographic surveys, only Level 1 and Level 2 survey organizations are eligible to undertake topographic surveys of all types of scales.

3. For construction survey organizations that do not meet the conditions to be classified, if they have completed at least five grade IV construction project survey tasks, they are eligible to undertake the survey task of grade III construction projects of the same type.

Article 47. Qualification Conditions for the Head of Construction Project Design

1. The qualification of the head of construction project design is divided into two levels as follows:

a) Level 1:

- Holding a professional certificate as an architect or engineer suitable for the work undertaken;

- Having been the head of at least one special grade or grade I construction project design or two grade II construction projects of the same type, or having been the main designer of one major field of three special grade or grade I construction projects of the same type.

b) Level 2:

- Holding a professional certificate as an architect or engineer suitable for the work undertaken;

- Having been the head of at least one grade II construction project or two grade III construction projects of the same type, or having been the main designer of one major field of three grade II construction projects of the same type.

2. Scope of activities:

a) Level 1: is eligible to be the head of design for special grade, grade I, grade II, grade III, and grade IV construction projects of the same type and to be the head of preparation for group A, B, and C projects of the same type;

b) Level 2: is eligible to be the head of design for grade II, grade III, and grade IV construction projects of the same type and to be the head of preparation for group B and C projects of the same type.

Article 48. Qualifications of the main designer for construction projects

1. The main designer for construction projects is divided into two categories as follows:

a) Level 1:

- Holding a professional certificate as an architect or engineer suitable for the work undertaken;

- Having served as the main designer for at least one special-class or Class I project or two Class II projects of the same type.

b) Level 2:

- Holding a professional certificate as an architect or engineer suitable for the work undertaken;

- Having served as the main designer for at least one Class II project or two Class III projects of the same type or having participated in designing five projects of the same type.

c) For remote areas, individuals with a college or vocational degree in a relevant field, who have continuously worked in design for a minimum of five years, may serve as the main designer for Class III and Class IV projects, except for projects that require mandatory inspection and certification to ensure structural safety according to regulations.

2. Scope of activities:

a) Category 1: eligible to serve as the main designer for special-class, Class I, Class II, Class III, and Class IV projects within the same field of expertise.

b) Category 2: eligible to serve as the main designer for Class II, Class III, and Class IV projects within the same field of expertise.

Article 49. Qualifications of consulting organizations when designing construction projects

1. The qualifications of consulting organizations for designing construction projects are divided into two categories based on the type of project as follows:

a) Level 1:

- Having at least twenty architects and engineers in relevant fields, including those qualified to serve as the main designer for special-class, Class I, Class II, Class III, and Class IV projects.

- Having sufficient main designers of Category 1 for all disciplines related to the same type of project.

- Having designed at least one special-class or Class I project or two Class II projects of the same type.

b) Level 2:

- Having at least ten architects and engineers in relevant fields, including those qualified to serve as the main designer for special-class, Class I, Class II, Class III, and Class IV projects.

- Having sufficient main designers of Category 2 for all disciplines related to the same type of project.

- Having designed at least one Class II project or two Class III projects of the same type.

2. Scope of activities:

a) Category 1: eligible to design special-class, Class I, Class II, Class III, and Class IV projects of the same type; prepare important national projects, Group A, B, and C projects of the same type.

b) Category 2: eligible to design Class II, Class III, and Class IV projects of the same type; prepare Group B and C projects of the same type.

c) For organizations not meeting the criteria for classification, they are eligible to design Class IV projects of the same type and prepare economic and technical reports for construction projects of the same type.

3. For consulting organizations for designing construction projects that do not meet the criteria for classification, if they have designed at least five Class IV projects, they are eligible to design Class III projects of the same type.

Article 50. Qualifications of the main reviewer for construction project designs and consulting organizations when reviewing construction project designs

1. The qualifications of the main reviewer for construction project designs correspond to the qualifications of the main designer for construction projects stipulated in Article 48 of this Decree.

2. The qualifications of consulting organizations when reviewing construction project designs correspond to the qualifications of consulting organizations when designing construction projects stipulated in Article 49 of this Decree.

Article 51. Qualifications of consulting organizations when supervising construction project implementation

1. The qualifications of construction project supervision organizations are divided into two categories based on the type of project as follows:

a) Level 1:

- Having at least twenty individuals with certificates for construction project supervision work in relevant fields.

- Having supervised the construction of at least one special-class or Class I project, or two Class II projects of the same type.

b) Level 2:

- Having at least ten individuals with certificates for construction project supervision work in relevant fields.

- Having supervised the construction of at least one Class II project or two Class III projects of the same type.

2. Scope of activities:

a) Category 1: eligible to supervise the construction of special-class, Class I, II, III, and IV projects of the same type.

b) Category 2: eligible to supervise the construction of Class II, III, and IV projects of the same type.

c) For organizations not meeting the criteria for classification, they are eligible to supervise the construction of Class IV projects of the same type.

3. For consulting organizations for supervising construction project implementation that do not meet the criteria for classification, if they have supervised the construction of at least five Class IV projects, they are eligible to supervise the construction of Class III projects of the same type.

Article 52. Qualification Conditions for Site Supervisors

1. The qualifications of site supervisors are divided into two levels. A site supervisor must have a bachelor's degree or higher in a relevant field corresponding to the type of construction project and meet the following conditions for each level:

a) Level 1:

- Having at least 7 consecutive years of experience in construction work;

- Having served as a site supervisor for a special-class or Class I project or two Class II projects of the same type.

b) Level 2:

- Having at least 5 consecutive years of experience in construction work;

- Having served as a site supervisor for a Class II project or two Class III projects of the same type.

c) In remote areas, individuals with a college or vocational degree in a relevant construction field, having at least 5 years of construction experience, may hold the position of Level 2 site supervisor.

2. Scope of activities:

a) Level 1: eligible to serve as a site supervisor for special-class, Class I, II, III, and IV projects of the same type;

b) Level 2: eligible to serve as a site supervisor for Class II, III, and IV projects of the same type;

c) For individuals not yet classified, they can only serve as a site supervisor for Class IV projects; if they have served as a site supervisor for five Class IV projects, they may serve as a site supervisor for a Class III project of the same type.

Article 53. Qualification Conditions for Construction Organizations when Undertaking Construction Projects

1. The qualifications of construction organizations undertaking construction projects are divided into two levels according to the type of project as follows:

a) Level 1:

- Having a Level 1 site supervisor for the same type of project;

- Having sufficient architects and engineers in relevant fields corresponding to the type of construction project;

- Having sufficient technical workers with training certificates suitable for their tasks;

- Having main construction equipment for the project;

- Having undertaken at least one special-class or Class I project or two Class II projects of the same type.

b) Level 2:

- Having a Level 1 or Level 2 site supervisor for the same type of project;

- Having sufficient architects and engineers in relevant fields corresponding to the type of construction project;

- Having sufficient technical workers with training certificates suitable for their tasks;

- Having main construction equipment for the project;

- Having undertaken at least one Class II project or two Class III projects of the same type.

2. Scope of activities:

a) Level 1: eligible to undertake construction of special-class, Class I, II, III, and IV projects of the same type;

b) Level 2: eligible to undertake construction of Class II, III, and IV projects of the same type;

c) For organizations not meeting the conditions to be classified, they are eligible to undertake construction of renovation and repair projects with a total investment under 3 billion VND and individual houses.

3. For construction organizations not meeting the conditions to be classified, if they have undertaken three renovation projects, they are eligible to undertake construction of Class IV projects, and subsequently, if they have undertaken at least five Class IV projects, they are eligible to undertake construction of Class III projects of the same type.

Article 54. Qualification Conditions for Individuals Engaged in Independent Practice in Design, Surveying, and Construction Supervision of Construction Projects

1. The qualification conditions for individuals engaged in independent practice in design, surveying, and construction supervision of construction projects are as follows:

a) Possess a valid practice certificate appropriate to their field of practice;

b) Having registered business activities for independent practice in design, surveying, and construction supervision in accordance with the law.

2. Scope of activities:

a) Individuals engaged in independent surveying practice may advise investors on the preparation of survey tasks and reviews to approve the results of each type of survey corresponding to their certification;

b) Individuals engaged in independent design practice may design Class IV projects of the same type and individual houses;

c) Individuals engaged in independent construction supervision practice may supervise the construction of Class IV projects of the same type and individual houses.

3. When engaging in independent practice, individuals must comply with the provisions of the law.

Article 55. Rights and Obligations of Individuals Issued with a Professional Practice Certificate

1. Individuals issued with a professional practice certificate have the following rights:

a) To use the professional practice certificate to perform work as prescribed by law;

b) To lodge complaints or denunciations against acts violating regulations on issuing professional practice certificates.

2. Individuals issued with a professional practice certificate have the following obligations:

a) To participate in training courses related to professional knowledge and skills concerning the issuance of professional practice certificates for design, survey, and construction supervision;

b) To only conduct construction surveys, designs, and construction supervision within the scope permitted by the professional practice certificate;

c) To be responsible under the law for the contents of the files and the quality of the works they undertake;

d) Not to erase, deface, or lend out the professional practice certificate.

Article 56. Qualification Conditions for Foreign Individuals and Organizations Engaged in Construction Activities in Vietnam

Foreign organizations and individuals when practicing to establish projects, manage projects, conduct construction surveys, design constructions, review construction designs, construct buildings, and supervise construction must meet the qualification conditions as stipulated in this Decree and guidelines issued by the Ministry of Construction.

Chapter V

IMPLEMENTING PROVISIONS

Article 57. Organization and Implementation

1. The Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial People's Committees directly under the central government, Heads of political organizations, political-social organizations, political-social-professional organizations, and other relevant organizations and individuals shall be responsible for implementing this Decree.

2. The Ministry of Finance shall be responsible for guiding insurance matters in investment construction activities.

3. Projects approved before the effective date of this Decree shall not need to be resubmitted for approval. Subsequent work shall be carried out in accordance with the provisions of this Decree. Management of construction project investment costs shall be implemented according to the provisions of Government Decree No. 99/2007/ND-CP dated June 13, 2007, on management of construction project investment costs, and Government Decree No. 03/2008/ND-CP dated January 7, 2008, amending and supplementing certain articles of Government Decree No. 99/2007/ND-CP on management of construction project investment costs. Selection of contractors in construction activities shall be carried out according to the provisions of Government Decree No. 58/2008/ND-CP dated May 5, 2008, guiding the implementation of the Law on Bidding and selection of construction contractors under the Construction Law.

4. The Ministry of Construction shall provide detailed guidance on determining the project sponsor; reviewing projects; issuing construction permits; organizing project management and professional training on project management; supervising construction; architectural design competitions for construction projects; storing design files; demolishing construction projects; qualification conditions for organizations and individuals engaged in construction activities; issuing professional practice certificates; advisory councils for other related matters; and transitional implementation guidance.

Article 58. Effective Date

This Decree takes effect from April 2, 2009, and replaces Government Decree No. 16/2005/ND-CP dated February 7, 2005, on project management for construction projects, and Government Decree No. 112/2006/ND-CP dated September 29, 2006, amending and supplementing certain articles of Government Decree No. 16/2005/ND-CP on project management for construction projects. All previous government, ministerial, and local regulations contrary to this Decree are hereby abolished./.