Joint Circular No. 129/2010/TTLT-BTC-BGTVT guiding the implementation of road freight transport tariffs and supporting services tariffs

JOINT CIRCULAR

Guidelines for implementing road freight transport tariffs and

supporting road transport services fees

___________________

Pursuant to the Road Traffic Law No. 23/2008/QH12 dated November 13, 2008;

Pursuant to Decree No. 91/2009/NĐ-CP dated October 21, 2009 of the Government on business operations and conditions for operating passenger and cargo transportation by motor vehicles;

Pursuant to Decree No. 75/2008/NĐ-CP dated June 9, 2008 of the Government amending and supplementing certain articles of Decree No. 170/2003/NĐ-CP dated December 25, 2003 of the Government detailing the implementation of certain provisions of the Price Ordinance;

Pursuant to Decree No. 118/2008/NĐ-CP dated November 27, 2008, of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Decree No. 51/2008/NĐ-CP dated April 22, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Transport;

The Ministry of Finance and the Ministry of Transport jointly issue guidelines for implementing road freight transport tariffs and supporting road transport services fees as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

These joint circulars provide guidance on declaring freight tariffs, posting freight tariffs for motor vehicle transportation; supporting road transport services fees; authorities and responsibilities of agencies and units in managing and implementing road freight transport tariffs and supporting road transport services fees.

Article 2. Applicability

1. State management agencies with jurisdiction, organizations related to the management of commercial transport activities using motor vehicles, and commercial support services for road transport.

2. Enterprises, cooperatives, and individual households participating in motor vehicle transportation business (hereinafter referred to collectively as transportation business units) and supporting road transport services business (hereinafter referred to collectively as service business units) within the territory of Vietnam.

Chapter II

SPECIFIC PROVISIONS

PART I: DECLARATION AND POSTING OF FREIGHT TARIFFS FOR MOTOR VEHICLE TRANSPORTATION

Article 3. Declaration of Freight Rates for Road Transport Using Motor Vehicles

1. Declaration of freight tariffs for motor vehicle transportation (including initial declaration and re-declaration) is the act of transportation business units publicly declaring freight tariffs for motor vehicle transportation provided by the unit according to each type of transportation to the competent state agency receiving declarations as stipulated in Article 10 of this Circular. A transportation business unit with its headquarters (or branch office) located in a locality shall declare freight tariffs to the competent authority receiving declarations in that locality.

The declaration form shall be implemented in accordance with Appendix No. 2 of this Circular. In case the transportation unit has issued specific fare tables, such tables shall be submitted together with the declaration form.

2. List of transportation services subject to tariff declaration:

- Passenger transportation by motor vehicle along fixed routes;

- Public bus transportation;

- Taxi transportation;

- Contract-based passenger transportation;

- Tourist transportation by motor vehicle;

- Cargo transportation by motor vehicle;

3. Tariff declaration subjects:

Transportation business units by motor vehicle as specified in Clause 2 of this Article must declare tariffs. Specific lists are announced by the Department of Transport in accordance with each period.

4. Time of tariff declaration:

Tariff declaration must be made at least three days before the transportation business unit provides services at new rates.

a) Initial tariff declaration is carried out when the transportation business unit begins to participate in motor vehicle transportation business or declares tariffs for the first time in accordance with this Circular.

b) Re-declaration of tariffs is carried out when the transportation business unit adjusts the tariff upward or downward compared to the previous declared rate.

5. Forms of tariff declaration:

Transportation business units shall declare tariffs in the form of submitting declaration documents to the receiving agency.

a) For tariffs set by the transportation unit itself: the unit shall declare according to the rate set by the unit in accordance with the principles and methods of pricing prescribed by the State or guidance consistent with the quality of the service and the application conditions of the tariff (or the tariff rate agreed upon by the transportation business unit with customers).

b) Declared tariffs include value-added tax (except for public bus transportation).

6. Content of tariff declaration:

a) Fixed-route passenger transportation by motor vehicle: declare tariffs on fixed routes of the unit (VND/passenger); cargo transportation tariffs based on passenger vehicles (VND/kg).

b) Public bus transportation: declare tariffs (VND/trip passenger), monthly ticket tariffs applicable to various groups (VND/ticket/month) on the public bus routes of the unit.

c) Taxi transportation: declare tariffs according to the unit's pricing method. Specifically: initial kilometer price, subsequent distance or kilometer price; trip price; waiting time price...

d) Contract-based passenger transportation and tourist transportation by motor vehicle: declare tariffs according to the unit's pricing method. Specifically: daily vehicle price (VND/day) and rolling kilometer price (VND/km); waiting time price (if applicable). In cases where the service is contracted as a whole, declare the service price per day, trip...

đ) Cargo transportation by motor vehicle: declare tariffs according to the unit's pricing method. Specifically: average tariff declaration (VND/T.km), container transportation tariff (VND/20' Cont / 40'.km); or tariff on some main transportation routes of the unit according to the type of goods and distance (VND/Ton), container transportation tariff (VND/20'/40').

Article 4. Publicizing Freight Rates for Motor Vehicle Transportation

1. Posting of freight tariffs for motor vehicle transportation is the act of transportation business units publicly displaying freight tariffs for motor vehicle transportation provided by the unit to customers.

2. Subjects required to post freight tariffs:

All transportation business units by motor vehicle must post freight tariffs.

In case a transportation business unit entrusts a transportation service terminal business unit (or another ticket sales agent) to sell tickets for its motor vehicle transportation, the transportation service terminal business unit (or another ticket sales agent) must post freight tariffs.

3. Methods of posting freight tariffs:

Freight tariffs must be posted in the following ways: publicly announcing (on boards, on paper, or other forms placed, displayed, hung, or pasted) at ticket sales locations, transaction locations, on the exterior or interior of vehicles, conveniently visible to customers. It is encouraged for units to publicly announce freight tariffs through mass media.

Among the methods of posting freight tariffs stipulated in Clause 3 of this Article, transportation business units providing fixed-route passenger transportation, taxi transportation, and public bus transportation must compulsorily implement the following posting method:

a) For fixed-route passenger transport: post at the ticket selling location, on the left side of the vehicle's exterior near the front door, and inside the vehicle where passengers can easily observe.

b) For bus passenger transport: post on the left side of the vehicle's exterior near the front door, and inside the vehicle where passengers can easily observe.

c) For taxi passenger transport: post on the outside of the car door and inside the vehicle below the fare meter.

The mandatory price posting information is specified in Appendix 3 attached to this Circular.

5. Posted Fare:

a) For fares set by transportation service providers:

- Entities subject to price declaration must post according to the declared price level; specifically, for fixed-route passenger transport fares and bus passenger transport fares, the posted fare is the declared price and registered circulation ticket price.

- Entities not subject to price declaration must post according to the price level set by the entity.

- Transportation service providers may not charge more than the posted fare.

b) For automobile transport fares prescribed by the State, transportation service providers must post the fare at the level determined by the competent state authority and must collect fares strictly according to the posted fare level.

PART II. SUPPORT SERVICES FOR ROAD TRANSPORTATION

Article 5. List of supporting road transport services

1. Support services for road transportation include: services at bus stations, parking lots, rest stops, transportation agencies, ticket sales agencies, cargo collection services, transfer services, warehouse services, and road transport rescue services.

2. Specific regulations on supporting road transport services shall be implemented according to the guidelines of the Minister of Transport.

Article 6. Services at Bus Stations

1. Services at bus stations include:

a) Entry and exit services at bus stations;

b) Overnight parking rental services;

c) Business premises rental services within bus stations;

d) Other services at bus stations.

2. Prices for entering and exiting bus stations:

a) Authority to set prices for entering and exiting bus stations:

The People's Committee of the province/city directly under the central government (hereinafter referred to as the Provincial People's Committee) shall base on the type of bus station to establish a price range or specific price level for entering and exiting bus station services within their jurisdiction.

b) The unit of price calculation for these services is VND/trip or VND/month. The price level varies based on the number of seats designed for the vehicle, business form (fixed route vehicles taking into account the distance of the transport route, buses, passenger shuttle vehicles, cargo transport vehicles, taxis entering and exiting the station to pick up/drop off passengers or load/unload cargo).

c) Principles and basis for determining prices: Implemented in accordance with the Pricing Regulation for Goods and Services issued by the Ministry of Finance.

d) Procedures for establishing pricing plans, reviewing, and issuing prices for entering and exiting bus station services:

The Provincial People's Committee assigns the Department of Finance or the Department of Transport to be the leading agency to submit to the Provincial People's Committee for decision on the service prices based on pricing plans prepared by enterprises or cooperatives operating the bus station according to the model specified in Appendix 1 of this Circular.

The review period for pricing plans and the decision-making period for prices shall be carried out in accordance with Clause 2, Article 10 of Decree No. 170/2003/NĐ-CP dated December 25, 2003 of the Government detailing the implementation of certain provisions of the Fee and Charge Law.

3. Prices for services at bus stations (excluding entry and exit services; services regulated by the Fee and Charge Law):

a) Service providers must ensure that the service prices they set cover actual reasonable costs and are consistent with local market conditions; simultaneously, they must post service prices in accordance with Article 9 of this Circular.

b) Enterprises or cooperatives operating bus stations must declare prices for leasing business space within the station. The procedures for declaring prices are implemented in accordance with Article 8 of this Circular.

c) Based on the actual situation in the locality, if necessary, the Provincial People's Committee may specify additional detailed service items at bus stations to be included in the list of services requiring price declaration in the local area.

Article 7. Price of road transport support services (excluding services at bus stations as stipulated in Article 6 of this Circular and services within the scope regulated by the Law on Fees and Charges)

1. Business units providing such services shall set prices for these services ensuring the principle of covering actual reasonable costs and being consistent with the local market; simultaneously, they must display service prices according to the provisions of Article 9 of this Circular.

2. Based on the actual situation in the locality, if necessary, the Provincial People's Committee shall specify the inclusion of specific supporting transport services in the list of services that must be price declared locally. The procedures and formalities for declaring prices shall be carried out in accordance with the provisions of Article 8 of this Circular.

3. For ticket agency services: Enterprises and cooperatives operating bus stations, when providing ticket selling services to transport business units, shall enjoy commission based on the number of tickets sold, in compliance with relevant laws.

Article 8. Procedures and formalities for declaring prices of road transport support services

1. Business units providing services shall prepare the Declaration Form for pricing of services subject to declaration and submit it to the authority responsible for receiving price declarations as stipulated in Article 10 of this Circular. The Declaration Form for pricing shall be implemented in accordance with Appendix No. 2 of this Circular.

2. Time for declaring prices:

At least three (3) days before the business unit providing services supplies services at new prices.

a) Initial declaration shall be conducted when the business unit begins to engage in business or declares prices for the first time in accordance with this Circular.

b) Re-declaration of prices shall be conducted when the business unit adjusts the prices of its services up or down compared to the previous declaration.

Article 9. Displaying prices of road transport support services

1. Entities required to display prices of road transport support services:

All business units providing such services must display the prices of road transport support services provided by their units to customers.

2. Forms of displaying prices of services:

Business units providing services must publicly announce the prices of road transport support services (on boards, on paper, or by other means placed, displayed, hung, or pasted) at ticket sales locations and transaction sites, ensuring convenience for customer observation. It is encouraged to publicly announce service prices through mass media.

Chapter III

IMPLEMENTATION AND EFFECTIVE PROVISIONS

Article 10. Receiving and processing Declaration Forms for Pricing

1. The Department of Finance is the main authority, while the Department of Transport and the Taxation Service are collaborating authorities, each receiving one Declaration Form for Pricing from declaring units.

2. Upon receipt of the Declaration Form for Pricing, the authority receiving the declaration does not approve the declared price but only records the date, month, and year of receipt and stamps it according to administrative procedures. Simultaneously, it reviews the declared price level; if the Declaration Form for Pricing submitted by the declaring unit is found to be incomplete, unclear, or unreasonable, the main authority receiving the form will issue a notice specifying the content and request the declaring unit to explain or redeclare.

Article 11. Rights and Responsibilities of Agencies and Units

1. Department of Finance:

a) Implement and be responsible for managing the prices of road transport fares and road transport support service prices assigned by the Provincial People's Committee.

b) Lead and coordinate with the Department of Transport and the local Taxation Service to receive Declaration Forms for Pricing, review, and provide written comments in cases where units are required to complete the Declaration Form for Pricing or redeclare according to this Circular.

c) Lead and coordinate with the Department of Transport and the local Taxation Service to guide and inspect the implementation of road transport fare prices and road transport support service prices in accordance with this Circular and other relevant laws.

d) Annually in January or in special cases when there are fluctuations in transport fare prices and road transport support service prices in the locality or upon request of competent state agencies: Summarize the declared price levels of units under local management and report to the Provincial People's Committee, the Ministry of Finance, and the Ministry of Transport.

2. Department of Transport:

a) Implement and be responsible for managing the prices of road transport fares and road transport support service prices assigned by the Provincial People's Committee.

b) Coordinate with the local business registration authority to update the list of service business units and transport business units registered with headquarters (or branch offices) located in the locality; notify and send to the Department of Finance, the Taxation Service, and related units the specific list of service business units and transport businesses operating in the locality that must declare prices according to different periods.

c) Coordinate with the Department of Finance and the local Taxation Service to guide and inspect the implementation of this Circular.

3. Local Taxation Service:

Coordinate with the Department of Finance and the Department of Transport to guide and inspect the implementation of this Circular and other relevant laws.

4. Vietnam Automobile Transport Association:

a) Organize the dissemination of regulations on price declaration and price display in this Circular to automobile transport business units.

b) Promptly collect issues arising from the implementation of regulations on road transport fare prices and road transport support service prices by automobile transport business units and make recommendations to competent state agencies for consideration and resolution.

5. Transport business units, service business units:

a) Comply with regulations on road transport fare prices and road transport support service prices in this Circular, price management regulations, and other relevant laws.

b) Have the responsibility to declare the prices of their transport fares and services in accordance with this Circular.

c) Provide transport and support transport services at declared prices in accordance with the law, must publicly disclose information about prices and bear legal responsibility for the accuracy and appropriateness of the declared prices.

d) Bear responsibility for explanation or resubmission of price if the agency primarily responsible for receiving the Price Declaration Form discovers unreasonable declared prices and issues a written request for the price declarer to provide explanations or resubmit according to the provisions of Clause 2, Article 10 of this Circular.

đ) Provide complete documentation and information related to the declared price, posted price, and actual price to the competent authority when conducting inspections or audits.

Article 12. Inspection of the Implementation of Price Declarations and Posted Rates for Road Freight Transport and Ancillary Services

1. The inspection of compliance with regulations on the implementation of price declarations and posted rates for road freight transport and ancillary services shall be carried out in accordance with the provisions of this Circular and relevant current laws.

2. Units that fail to comply with price declarations and postings or engage in acts violating regulations on pricing plans, price declarations, and postings shall be subject to administrative penalties or criminal liability, depending on the nature and severity of the violation; if damage is caused, compensation must be provided in accordance with the law.

3. Specific authority to impose penalties, procedures, and formalities for imposing penalties shall be carried out in accordance with the law on handling administrative violations.

Article 13. Implementation Organization

1. This Circular takes effect 45 days from the date of signature; it abolishes Points 2, 3, 4, and 5 of Section II of Joint Circular No. 86/2007/TTLT/BTC-BGTVT dated July 18, 2007, issued by the Ministry of Finance and the Ministry of Transport on guidelines for bus ticket models; price declarations, postings, and inspections of the implementation of automobile transport fares. Other contents of Joint Circular No. 86/2007/TTLT/BTC-BGTVT dated July 18, 2007, not amended or supplemented in this Circular remain effective.

2. The Vietnam Highway Administration (Ministry of Transport) and the Price Management Department (Ministry of Finance), within their respective functions and duties, shall direct, guide, and coordinate inspections of the implementation of the provisions of this Circular and relevant laws.

3. In case of difficulties during implementation, they are requested to report to the Ministry of Finance and the Ministry of Transport for study and resolution./.