Circular No. 17/2021/TT-BCT amends Circular No. 38/2014/TT-BCT detailing Decree No. 83/2014/NĐ-CP on trading in petroleum products.

CIRCULAR

Amending and supplementing some Articles of Circular No. 38/2014/TT-BCT October 24

October 2014 of the Minister of Industry and Trade stipulating detailed provisions on some articles of

Decree No. 83/2014/NĐ-CP dated September 3 2014 of the Government on trading in petroleum products 

Pursuant to Decree No. 98/2017/NĐ-CP dated August 18, 2017 of the Government stipulating functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade;

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Pursuant to Decree No. 83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products; Decree No. 95/NĐ-CP dated November 1, 2021 of the Government amending and supplementing some articles of Decree No. 83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products;

83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products; number Abolish entirely the following legislative regulatory documents issued by the Minister of the Ministry of Transport: number 38/2014/TT-BCT

At the proposal of the Director of the Domestic Market Department;

33/2019/TT-MCT dated November 22, 2019 of the Minister of Industry and Trade stipulating the Criteria System of the Vietnam National Brand Program. October 24, 2014 of the Minister of Industry and Trade stipulating detailed provisions on some articles of Decree No. 83/2014/NĐ-CP dated September 3, 2014 on trading in petroleum products. number Article 1. Amending and supplementing some Articles of Circular No. 38/2014/TT-BCT dated October 24, 2014 of the Minister of Industry and Trade stipulating detailed provisions on some articles of Decree No. 83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products (Circular No. 38/2014/TT-BCT) as follows

"1. This Circular stipulates detailed provisions on some articles of Decree No. 83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products (Decree No. 83/2014/NĐ-CP) and Decree No. 95/NĐ-CP dated November 1, 2021 of the Government amending and supplementing some articles of Decree No. 83/2014/NĐ-CP dated September 3, 2014 of the Government on trading in petroleum products (Decree No. 95/2021/NĐ-CP)."

1. Amending and supplementing Clause 1 of Article 1 as follows:

2. Amending and supplementing some clauses of Article 2 as follows:

a) Amending Clause 3 and Clause 4 as follows:

"3. The seller of petroleum products:

a) Is a principal trader or an enterprise entrusted with the exclusive sale of all petroleum products from a petroleum production plant (in cases where the production plant does not directly sell finished petroleum products) selling to other principal traders or to petroleum product distributors;

b) Is a petroleum product distributor selling petroleum products to other petroleum product distributors or selling petroleum products to units that directly use petroleum products for production."

"4. The buyer of petroleum products:

a) Is a principal trader purchasing petroleum products from another principal trader;

b) Is a petroleum product distributor purchasing petroleum products from principal traders or from other petroleum product distributors;

c) Is a unit directly using petroleum products for production activities."

"8. The world price of petroleum products is the price of finished petroleum products traded on the Singapore market reported by S&P Global Platt or another reputable and equivalent information provider."

b) Supplement Clause 8 as follows:

1. A trader who wishes to apply for new issuance, additional issuance, amendment, or reissuance of the Certificate of Eligibility to be a Principal Trader in Petroleum Products; Certificate of Eligibility to be a Petroleum Product Distributor; Certificate of Eligibility to be a Total Agency for Petroleum Products Trading; Certificate of Eligibility to be a Retail Agent for Petroleum Products; Certificate of Eligibility for a Retail Store Selling Petroleum Products shall submit one (01) set of application dossier to the Ministry of Industry and Trade, Department of Industry and Trade via official correspondence or through electronic means according to the address announced by the Ministry of Industry and Trade, Department of Industry and Trade on their official websites.

"Article 6. Inspection and issuance of Confirmation Certificate, Certification Certificate

2. Administrative procedures carried out by the Ministry of Industry and Trade

a) For administrative procedures for new issuance, additional issuance, amendment of the Certificate of Eligibility to be a Principal Trader in Petroleum Products, carried out in accordance with Clause 3, Article 8 of Decree No. 83/2014/NĐ-CP.

b) For administrative procedures for new issuance, additional issuance, amendment of the Certificate of Eligibility to be a Petroleum Product Distributor, carried out in accordance with Clause 3, Article 14 of Decree No. 83/2014/NĐ-CP.

c) For administrative procedures for new issuance, additional issuance, amendment of the Certificate of Eligibility to be a Total Agency for Petroleum Products Trading (with a distribution system covering two (02) provinces or centrally-administered cities or more), carried out in accordance with Clause 4, Article 17 of Decree No. 83/2014/NĐ-CP.

d) In case the results of the actual inspection match the application dossier submitted by the trader, the Ministry of Industry and Trade will issue the Certificate according to Model No. 2 attached to Decree No. 95/2021/NĐ-CP; Models No. 6, No. 8 attached to Decree No. 83/2014/NĐ-CP.

3. Administrative procedures carried out by the Department of Industry and Trade

a) For administrative procedures for new issuance, additional issuance, amendment of the Certificate of Eligibility to be a Total Agency for Petroleum Products Trading (with a distribution system covering one (01) province or centrally-administered city), carried out in accordance with Clause 4, Article 17 of Decree No. 83/2014/NĐ-CP.

b) For administrative procedures for new issuance of the Certificate of Eligibility to be a Retail Agent for Petroleum Products, carried out in accordance with Clause 5, Article 20 of Decree No. 83/2014/NĐ-CP.

c) For administrative procedures for new issuance of the Certificate of Eligibility for a Retail Store Selling Petroleum Products, carried out in accordance with Clause 3, Article 25 of Decree No. 83/2014/NĐ-CP.

d) In case the results of the actual inspection match the application dossier submitted by the trader, the Department of Industry and Trade will issue the Certificate according to Models No. 4, No. 8, No. 10 attached to Decree No. 83/2014/NĐ-CP."

"Article 6a. Price Management of Petroleum

1. State-determined base prices for petroleum products include commonly consumed petroleum products such as ethanol gasoline, mineral gasoline, diesel oil, kerosene, and bitumen. The Ministry of Industry and Trade identifies specific types of petroleum products within each group of ethanol gasoline, mineral gasoline, diesel oil, kerosene, and bitumen that are most widely consumed to implement the determination of base prices.

2. Report on domestic production volume of petroleum products: On a quarterly basis, before the end of the last month of each quarter, principal traders producing petroleum products must report the sales volume of domestic petroleum products by type according to Model No. 7a attached to this Circular from the period starting from the 21st day of the last month of the previous quarter to the 20th day of the last month of the current quarter to the Ministry of Industry and Trade for consolidation and calculation to determine the percentage of domestic production volume and imported volume in the base price formula."

5. Amending and supplementing Clause 7 of Article 7 as follows:

"7. Wholesale of petroleum products to production units and direct consumers. Subsidiaries of petroleum product trading enterprises in accordance with the Law on Enterprises may perform tasks within the scope of authorization granted by the petroleum product trading enterprise, including:

a) Signing contracts for selling petroleum products to other petroleum product trading enterprises and selling petroleum products to production units and direct consumers;

b) Signing contracts for selling petroleum products to petroleum product distributors;

c) Signing franchise contracts for retailing petroleum products with retailers;

d) Signing agency contracts."

6. Supplement Article 11a as follows:

"Article 11a. Small-scale Petroleum Product Selling Equipment

1. Small-scale petroleum product selling equipment refers to equipment consisting of a fuel meter and a fuel storage tank with a static capacity at actual temperature not exceeding two hundred (200) liters per unit.

2. The operating areas for small-scale petroleum product selling equipment are those areas listed in Decision No. 964/QD-TTg dated June 30, 2015 of the Government approving the Program for Developing Trade in Mountainous Areas, Remote Areas, and Islands for the period 2015-2020 and subsequent amendments or replacements thereof."

"Article 12. Registration of Annual Minimum Total Source of Petroleum Products

1. Before November 15 each year, petroleum product trading enterprises shall submit one (01) set of registration documents for the minimum total source of petroleum products for the following year in accordance with Clause 25, Article 1 of Decree No. 95/2021/NĐ-CP on the Ministry of Industry and Trade (Domestic Market Department).

2. Within thirty (30) working days from the date of receipt of the registration documents, the Ministry of Industry and Trade shall allocate the minimum total source of petroleum products for domestic consumption throughout the year according to the structure of types for each petroleum product trading enterprise based on the national economy's petroleum product demand and the enterprise's registration.

3. In cases where the minimum total source of petroleum products is not allocated, the Ministry of Industry and Trade shall respond in writing and specify the reasons.

4. If there is a need to adjust the minimum total source of petroleum products, the enterprise shall send a letter to the Ministry of Industry and Trade before September 30 each year.

5. Petroleum product trading enterprises must ensure the importation or purchase of petroleum products domestically in accordance with regulations or specific guidance documents issued by the Ministry of Industry and Trade if such specific guidance documents are provided by the Ministry of Industry and Trade to ensure domestic supply of petroleum products."

8. Amend and supplement Clause 4 of Article 13 as follows:

"4. The export of petroleum products by petroleum product producers shall be carried out in accordance with plans (or adjusted plans) confirmed by the Ministry of Industry and Trade (Domestic Market Department) in accordance with Article 15 of this Circular."

9. Amend and supplement Clause 3 and Clause 4 of Article 14 as follows:

"3. The duration for which petroleum products subject to temporary import and re-export can be stored in Vietnam shall be implemented in accordance with Article 13 of Decree No. 69/2018/NĐ-CP dated May 15, 2018 of the Government detailing certain provisions of the Law on Foreign Trade Management or subsequent amendments or replacements thereof."

"4. Enterprises are permitted to temporarily import petroleum products and raw materials in large consignments and re-export them in their original consignment or in smaller consignments from domestic warehouses of the enterprises, strictly in accordance with the quantity and types temporarily imported, minus losses not exceeding the loss rate stipulated during receipt and storage."

10. Supplement Point c of Clause 3 of Article 16 as follows:

Article 2. Replacing and abolishing certain contents as follows:

1. Replacing certain phrases in Circular No. 38/2014/ND-CP as follows:

a) Replacing the phrase "petroleum traders engaged in export and import of petroleum products" with the phrase "principal traders in petroleum products."

b) Replacing the phrase "License for Export and Import of Petroleum Products" with the phrase "Confirmation of Eligibility to be a Principal Trader in Petroleum Products."

c) Replacing the phrase "petroleum product producers" with the phrase "principal producers of petroleum products."

2. Abolishing certain contents in Circular No. 38/2014/TT-BCT and Circular No. 28/2017/TT-BCT dated December 8, 2017, issued by the Minister of Industry and Trade to amend, supplement, and abolish certain circulars within the scope of management of the Ministry of Industry and Trade in the field of petroleum product business, conformity assessment business, and import and export as follows:

a) Abolishing Clause 2, Article 3 and Clause 10, Article 7 of Circular No. 38/2014/TT-BCT.

b) Abolishing Article 1 of Circular No. 28/2017/TT-BCT dated December 8, 2017, issued by the Minister of Industry and Trade to amend, supplement, and abolish certain circulars within the scope of management of the Ministry of Industry and Trade in the field of petroleum product business, conformity assessment business, and import and export.

Article 3. Effectiveness

This Circular takes effect from January 2, 2022.

Article 4. Transitional Provisions

The registration of the minimum total source of petroleum products will begin in November 2022 for the year 2023.

State-owned enterprises that have been assigned by the Ministry of Agriculture and Rural Development to conduct offshore wind power project surveys before the effective date of this Circular shall continue to implement according to the assigned documents; any new matters arising after the effective date of this Circular shall be implemented in accordance with the provisions of this Circular.

1. Petroleum product producers and traders shall be responsible for monitoring, grasping, and compiling actual data at their units and reporting to the Ministry of Industry and Trade (Department of Domestic Market) according to the provisions of Circular No. 38/2014/TT-BCT and this Circular. Reports shall be submitted to the Ministry of Industry and Trade in writing and through the email system at the address: [email protected].

2. During the implementation process, if there are arising issues or difficulties, organizations and individuals shall reflect them to the Ministry of Industry and Trade for consideration and resolution./.