What is the formula for calculating environmental protection fees for emissions in Vietnam in 2025?

What is the formula for calculating environmental protection fees for emissions in Vietnam in 2025?

Based on Clause 1, Article 5 of Decree 153/2024/ND-CP, the regulations are as follows:

Fee Calculation Method

1. The environmental protection fee for emissions payable in the fee-paying period is calculated according to the following formula: F = f + C.

Where:

a) F is the total fee payable in the fee-paying period (quarter or year).

b) f is the fixed fee prescribed in Clause 1, Article 6 of this Decree (quarter or year).

c) C is the variable fee, calculated quarterly.

The variable fee of the facility discharging emissions (C) is the total variable fee at each emission stream (Ci) determined by the formula: C = ΣCi.

The variable fee of each emission stream (Ci) is the total variable fee of the environmental pollutants prescribed in Clause 2, Article 6 of this Decree present in the emissions at each emission stream (i) and determined by the following formula:

Ci = Ci (Dust) + Ci (SOx) + Ci (NOx) + Ci (CO)

The variable fee for each environmental pollutant present in emissions at each emission stream (i) is determined as follows:

Ci (pollutant in emissions) = Emission flow rate at the i-th emission stream (Nm3/hour) x Emission time at the i-th emission stream (hour) x Concentration of pollutants in emissions at the i-th emission stream (mg/Nm3) x 10-9 x Fee rate of pollutant (VND/ton).

...

Thus, according to the above regulation, the formula for calculating the environmental protection fee for emissions in 2025 is F = f + C.

Where:

- F is the total fee payable in the fee-paying period (quarter or year).

- f is the fixed fee prescribed in Clause 1, Article 6 of this Decree (quarter or year).

- C is the variable fee, calculated quarterly.

Formula for calculating environmental protection fees for emissions in Vietnam in 2025 (Image from Internet)

What is the fixed annual environmental protection fee for emissions in Vietnam in 2025?

Based on Clause 1, Article 6 of Decree 153/2024/ND-CP, the regulations are as follows:

Fee Rate

1. For facilities discharging emissions not subject to emission monitoring

Fixed fee rate (f): 3,000,000 VND/year. In the case where the fee payer pays quarterly, the fee rate calculated for one quarter is f/4.

In the case where a facility discharging emissions starts operation from the effective date of this Decree or a facility discharging emissions operating before the effective date of this Decree: The fee payable = (f/12) x fee time (months). Where the fee time is the period from the following month after the month this Decree takes effect (applicable to operational facilities) or the month of commencement of operation (applicable to new facilities starting operation from the effective date of this Decree) until the end of the quarter or year.

...

Thus, the fixed environmental protection fee for emissions in 2025 is 3,000,000 VND/year. If the fee payer pays quarterly, the fee rate calculated for one quarter is f/4.

What are procedures for fee payers to declare and pay the environmental protection fee in Vietnam?

Pursuant to Clause 1, Article 7 of Decree 153/2024/ND-CP, the regulations on the declaration and payment of environmental protection fees by the fee payer are as follows:

- For facilities discharging emissions subject to emission monitoring, the fee payer declares and pays fees quarterly as follows:

+ Quarterly, no later than the 20th of the first month of the following quarter, the fee payer shall prepare the Environmental Protection Fee Declaration for emissions (hereinafter referred to as the Fee Declaration) according to Form No. 01 in the Appendix issued with this Decree, submit the Fee Declaration directly or send it via postal services or electronically if technical infrastructure permits and meets the relevant legal provisions on electronic transactions, digital signatures, electronic documents, and pay the fee to the fee collection organization; pay the fee according to the Notice from the fee collection organization (if any).

- For facilities discharging emissions not subject to emission monitoring, the fee payer declares and pays fees as follows:

+ In the case a facility discharging emissions starts operation when this Decree takes effect: The fee payer prepares the Fee Declaration according to Form No. 01 in the Appendix issued with this Decree, submits the Fee Declaration directly or via postal services or electronically if technical infrastructure permits and meets the relevant legal provisions on electronic transactions, digital signatures, electronic documents, and pays the fee to the fee collection organization no later than the 20th of the following month of commencement of operation.

+ The fee payable is calculated for the period from the following month of commencement of operation to the end of the calendar year (end of December 31 of the starting year).

+ From the following year, the fee payer pays the fee once for the entire year, with the payment deadline no later than January 31 each year.

+ For facilities discharging emissions operating before the effective date of this Decree: The fee payer prepares the Fee Declaration according to Form No. 01 in the Appendix issued with this Decree, submits the Fee Declaration directly or via postal services or electronically if technical infrastructure permits, and meets the relevant legal provisions on electronic transactions, digital signatures, electronic documents, and pays the fee to the fee collection organization no later than the 20th of the following month of the effective date of this Decree. The fee payable is calculated for the period from the following month of the effective date of this Decree to the end of the calendar year.

+ From the following year, the fee payer pays the fee once for the entire year, with the payment deadline no later than January 31 each year.

- For facilities discharging emissions that dissolve, bankrupt, cease operations according to legal regulations, the fee payer must complete the fee obligation in accordance with tax management law and relevant legal provisions.

- The fee payer pays the fee (including late payment charges - if any) to the fee collection organization by one of the following methods:

+ Cashless payment to the fee collection organization's designated account at a credit institution.

+ Payment into the fee pending submission to the budget account of the fee collection organization opened at the State Treasury.

+ Payment through the account of another receiving agency or organization differing from the fee collection organization (applicable where administrative procedures, online public services are provided according to the Government of Vietnam's regulation on the one-stop, interconnected one-stop mechanism in administrative procedure settlement).

+ Within 24 hours from the time of receiving the fee, the receiving agency or organization must transfer the entire fee collected to the fee collection organization's transfer account opened at a credit institution, or transfer the entire fee collected to the fee pending submission to the budget account of the fee collection organization opened at the State Treasury.