10:00 | 29/04/2024

What is the Circular 05/2024/TT-BKHDT on prescribing management and use of fees associated with contractor and investor selection in Vietnam? What are fees associated with contractor and investor selection?

What is the Circular 05/2024/TT-BKHDT on prescribing management and use of fees associated with contractor and investor selection in Vietnam? What are fees associated with contractor and investor selection? - asked Mrs. B.N-Hanoi.

What is the Circular 05/2024/TT-BKHDT on prescribing management and use of fees associated with contractor and investor selection in Vietnam?

Pursuant to Article 1 of Circular 05/2024/TT-BKHDT, the scope is clearly stated as follows:

Circular 05/2024/TT-BKHDT provides detailed regulations on management and use of fees associated with contractor and investor selection on Vietnam E-Procurement System (hereinafter referred to as “VNEPS”) as prescribed in the Law on Bidding and the Law on public-private partnership investment

At the same time, Article 2 of Circular 05/2024/TT-BKHDT clearly states the regulated entities as follows:

- Organizations and individuals participating in, using or involved in bidding activities on VNEPS.

- Organizations and individuals involved in the management and operation of VNEPS.

At the same time, pursuant to Article 10 of Circular 05/2024/TT-BKHDT, it is clearly stated as follows:

Effect
1. This Circular comes into force from the date on which it is signed.
2. From the effective date of this Circular, the Circular No. 06/2021/TT-BKHDT dated September 30, 2021 of the Minister of Planning and Investment of Vietnam ceases to have effect.
3. Difficulties that arise during the implementation of this Circular should be reported to the Ministry of Planning and Investment of Vietnam for consideration./.

Therefore, Circular 05/2024/TT-BKHDT comes into force from April 19, 2024.

What is the Circular 05/2024/TT-BKHDT on prescribing management and use of fees associated with contractor and investor selection in Vietnam? What are fees associated with contractor and investor selection?

What are fees associated with contractor and investor selection in Vietnam?

Pursuant to Article 4 of Circular 05/2024/TT-BKHDT, fees associated with contractor and investor selection are as follows:

- Fee for maintaining name and capacity profile of the bidder on VNEPS shall comply with provisions of point a clause 11 Article 12 of the Government’s Decree 24/2024/ND-CP

The fee for maintaining name and capacity profile of the bidder on VNEPS for 01 year is VND 330.000 (inclusive of VAT). This fee shall be paid from the second year onwards after the year in which the investor completes procedures for becoming a VNEPS participant.

- Fee for submitting bids on VNEPS shall comply with provisions of point b clause 11 Article 12 of the Government’s Decree 24/2024/ND-CP.

- Fee paid by a winning bidder of a package applying competitive bidding, limited bidding, shopping method or online quotation method under common online bidding procedure shall comply with provisions of point c clause 11 Article 12 of the Government’s Decree 24/2024/ND-CP.

- Fee for connecting electronic bid security function between VNEPS and domestic credit institutions, foreign bank branches duly established under the law of Vietnam, domestic non-life insurers, and branches of foreign non-life insurers duly established under the law of Vietnam shall comply with provisions of point d clause 11 Article 12 of the Government’s Decree 24/2024/ND-CP.

Chi phí trong lựa chọn nhà thầu trên Hệ thống mạng đấu thầu quốc gia theo Nghị định 24/2024/NĐ-CP như thế nào?

Pursuant to the provisions of Clause 11, Article 12 of Decree 24/2024/ND-CP, fees associated with contractor selection on VNEPS are as follows:

(1) The fee for maintaining the name and capacity profile of the bidder on VNEPS:

330,000 VND for 1 year (including value added tax). Bidders pay this fee from the second year onwards after the year of registration to participate in VNEPS;

(2) The fee for submission of bids on VNEPS:

330,000 VND for 1 package (including value added tax) for competitive bidding, limited bidding, online quotation under ordinary procedures; 220,000 VND for 1 package (including value added tax) for shopping method

(3) The winning bidder fee for a package under competitive bidding, limited bidding, shopping method, or online bidding under ordinary procedures, applying online bidding:

For undivided packages: 0.022% of the successful bid but not greater than 2,200,000 VND (including value added tax).

For packages divided into multiple parts, total winning bidder fee for all winning bidders must not exceed 2,200,000 VND (value added tax included). In case the value of 0.022% multiplied by the total successful bid of the package is lower or equal to 2,200,000 VND, the winning bidder fee of each bidder is 0.022% of the total successful bid for the package part that the bidder wins. In case the value of 0.022% multiplied by the total successful bid of the package exceeds 2,200,000 VND, the winning bidder fee of each bidder is calculated according to the following formula:

The winning bidder fee (including value added tax) = 2,200,000 VND x (total successful bid for the package part that the bidder wins/total successful bid of the package);

(4) The connection fees for electronic bid security between VNEPS and various institutions are determined by agreements between the VNEPS operator/supervisor and these entities, which include domestic credit institutions, branches of foreign banks established under Vietnamese law, domestic non-life insurers, and branches of foreign non-life insurers established under Vietnamese law.

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