What is the maximum appraisal fee for large-scale construction investment projects in Vietnam from July 2023?
What is a construction investment project in Vietnam? What are the appraisal fees for construction investment projects from July 1, 2023?
Under Clause 15, Article 3 of the Law on Construction 2014, a construction investment project is defined as follows:
Construction investment project means a collection of proposals concerning use of funds for construction, repair or renovation of a construction work with a view to developing, maintaining and raising the quality of the work or product or service within a given duration at specified costs. At the stage of investment construction project preparation, the project shall be demonstrated through the construction investment pre-feasibility study report, the construction investment feasibility study report or construction investment economic-technical report
Regarding the appraisal fees for construction investment projects, based on Circular 28/2023/TT-BTC, when competent authorities appraise the Feasibility Study or Economic-technical Report on construction investment, investors or agencies assigned to prepare the construction investment project must pay appraisal fees as regulated.
Specifically, the appraisal fees for construction investment projects are determined according to the Fee Schedule issued with Circular 28/2023/TT-BTC as follows:
Where:
- Fee rates as a percentage (%) of total investments of projects shall be applied by each appraising agency.
- The maximum appraisal fee for a construction investment project is not more than VND 150,000,000/project total investment/appraising agency and the minimum is not less than VND 500,000/project total investment/appraising agency.
What is the maximum appraisal fee for large-scale construction investment projects in Vietnam from July 2023? (Image from the Internet)
What is the maximum appraisal fee for large-scale construction investment projects in Vietnam from July 2023?
Under the provisions of Clause 4, Article 4 of Circular 28/2023/TT-BTC as follows:
Fee rate
...
4. Regarding investment projects on construction of large-scale works or works that significantly affect community safety and interests and are funded by other funding sources as prescribed in Clause 15 Article 1 of the Law on amendments to the Construction Law: the fee rate equaling 50% of that specified in the Fee Schedule enclosed herewith shall apply.
The appraisal fee rate for large-scale construction investment projects is 50% of the fee rate stipulated in the Fee Schedule.
Thus, the appraisal fees for large-scale construction investment projects will not exceed VND 75,000,000/project total investment/appraising agency and not less than VND 250,000/project total investment/appraising agency.
What are the regulations on the appraisal of construction investment feasibility study reports by specialized construction authorities in Vietnam?
Under the provisions of Article 58 of the Law on Construction 2014 as amended and supplemented by Clause 15, Article 1 of the Law on Amendments to Law on Construction 2020 as follows:
Appraisal of construction investment feasibility study reports by specialized construction agencies
1. Specialized construction agencies shall carry out the appraisal of construction investment feasibility study reports of the following projects:
a) Projects using public investment funds;
b) PPP projects;
c) Construction investment projects that are classified in group B or larger, or have construction works significantly affecting the community safety and interests, and use non-public investment state funds;
d) Construction investment projects that are of large scale, or have construction works significantly affecting the community safety and interests, and use other funds.
2. For construction investment projects prescribed in Points a, b and c Clause 1 of this Article, specialized construction agencies shall carry out the appraisal of the following contents:
a) The compliance with law regulations on formulation of construction investment project and fundamental design; the fulfillment of construction operation capability conditions by organizations and individuals performing construction activities;
b) The conformity of the fundamental design with construction planning and other detailed planning as prescribed by the Law on planning or the plan on the line of works and the construction location approved by competent authorities;
c) The conformity of the project with the investment policy decided or approved by competent authorities, implementation program or plan, and other project requirements as prescribed by relevant laws (if any);
d) For urban area construction investment projects, the regional infrastructure connectivity; the fulfillment of technical infrastructure requirements and assignment of responsibility to manage the works in accordance with relevant laws;
dd) The conformity of fundamental design solutions to ensuring construction safety; the fulfillment of requirements on fire and explosion prevention and fighting, and environmental protection;
e) The compliance with technical regulations and applicable standards as prescribed by the Law on standards and technical regulations;
g) The compliance with laws on determination on total investment.
3. For construction investment projects prescribed in Point d Clause 1 of this Article, specialized construction agencies shall carry out the appraisal of the contents prescribed in Points a, b, c, d, dd and e Clause 2 of this Article.
4. The Government shall elaborate large-scale construction investment projects and those having construction works significantly affecting the community safety and interests.
Therefore, the appraisal of construction investment feasibility study reports by specialized construction authorities in Vietnam shall follow the above regulations.
Circular 28/2023/TT-BTC will take effect from July 1, 2023.
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