Issuance of the Decree stipulating activities of land reclamation from the sea? How is land allocation, land lease, and sea area allocation for land reclamation performed?

Issuance of a Decree on Coastal Reclamation Activities

On April 16, 2024, the Government of Vietnam issued Decree 42/2024/ND-CP regarding coastal reclamation activities.

Coastal reclamation refers to the expansion of land within the lowest average water line over many years toward the sea, within the maritime areas of Vietnam.

The decision on investment policies, approval of investment policies, and selection of investors for investment projects involving coastal reclamation activities are regulated as follows:

- The approval of investment policies and decision on investment policies for investment projects involving coastal reclamation activities are carried out in accordance with the laws on investment, public investment, and public-private partnership investment.

- The selection of investors to implement investment projects involving coastal reclamation activities using non-state budget capital follows the regulations of the laws on investment, bidding, land, and public-private partnership investment.

- Coastal reclamation activities within investment projects involving coastal reclamation activities must be prepared as specific coastal reclamation investment projects or coastal reclamation components of the investment project according to the provisions of Article 6 of Decree 42/2024/ND-CP.

Issuance of a Decree on Coastal Reclamation Activities? How is land allocation, land lease, and maritime area allocation for coastal reclamation conducted? (Image from the Internet)

How is Land Allocation, Land Lease, and Maritime Area Allocation for Coastal Reclamation Conducted?

Article 7 of Decree 42/2024/ND-CP stipulates the allocation of land, lease of land, and allocation of maritime areas for coastal reclamation as follows:

- For coastal reclamation investment projects or investment projects involving coastal reclamation components using public investment capital, the procedures for land allocation and land lease are conducted according to the provisions of Clause 3, Article 68 of Decree 43/2014/ND-CP.

In case of coastal reclamation investment projects or investment projects involving coastal reclamation components to develop land funds, after completing the coastal reclamation and obtaining acceptance as prescribed, the investor must hand over the entire reclaimed land area and construction works (if any) to the competent state agency for the allocation of land or lease of land to organizations and individuals for use in accordance with land law.

- For coastal reclamation investment projects or investment projects involving coastal reclamation components using non-public investment state capital and projects using other capital, the procedures for land allocation and land lease are as follows:

+ In case of land allocation or land lease through land use rights auction, it is conducted according to the procedures prescribed in Clause 5, Article 68 of Decree 43/2014/ND-CP and Clause 21, Article 1 of Decree 148/2020/ND-CP.

+ In case of land allocation or land lease for investors selected through bidding according to the bidding laws or in case investors are approved under Clause 3, Article 29 of the Investment Law 2020, it is conducted according to the procedures prescribed in Clause 3, Article 68 of Decree 43/2014/ND-CP.

+ In case of land allocation or land lease not through land use rights auction, it is conducted according to the procedures prescribed in Clause 3, Article 68 of Decree 43/2014/ND-CP.

- Investors of coastal reclamation investment projects or investment projects involving coastal reclamation components, when submitting dossiers for land allocation, land lease, and maritime area allocation, must attach the coastal reclamation investment project or coastal reclamation component of the investment project approved by the competent state agency.

The Provincial People's Committee decides on land allocation or land lease concurrently with the allocation of maritime areas for coastal reclamation. Investors of coastal reclamation investment projects or investment projects involving coastal reclamation components are not required to pay for the use of the maritime areas for coastal reclamation activities.

- The application for land allocation, land lease, and concurrent allocation of maritime areas for coastal reclamation; the decision on land allocation concurrently with the allocation of maritime areas for coastal reclamation; and the decision on land lease concurrently with the allocation of maritime areas for coastal reclamation are implemented according to Forms No. 01, 02, and 03 attached to Decree 42/2024/ND-CP.

- The point at which the land user must put the land into use is determined from the date of notification of acceptance results for the whole or part of the completed reclaimed land area according to the progress of the coastal reclamation investment project or coastal reclamation component in the investment project.

How is the Feasibility Study Report of Coastal Reclamation Investment Projects Prepared and Appraised?

Clause 3, Article 6 of Decree 42/2024/ND-CP prescribes the preparation, appraisal of the Feasibility Study Report, and approval of investment projects; preparation, appraisal, and approval of construction designs, construction, and acceptance of construction works of coastal reclamation investment projects or coastal reclamation components of investment projects as per construction law and Decree 42/2024/ND-CP. Specifically:

- The specialized construction agency under the Provincial People's Committee appraises the Feasibility Study Report of coastal reclamation investment projects or coastal reclamation components of investment projects.

In addition to the content as prescribed by construction law, the specialized construction agency under the Provincial People's Committee appraises the content of determining the value of the total investment cost of the coastal reclamation investment project or coastal reclamation component of the investment project.

- The specialized construction agency under the Provincial People's Committee appraises the construction design after the basic design of works subject to appraisal by the specialized construction agency as per construction law.

- For projects using public investment capital, the authority to approve projects and construction designs is carried out according to public investment law and construction law.

For projects using non-public investment state capital and projects using other capital, the Provincial People's Committee approves the projects.

The investor approves the construction design according to the provisions of construction law.

- The organization of construction, acceptance of components or construction works within the coastal reclamation investment projects or coastal reclamation components of investment projects is conducted according to the regulations of construction law.

Sincerely!