Notable new policies of Vietnam effective from the end of November 2024

1. Vietnam’s new regulations on association establishment conditions from November 26, 2024 

This is a content of Decree No. 126/2024/ND-CP on the organization, operation, and management of associations, effective as of November 26, 2024. 

According to the Decree, association establishment conditions from November 26, 2024 include: 

- Names of associations shall: 

+ Being written in Vietnamese or transcribed in Vietnamese; where Vietnamese transcription is impossible, use foreign languages; names of associations may be transcribed or translated into languages of ethnic groups or foreign languages in conformity with the law; 

+ Being conformable with the guidelines, purposes, scope, and key operational fields of associations; 

+ Not being wholly identical to or causing confusion over names of other associations legally established previously; 

+ Not violating social ethics, fine customs, and national cultural traditions. 

- Key operational fields shall not be identical to the key operational fields of other associations legally established previously in the same operational scope. 

- There must be guidelines, purposes, and operational fields that are conformable with the law. 

- There must be charters, excluding associations prescribed in Clause 5 Article 21 of Decree No. 126/2024/ND-CP.

- There must be headquarters according to Clause 2 Article 6 of Decree No. 126/2024/ND-CP.

- There must be a sufficient quantity of Vietnamese organizations and citizens applying for the establishment of associations unless otherwise prescribed by laws or ordinances, specifically: 

+ Associations operating nationwide or within an inter-provincial scope shall have at least 100 organizations and citizens at two eligible and voluntary administrative units at the provincial level or higher applying for participation in association establishment; 

+ Associations operating within a provincial scope shall have at least 50 organizations and citizens at two eligible and voluntary administrative units at the district level or higher applying for participation in association establishment; 

+ Associations operating within a district-level scope shall have at least 20 organizations and citizens at two eligible and voluntary administrative units at the commune level or higher applying for participation in association establishment; 

+ Associations operating within a commune-level scope shall have at least 10 organizations and citizens at two eligible and voluntary administrative units at the commune level applying for participation in association establishment; 

+ Association unions of economic organizations operating nationwide with members who are representatives of such economic organizations with statuses of juridical persons of Vietnam shall have at least 11 eligible and voluntary representatives with statuses of juridical persons at specific provinces; associations operating within a provincial scope shall have at least 5 eligible and voluntary representatives with statuses of juridical persons in provinces of the same profession or operational field applying for participation in association union establishment; 

- There must be assets to ensure the operations of associations. 

2. Applications for declaration of eligibility to produce germicidal preparations in Vietnam from November 30, 2024

On October 10, 2024, the Government of Vietnam promulgated Decree No. 129/2024/ND-CP on amendments to Decree No. 91/2016/ND-CP on the management of insecticidal and germicidal chemicals and preparations for household and medical use, which stipulates amendments to regulations on applications for the declaration of eligibility to produce germicidal preparations. 

Specifically, from November 30, 2024, an application for the declaration of eligibility to produce germicidal preparations shall consist of:  

- Written declaration of eligibility to produce preparations following Form No. 01 in Appendix I enclosed with Decree No. 91/2016/ND-CP;

- Declaration of personnel following the Form in Appendix II enclosed with Decree No. 91/2016/ND-CP;

- Diagrams of workshops and warehouses in case of producing chemicals in the list of dangerous chemicals under the law on chemicals. 

- List of devices and equipment used for production and handling of chemical-related incidents. 

See more details in Decree No. 129/2024/ND-CP, effective as of November 30, 2024. 

3. Time for participation in electricity market in Vietnam from November 25, 2024 

On October 10, 2024, the Minister of Industry and Trade of Vietnam promulgated Circular No. 21/2024/TT-BCT on the operation of the competitive wholesale electricity market.

According to the Circular, the time for participation in the electricity market is as follows:

- The electricity unit possessing a power plant shall participate in the electricity market as follows: 

+ On the first day of month M if the date of commercial operation of the power plant is recognized before the 20th of month M-1;

+ On the first day of month M+1 if the date of commercial operation of the power plant is recognized between the 20th and the last day of month M-1. 

- The electricity generation unit possessing a power plant, when the related contract expires under regulations on encouragement and incentives of the State (including BOT power plants transferred to Vietnam), shall participate in the electricity market as follows: 

+ On the first day of month M, if the conclusion date of the power purchase agreement under regulations on the methods of determination of prices of electricity generation and power purchase agreements promulgated by the Ministry of Industry and Trade of Vietnam is before the 20th of month M-1; 

+ On the first day of month M+1, if the conclusion date of the power purchase agreement under regulations on the methods of determination of prices of electricity generation and power purchase agreements promulgated by the Ministry of Industry and Trade of Vietnam is between the 20th and the last day of month M-1; 

- Wholesale buyers shall participate in the electricity market from the date of power delivery or purchase from the power grid. 

See more details in Circular No. 21/2024/TT-BCT, effective as of November 25, 2024. 

4. Vietnam to annul power to issue written confirmations of content of advertisements of Health Environment Management Agency

This is a content of Circular No. 20/2024/TT-BYT on amendments to Circular No. 09/2015/TT-BYT on confirming the advertisements of special products, goods, and services under the management of the Ministry of Health of Vietnam, effective as of November 28, 2024. 

Specifically, the Health Environment Management Agency shall no longer have the power to issue written confirmations of the content of advertisements for insecticidal and germicidal chemicals and preparations for household and medical use. 

Organizations and individuals with written confirmations of the content of advertisements for insecticidal and germicidal chemicals and preparations for household and medical use issued by the authority mentioned above before November 28, 2024 may continue to carry out their advertising as per regulation. 

Where organizations and individuals have applied for written confirmations of the content of advertisements for insecticidal and germicidal chemicals and preparations for household and medical use before November 28, 2024, Circular No. 09/2015/TT-BYT shall prevail.

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