How are the costs of urban public services in Vietnam managed?

Circular No. 14/2017/TT-BXD was issued by the Ministry of Construction of Vietnam on December 28, 2017, which specifies the management of costs of urban public services.

According to Circular No. 14/2017/TT-BXD of the Ministry of Construction of Vietnam, the management of costs of urban public services is conducted as follows:

- People’s Committees of provinces or central-affiliated cities shall instruct specialized authorities to set up unit costs and make cost estimates of urban public services and cost estimates of supervision or management of urban public services, and carry out appraisal and approval for or authorize competent entities to consider approving such unit costs and cost estimates.

- People’s Committees of provinces or central-affiliated cities shall instruct their affiliated enterprises providing urban public services to restructure and/or downsize their executive boards, and formulate plans for investment in technologies and mechanical equipment with the aims of enhancing productivity and reducing costs.

- Specialized authorities affiliated to People’s Committees of provinces or central-affiliated cities may hire qualified and experienced consultants to formulate or verify standard costs, unit costs and cost estimates for serving their management of costs of urban public services.

- The Ministry of Construction shall conduct regular or unscheduled inspection of determination and management of costs of urban public services of local authorities.

View more details at Circular No. 14/2017/TT-BXD of the Ministry of Construction of Vietnam, effective from February 15, 2018.

-Thao Uyen-

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