Liquidation of Planted Forests That Have Not Transformed Into Forests: When Is It Conducted?

Recently, the Minister of Finance signed and issued Circular 18/2013/TT-BTC guiding the order, procedures for liquidation of planted forests and the management and use of proceeds from the liquidation of non-forest planted forests and planted forests unable to become forests.

In Clause 1, Article 4 Circular 18/2013/TT-BTC, regulations on the liquidation of planted forests that do not become forests (except for cases stipulated in Clause 2, Article 4) are carried out after obtaining the liquidation decision from the competent authority and having a land use plan (with a project for new forest planting investment or conversion to other uses in accordance with the land use planning) approved by the competent authority.

When to liquidate planted forests that do not become forests, Circular 18/2013/TT-BTC

Illustration (source: internet)

However, for planted forests that do not become forests due to force majeure causes leading to a loss of ecological value that negatively affects the environment or the remaining planted forest area, after obtaining the liquidation decision from the competent authority, the Investor must immediately organize the liquidation without waiting for the land use plan to be approved by the competent authority.

Note that the value of the salvaged forest products is determined according to the market price at the time the planted forest liquidation is organized.

Criteria for identifying planted forests that do not become forests, and planted forests that have no potential to become forests are guided by the Ministry of Agriculture and Rural Development.

Additionally, Circular 18/2013/TT-BTC also guides identifying the causes leading to planted forests not becoming forests, and planted forests having no potential to become forests arising during the initial investment and construction phase, and during the forest care and protection phase as follows:

- Force majeure causes leading to forests not having the potential to become forests are determined according to the provisions of Article 23 of the Management Regulation on Forest Construction Investment Projects promulgated under Decision 73/2010/QD-TTg, including: earthquakes, floods, flash floods, cyclones, tsunamis, landslides; wars or the risk of wars; abnormal heat, drought, frost, harmful winds; forest fires; animal destruction; epidemics of insects and pests; other objective damages.- Other causes (not force majeure causes mentioned above) leading to planted forests not becoming forests, determined by the agency or unit preparing the planted forest liquidation documents. In this case, the agency preparing the planted forest liquidation documents is responsible for clarifying the causes and responsibilities of the relevant agencies, organizations, and individuals, reporting to the competent authority for consideration and decision on the liquidation of the planted forest.

See additional related regulations in Circular 18/2013/TT-BTC effective from April 05, 2013.

Tuesday

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