Maintenance of Aviation Infrastructure Assets

On March 13, 2018, the Government of Vietnam issued Decree 44/2018/ND-CP stipulating the management, use, and exploitation of aviation infrastructure assets.

Decree 44/2018/ND-CP stipulates:

Aviation infrastructure assets must be maintained in accordance with legal regulations; ensuring compliance with procedures, processes, plans, and standards to maintain the technical condition of the assets, ensuring normal and safe operation when used and exploited.

Forms of maintenance of aviation infrastructure assets: Maintenance based on performance quality and maintenance based on actual workload.

Maintenance Based on Performance Quality

Maintenance based on performance quality is the execution of maintenance activities according to defined quality standards, within a certain period with a specified amount of money stated in the Economic Contract.

The agency entrusted with asset management has the responsibility:

- Determining the maintenance contractual price for each asset within their management scope;- Submitting to the competent authority or individual for approval.- The maintenance contractual price for aviation infrastructure assets is determined based on the method of economic-technical norms of maintenance activities or the average cost method of the maintenance activities of the preceding 3 years plus the price escalation factor (if any) or a combination of the two methods.

The Ministry of Transport stipulates the criteria for monitoring, acceptance of maintenance results of aviation infrastructure assets based on performance quality.

Maintenance Based on Actual Workload

Maintenance based on actual workload is the execution of maintenance activities and payment according to the actual amount of work performed.

The Ministry of Transport decides or decentralizes the authority to decide on the application of such maintenance forms for each maintenance activity of aviation infrastructure assets according to legal regulations on quality management and maintenance of construction works, specific sector laws, ensuring cost savings and efficiency.

The selection of enterprises to maintain aviation infrastructure assets is conducted according to legal regulations on tendering.

In cases where the maintenance of aviation infrastructure assets does not fall within the mentioned situations, the selection of organizations and individuals for asset maintenance must comply with relevant legal regulations.

The funding for the maintenance of aviation infrastructure assets is sourced from the state budget according to legal regulations on the state budget and other funding sources as per legal regulations; specifically, the following cases are not to use these funds:

- Aviation infrastructure assets that have been counted as part of state capital in enterprises;- Aviation infrastructure assets during the lease period for operational rights, where the leasing enterprise performs the maintenance according to the signed contract;- Aviation infrastructure assets during the temporary transfer of operational rights, where the transferee enterprise performs the maintenance according to the signed contract.

Decree 44/2018/ND-CP takes effect from March 13, 2018.

- Thao Uyen -

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