Procedures for forest leasing in Vietnam from July 18, 2024

The procedures for forest leasing in Vietnam have been amended and supplemented in Decree 91/2024/ND-CP, which comes into force in Vietnam from July 18, 2024.

Procedure  and  formalities  for  forest  leasing  from  July  18,  2024

Procedures for forest leasing in Vietnam from July 18, 2024 (Internet image)

Procedures for forest leasing in Vietnam from July 18, 2024

Decree 91/2024/ND-CP was promulgated on July 18, 2024, amending and supplementing several provisions of Decree 156/2018/ND-CP, which details the implementation of certain articles of the Law on Forestry. Clause 18, Article 1 of Decree 91/2024/ND-CP amends and supplements Article 36 of Decree 156/2018/ND-CP regarding the procedures for forest leasing in Vietnam as follows:

(1) Development of auction plan for forest leasing: within 30 days from the date the forest leasing plan is approved by the competent authority, the specialized forest management agency at the district level (for forest leasing to households and individuals) or the Department of Agriculture and Rural Development (for forest leasing to organizations) shall develop an auction plan for forest leasing and submit it to the district or provincial People's Committee for approval according to Form No. 16, Appendix II attached to Decree 156/2018/ND-CP;

(2) Determination of the starting price for forest leasing: within 20 days from the date the auction plan for forest leasing is approved, the Department of Agriculture and Rural Development shall determine the starting price for forest leasing and submit it to the provincial People's Committee for approval in accordance with the forestry law and other relevant laws;

(3) Approval of the starting price for forest leasing: within 10 days from the date of receiving the submission from the Department of Agriculture and Rural Development, the provincial People's Committee shall consider and approve the starting price for forest leasing (the approved starting price is the basis for conducting the forest leasing auction). If not approved, the provincial People's Committee shall respond in writing, stating the reasons;

(4) Signing the service contract for forest leasing auction:

Within 10 days from the date the provincial People's Committee approves the starting price for forest leasing, the specialized forest management agency at the district level (for forest leasing to households and individuals) or the Department of Agriculture and Rural Development (for forest leasing to organizations) shall sign a service contract for asset auction with the asset auction organization according to the approved plan to carry out the forest leasing auction. The service contract for asset auction must be made in writing and performed in accordance with civil law and the Law on Asset Auction;

(5) Within 30 days from the date of signing the forest leasing auction contract, the asset auction organization that has signed the service contract for asset auction is responsible for implementing the order and procedures for forest leasing auction according to the provisions of auction law and other relevant laws.

(6) Approval of the forest leasing auction results:

Within 5 days from the date of receiving the auction results, Auction Meeting Minutes, and the list of successful bidders, the competent People's Committee shall issue a decision recognizing the forest leasing auction results and send it to the specialized forest management agency at the district level (for forest leasing to households and individuals), the Department of Agriculture and Rural Development (for forest leasing to organizations), the auction organization, and the lessee.

(7) Payment of forest leasing fees after the decision recognizing the auction results:

Within 30 days from the date of the decision recognizing the auction results, the organization, household, or individual winning the auction must pay the forest leasing fees to the State Treasury and transfer the payment receipt to the specialized forest management agency at the district level (for forest leasing to households and individuals) or the Department of Agriculture and Rural Development (for forest leasing to organizations) for reporting to the same-level People's Committee to decide on forest leasing.

(8) Decision on forest leasing:

Within 10 days from the date the organization, household, or individual winning the auction completes the financial obligations, the district People's Committee shall consider and sign the decision on forest leasing for households and individuals according to Form No. 10; sign the forest leasing contract according to Form No. 12; direct the specialized forest management agency at the district level to organize the forest handover in compliance with point e, clause 1, Article 36 Decree 156/2018/ND-CP. The provincial People's Committee shall consider and sign the decision on forest leasing for organizations according to Form No. 14; direct the Department of Agriculture and Rural Development to sign the forest leasing contract according to Form No. 12, Appendix II attached to Decree 156/2018/ND-CP, and organize the forest handover in compliance with point d, clause 2, Article 36 Decree 156/2018/ND-CP.

In case the time limit specified in item (7) is exceeded, and the organization, household, or individual winning the auction fails to make full payment as per the auction results, the specialized forest management agency at the district level (for forest leasing to households and individuals) or the Department of Agriculture and Rural Development (for forest leasing to organizations) shall submit a request to the same-level People's Committee to cancel the recognition of the auction results.

Tran Trong Tin

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