Regulation on disposal of maritime infrastructure in Vietnam

On March 12, 2018, the Government of Vietnam issued Decree No. 43/2018/NĐ-CP on management, use and operation of maritime infrastructure.

Regulation on disposal of maritime infrastructure is a notable content of Decree No. 43/2018/NĐ-CP of Vietnam’s Government. To be specific:

Cases of disposal of maritime infrastructure

According to Decree No. 43/2018/NĐ-CP of Vietnam’s Government, a maritime infrastructural facility shall be disposed of in any of the following cases:

- The facility is damaged and cannot be used or the repair does not work;

- Demolishing old maritime infrastructure to build new maritime infrastructure according to a project approved by the competent authority;

- The competent authority adjusts a planning that leads a part or the whole of maritime infrastructure unusable, not as normal as its functions;

- Other cases as per the law.

Competent authority: The Minister of Transport shall consider disposing of maritime infrastructure or empower certain authorities to do so.

A maritime infrastructural facility shall be disposed of in the form of demolition or destruction. The withdrawn materials shall be:

- handed over to the agency acquiring the property to be disposed of to use them in maintenance if the property is usable: The Minister of Transport shall consider bringing withdrawn materials into operation; in this circumstance, their value shall be recorded as increase in the estimate or maintenance contract;

- transferred to other entities for management and operation. The Minister of Transport shall consider transferring such materials to its inferior agencies; the Minister of Finance shall consider transferring such materials to agencies not affiliated to the Ministry of Transport at the request of the Ministry of Transport, central ministries, or involved the People's Committee of province;

- sold, if they cannot be used.

A request for disposal of maritime infrastructure includes:

- A request for disposal made by infrastructure supervisor: 1 original;

- A list of infrastructural facilities to be disposed of using Form No. 06 in Appendix thereto (stating reasons for disposal): 1 original;

- Other documents (if any): 1 copy.

Procedures for disposal of maritime infrastructure:

- The infrastructure supervisor shall prepare and send a request for disposal of infrastructure to the competent authority;

- Within 30 days, from the date on which a valid request is received, the competent authority shall consider disposing of the maritime infrastructure or give a reply if the request is invalid. If the materials withdrawn from disposal are transferred to an agency not affiliated to the Ministry of Transport, the Ministry of Transport shall request the Ministry of Finance to consider within its authority,

- The decision on disposal shall at least contain: The infrastructure supervisor; a list of infrastructural facilities to be disposed of (description, quantity, input value, residual value, reasons for disposal); disposal method; actions against withdrawn materials; management and use of proceeds from disposal; responsibilities for implementation;

- According to the decision on disposal made by the competent authority, the infrastructure supervisor shall demolish or destroy the infrastructure and take actions against the withdrawn materials as prescribed. The withdrawn materials shall be sold in accordance with law.

- From the completion date of disposal, the infrastructure supervisor shall record the decrease in property and make a declaration of property variation as prescribed in Article 28 hereof and relevant law provisions.

Decree No. 43/2018/NĐ-CP of Vietnam’s Government comes into force from March 12, 2018.

-Thao Uyen-

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