This is one of the basic contents amended at the Law on amendments to Construction Law 2020 of Vietnam, effective from January 01, 2021. Below are details of 3 basic contents about construction investment projects.
Article table of contents
1. What is the “construction investment project “?
According to Clause 15 Article 3 of the Construction Law 2014 of Vietnam, construction investment project means a collection of proposals concerning use of funds for construction, repair or renovation of a construction work with a view to developing, maintaining and raising the quality of the work or product or service within a given duration at specified costs. At the stage of investment construction project preparation, the project shall be demonstrated through the construction investment pre-feasibility study report, the construction investment feasibility study report or construction investment economic-technical report.
Moreover, according to Point dd Clause 1 Article 1 of the Law on amendments to Construction Law 2020 of Vietnam (effective from January 01, 2021), Clause 15a is added to Clause 15 Article 3 of the Construction Law 2014 as follows:
“15a. “urban area construction investment project” means a construction investment project whose functions are to serve mixed purposes and synchronize technical infrastructure and social infrastructure with housing construction works or other construction works according to the construction planning which has been approved by a competent authority for construction, repair or renovation of an urban area.”
2. Classification of construction investment projects
According to Clause 8 Article 1 of the Law on amendments to Construction Law 2020 of Vietnam (effective from January 01, 2021), amending Article 49 of the Construction Law 2014 on classification of construction investment projects as follows:
First, based on their sizes and importance, construction investment projects are classified as national important projects, group-A projects, group-B projects and group-C projects according to the criteria prescribed by the Law on public investment.
Second, based on functions and characteristics of the construction works, and management purposes, construction investment projects are classified as follows:
- Investment projects on construction of civil works;
- Investment projects on construction of industrial works;
- Investment projects on construction of infrastructure works;
- Investment projects on construction of traffic works;
- Investment projects on construction of agricultural and rural development works;
- Investment projects on construction of national defense and security works;
- Housing and urban area construction investment projects, and other construction investment projects that have mixed functions.
Third, based on funding sources and investment forms, construction investment projects are classified as follows:
- Projects using public investment funds;
- Projects using non-public investment state funds;
- PPP projects;
- Projects using other funds.
It can be seen that the Law on amendments to Construction Law 2020 has more specific provisions on the classification of construction investment projects compared to the Construction Law 2014.
3. Formulation of construction investment projects
According to Clause 10 Article 1 of the Law on amendments to Construction Law 2020 of Vietnam (effective from January 01, 2021), amending Article 52 of the Construction Law 2014, upon construction investment, project owners or agencies or organizations assigned to take charge of project preparation shall make construction investment feasibility study reports. Contents of construction investment feasibility study reports must conform to the requirements of each type of project.
In particular, before making construction investment feasibility study reports, construction investment pre-feasibility study reports shall be formulated according to the following provisions:
- For national important projects and group-A projects using public investment funds, PPP projects as prescribed in the Law on investment in the public-private partnership form, and projects of which investment policies are approved by the National Assembly or the Prime Minister as prescribed by the Law on investment, the formulation of construction investment pre-feasibility study reports is compulsory;
- For projects other than those prescribed in Point a of this Clause, the formulation of construction investment pre-feasibility study reports shall be decided by investment decision makers;
- Procedures for formulation and appraisal of construction investment pre-feasibility study reports shall comply with the provisions of the Law on public investment, the Law on investment in the public-private partnership form and relevant laws;
- Contents of construction investment pre-feasibility study reports must comply with the provisions in Article 53 hereof, except those of PPP projects.
Note:
- Only construction investment economic-technical reports shall be required for construction investment projects in the following cases:
+ Construction works used for religious purposes;
+ Small construction works and other works prescribed by the Government.
- For construction of detached houses of households or individuals, neither construction investment pre-feasibility study report nor construction investment economic-technical report is required.
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Le Vy
