Vietnam's Decree 06/2021/ND-CP: To specify Responsibilities of investors

Vietnam's Decree 06/2021/ND-CP: To specify Responsibilities of investors (Illustration)

The investor's responsibilities are specified in Article 14 of Vietnam's Decree 06/2021/ND-CP as follows:

• Selecting organizations and individuals fully meeting the prescribed capacity conditions to perform construction works, supervising construction works (if any), conducting construction experiments and assessing the quality of the work ( if any) and performing other construction consulting works.

• Handing over the site to the construction contractor in accordance with the construction schedule and the provisions of the construction contract.

• Checking the conditions for starting construction works according to the provisions of Article 107 of Law No. 50/2014/QH13, which is amended and supplemented in Clause 39, Article 1 of Law No. 62/2020/QH14. Announcing project commencement in accordance with the construction law and by using the sample commencement notice specified in Appendix V of this Decree. In case the work is subject to the pre-commissioning test as prescribed in Clause 1, Article 24 of this Decree, the commencement notice must be sent concurrently to the specialized construction agency that is accorded relevant authority.

• Taking charge of construction supervision as prescribed in Article 19 herein.

• Establishing the construction management system and notifying the duties and powers of individuals in the construction management system of the investor or the construction supervision contractor (if any) to the relevant contractors. Allocating appropriate human resources to carry out construction supervision, safety management; checking whether the mobilization and allocation of manpower of the construction supervision contractor conform to the construction contract's requirements (if any). Persons in charge of safety at workplace that are employed by investors must major in occupational safety or construction engineering, and meet other regulations of the laws on occupational safety and hygiene.

• Checking and approving the overall and detailed construction progress schedule of construction items prepared by the contractor to ensure compliance with the approved construction progress schedule. Adjusting the construction progress schedule when necessary according to the provisions of construction contracts.

• Checking and certifying the volume which has been checked and accepted according to the regulations and the arising volume according to the provisions of the construction contract (if any).

• Reporting on safety measures to the specialized construction agency as prescribed in Clause 4, Article 52 of this Decree in case the construction project has a dangerous area that greatly affects community safety.

• Conducting the controlled experiment and quality inspection of construction project constituents, items and construction works according to the provisions in Article 5 of this Decree.

• Organizing project commissioning.

• Organizing the preparation of project completion documentation.

• Temporarily suspending or terminating the construction works of construction contractors when they deem that the construction quality does not meet technical requirements; construction measures are unsafe; violations against regulations on management of workplace safety cause or pose risks of occupational accidents or incidents leading to occupational unsafety.

• Presiding over, and cooperating with concerned parties in, solving problems arising in the construction works; reporting, handling and mitigating consequences of accidents taken place at construction works, incidents causing occupational unsafety; cooperating with competent agencies in handling incidents at construction works, investigating machine and equipment breakdowns or failures according to the provisions of this Decree.

• Organizing the implementation of regulations on environmental protection at construction works in accordance with the law on environmental protection.

• Preparing reports and sending them to the specialized construction agency to examine the pre-commissioning test according to the provisions of this Decree.

• Investors may have the autonomy in supervising one, several or all of regulations laid down in clause 3 through clause 7 of this Article if they meet the capacity conditions, or may hire consultancy agencies meeting legally prescribed requirements to do so; shall be responsible for inspecting the compliance of hired contractors according to terms and conditions of construction contracts and relevant regulations of laws.

• Persons in charge of occupational safety of construction contractors shall assume the following responsibilities:

  • Supervising contractors' implementation of safety regulations at construction sites;

  • Organizing cooperation amongst contractors on the safety management and solving occupational safety issues during the construction period;

  • Temporarily suspending or terminating construction activities when detecting signs of violation against safety regulations during the construction period.

Compared with the past, Vietnam's Decree 46/2015/ND-CP only regulates the responsibilities of construction contractors but does not mention the responsibilities of investors. Thus, with this provision in Vietnam's Decree 06/2021/ND-CP, the responsibility of the investor for quality management, construction and construction maintenance has been specifically recognized. From there, there is a legal basis to base and determine the responsibility of the investor. This is a new important point mentioned in this Decree.

Le Thanh

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