Sample contract for PPP projects in the fields of irrigation and rural clean water supply in Vietnam

Sample contract for PPP projects in the fields of irrigation and rural clean water supply in Vietnam

- The Build-Operate-Transfer (BOT) contract is applicable for PPP projects in the rural clean water supply sector, implemented under the mechanism of direct fees from users or organizations purchasing products and public services. It is signed between the contracting agency and the project investor or enterprise. The BOT contract template is implemented according to the regulations in Appendix V issued with Circular 26/2023/TT-BNNPTNT.

- For other types of contracts, the inviting party may refer to the appropriate contents in Appendix IV and Appendix V of Circular 26/2023/TT-BNNPTNT to develop contract templates in the bidding documents, ensuring compliance with the type of contract, the specific nature of each project, and relevant legal regulations.

- During the negotiation and finalization of the contract, the parties may propose adjustments and additions to the contract content, ensuring that they do not change the fundamental content of the bidding documents and are not contrary to the regulations on investment under the public-private partnership (PPP) method and relevant legal regulations.

Pricing of irrigation products, services, and clean water in PPP project contracts in Vietnam

- The pricing of irrigation products, services, and clean water is carried out according to the regulations in Article 65 of the Law on Public – Private Partnership Investment 2020. The principle of price adjustment for irrigation products, services, and clean water is implemented according to the regulations in point c, clause 1 of Article 22 of the Law on Price.

- The pricing of irrigation products and services is determined according to the regulations in clause 3 of Article 35 of the Law on irrigation (amended by clause 5 of Article 73 of the Law on Price).

- The pricing of clean water is determined and adjusted according to the regulations in Circular 44/2021/TT-BTC, which stipulate the price framework, principles, and methods for determining the price of domestic clean water, and relevant legal regulations.

For more details, please refer to Circular 26/2023/TT-BNNPTNT, taking effect on July 1, 2024.

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