Activities exempt from sea area usage fees in Vietnam

Activities exempt from sea area usage fees in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. Activities exempt from sea area usage fees in Vietnam

Activities exempt from sea area usage fees in Vietnam according to Article 31 of Decree 11/2021/ND-CP as follows:

- Using sea areas as areas of water facing against wharves, turning basins, anchorage areas, transshipment areas, storm shelters, pilot boarding areas, quarantine areas, navigational channels and other auxiliary works to serve public interests and other state-funded maritime infrastructure to serve public interests.

- Using sea areas as prescribed in Clause 2 Article 44 of the Law on Fisheries 2017.

- Using fixed sea areas for performance of science and technology tasks approved by competent authorities.

- Using sea areas for serving marine protected areas, areas for exploitation and protection of aquatic resources, wetland protected areas.

- Using sea areas for petroleum exploration; for petroleum extraction and transport of petroleum resources extracted within Vietnam’s territorial waters to shore by pipeline under petroleum product sharing contracts and Prime Minister’s decisions (including the use of sea areas for directly serving petroleum extraction and transport, for installing platforms, building oil ports, building petroleum pipelines, flowlines and other auxiliary works).

- Using sea areas for dumping of materials dredged from waters facing against wharves, turning basins, anchorage areas, transshipment areas, storm shelters, pilot boarding areas, quarantine areas, navigational channels and other auxiliary works to serve public interests and other state-funded maritime infrastructure to serve public interests.

- Using areas for construction, installation and operation of works that serve national and public interests.

- The Prime Minister shall decide on sea usage fee exemption granted to other cases requested by the Minister of Natural Resources and Environment.

2. Activities on which sea area usage fees are charged in Vietnam

Activities on which sea area usage fees are charged in Vietnam according to Article 32 of Decree 11/2021/ND-CP as follows:

- Except for the activities mentioned Article 31 of Decree 11/2021/ND-CP, sea area usage fees are charged on other activities. Those activities are classified into 6 groups based on intended uses of sea areas specified in Clause 1 Article 34 of Decree 11/2021/ND-CP.

- If multiple organizations and individuals are assigned sea areas within a territorial waters, each organization and individual shall pay fees for use of each corresponding sea area assigned.

- If an organization or individual is assigned sea areas used for different uses within a territorial waters, such organization or individual shall pay fees for each use of each sea area assigned within such territorial waters.

3. Expenditures on performance of the sea area assignment task in Vietnam

According to Article 37 of Decree 11/2021/ND-CP, expenditures on performance of the sea area assignment task shall be covered by the state budget and included in the annual state budget expenditure estimate assigned to authorities in charge of performing the sea area assignment task. Such expenditures include:

- Expenditures on site survey and inspection; measurement and determination of locations, coordinates, size and depth of assigned sea areas; creation of sea area diagrams to be enclosed with decisions on sea area assignment; production of statistics on and inventorying of sea areas used nationwide for reporting to the Prime Minister.

- Expenditures on organization of conferences, seminars, technical meetings and meetings of councils for appraisal of applications for sea area assignment (if any).

- Expenditures on appraisal and processing of applications for sea area assignment, sea area recognition, extension of extension of assignment duration, amendment of decisions on sea area assignment; return and expropriation of sea areas.

- Expenditures on inspection and supervision of uses of sea areas assigned to organizations and individuals.

- Expenditures on investigation and survey for setting ranges and specific rates of sea area usage fees.

- Expenditures on operation of technical system serving assignment of sea areas; procurement and repair of equipment, vehicles, office supplies and communication equipment serving the assignment and management of sea areas.

- Other expenditures in direct connection with assignment of sea areas.

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