19 October, 2019
Managing construction costs
Decree 68/2019/ND-CP, dated August 14, 2019 of the Government on the management of construction investment costs, took effect since October 1, 2019.
The construction costs must be conformable to the project execution plan, the market prices in the area of the project and expected fluctuation of price during the investment process.
The principles and methods used to determine the construction costs must be conformable to regulations of this Decree and the nature and characteristics of the infrastructure works the following programs:
(1) the national target program for sustainable poverty reduction;
(2) the national target program for new-style rural area development;
Public assets for BT investment
Decree No. 69/2019/ND-CP of the Government dated August 15, 2019, on the use of public assets to pay investors when implementing construction investment projects in the form of build-transfer contract (BT) took effect on October 1, 2019.
Accordingly, public property used to make payment to investors in construction projects under BT projects include land, land, office building and other property on land (workplace), infrastructural property serving national and public interests, and other public property prescribed in Law on management, use of public property.
Police conscription period reduced to 24 months
Under Decree 70/2019/ND-CP, dated August 23, 2019 on police force conscription, since October 10, 2019, the duration of police conscription is reduced to 24 months (previously 36 months).
The period of service of non-commissioned officers and conscripted policemen may be extended by the Minister of Public Security for no more than 06 months in the cases stipulated in clause 1 Article 8 of 2018 Law on People’s Public Security Force.
Sanctions against administrative violations in explosive materials
Decree 71/2019/ND-CP, dated August 30, 2019, stipulating sanctions against administrative violations in the field of chemicals and industrial explosives shall take effect since October 15, 2019.
This Decree regulates in details on requirements for chemical production and trade, classification of chemicals and procedures for declaration of chemicals.
Many cases where declaration of chemicals is exempt are supplemented such as:
(i) chemicals to which licenses for production, import are issued;
(ii) the amount of imported chemicals is under 10 kg/shipment;
(iii) chemicals that are raw materials for medicine production issued with certificates of registration for sale;
(iv) chemicals that are raw materials for pesticide production with certificates of pesticide registration in Viet Nam.
Accordingly, the maximum fine of VND 50 million will be applied on individual infringement on chemicals and VND 100 million on industrial explosives.
Organizations will be subjected to a maximum fine of VND 200 million.
Fresh subsidies for guest workers coming from poor districts
Under the PM’s Decision 27/2019/QD-TTg, dated September 9, 2019, guest workers coming from poor districts are entitled to borrow funds covering 100% of costs that they pay according to contracts to take workers abroad without having to provide loan guarantees.
The guest workers must meet the following requirements
(1) Registering permanent residence at these poor districts at least 12 months;
(2) wishing to work abroad;
(3) obtaining admission of workers from foreign countries;
(4) already signing contracts to work abroad with enterprises or public service units in accordance with laws.
Loan maturity cannot exceed the one specified in contracts to send workers abroad.
Workers may agree with Viet Nam Bank for Social Policies on payment of principal provided that the maturity does not exceed 12 months/each payment and interest is paid by the maturity dates specified in credit facility agreements (or interest is paid upon requests for monthly payments of interest).
For further information, please contact:
Dang The Duc, Partner, Indochine Counsel
duc.dang@indochinecounsel.com
