ENVIRONMENT

The environmental impact assessment report must be made filed together with the feasibility study of the project. The contents of an environment impact assessment report must include project specifications, operational technology of the project , measures to minimise negative effects on the environment, an undertaking to apply environment protection measures during the construction and operation phases, and opinions of the local commune People's Committee and the population community where the project is carried out. These opinions may be in agreement or disagreement with the project from an environmental protection perspective and must be set forth in the report for the relevant appraising body's consideration.


ENVIRONMENT

(April 2007 Update)


1. Environment Impact Assessment Reports

Under the Law on Environment Protection ("Environment Law") passed by the National Assembly on 29 November 2005 and effective from 1 July 2006, the requirements on strategic environment assessment reports and environmental impact assessment reports are as follows:

1.1 Strategic Environment Assessment Reports

Projects that are subject to strategic environment assessment reports include strategies and plans on national socio-economic development at the national or provincial level. The agency responsible for building a national strategic project must prepare and submit a strategic environment assessment report to the relevant appraisal body.

The appraisal is one of the grounds for approving the project. A strategic environment assessment report must include the following contents:

1.

general descriptions of the objectives, size and features of the project;
2.

descriptions of the natural, economic, social and environmental conditions of the project;
3.

a prediction of possible negative effects on the environment;
4.

sources of data and appraisal methods; and
5.

proposed solutions and directions for the implementation of the project.

The MONRE is responsible for forming a Strategic Environment Assessment Report Appraisal Board with regard to projects belonging to the authority of the National Assembly, the Government and or Prime Minister. The relevant ministries have a responsibility to form Strategic Environment Assessment Report Appraisal Boards with regard to the projects under their respective authority. Provincial People’s Committees are responsible for forming Strategic Environment Assessment Report Appraisal Boards with regard to the projects under their respective authority or provincial People’s Councils’ authority.

1.2 Environmental Impact Assessment Reports

Article 18.1 of the new Environment Law provides for a list of the projects that are subject to environmental impact assessment report requirements. These projects include, inter alia, projects of national importance such as urban area development projects, large scale projects for exploitation of natural resources, and projects for the development of IZs, HTZs and EPZs. Appendix I of Decree 80 implementing the Law on Environment dated 9 August 2006 ("Decree 80") provides a more comprehensive list of projects requiring environmental impact assessment reports, including all telecommunications infrastructure construction projects, projects on building and repairing ships and projects on exploitation of oil and gas.

The environmental impact assessment report must be made filed together with the feasibility study of the project. The contents of an environment impact assessment report must include project specifications, operational technology of the project, measures to minimise negative effects on the environment, an undertaking to apply environment protection measures during the construction and operation phases, and opinions of the local commune People's Committee and the population community where the project is carried out. These opinions may be in agreement or disagreement with the project from an environmental protection perspective and must be set forth in the report for the relevant appraising body's consideration.

To obtain the opinion of the community, the project owner has to send a document containing brief contents of the project, environmental impact of the project, measures to minimize such impacts to the People’s Committee and National Front Committee at commune level. A dialogue may be launched if required by the People’s Committee or the National Front Committee.

An environmental assessment report may be appraised by an appraisal board or an environment assessment service agency. The MONRE is responsible for providing the conditions and guidelines for environment service agencies. The MONRE is authorised to form the environment impact assessment report appraisal board, or select an environment impact assessment service agency in respect of projects belonging to the authority of the National Assembly, the Government or the Prime Minister or inter-provincial or inter-ministerial projects. Other ministries are authorised to form environment impact assessment boards or select environment impact assessment service agencies with regard to projects under their respective authority. Provincial People's Committees are responsible for forming environment impact assessment report appraisal boards, or selecting environment impact assessment report appraisal service agencies with regard to the projects under their respective authority and provincial People's Committee’s authority.

The agency organising the appraisal has to inform the project owner about the appraisal result within 3 days of receiving such a result from the appraisal council or the appraisal service agency.

2. Environment Protection Undertaking

Pursuant to Article 24 of the Environment Law, projects that are not subject to the compulsory environment impact assessment reports must provide an undertaking to protect the environment. The contents of the undertaking must include: (i) the project site; (ii) the form and scale of production, trading and services, materials and raw materials used for the project; (iii) likely waste to be produced from the project; and (iv) an undertaking to apply measures to minimise and treat waste and comply with the laws on environment protection. The undertaking must be registered with the local district People's Committee where the project is located before commencement of the project.

3. Financial Obligations

The Environment Law provides for the following financial obligations in relation to environment protection:

1.

Environment tax: applicable to organisations and individuals producing goods that have negative environmental and health effects. The Government will propose tax rates to the National Assembly to decide the list of goods subject to environment tax.
2.

Environment protection fees: organisations and individuals discharging waste, the effect of which would cause negative effects to the environment, must pay environment protection fees. The MOF will publish the environment protection fees in co-operation with the MONRE.
3.

Natural resource exploitation and restoration funds: organisations and individuals exploiting natural resources must place environmental deposits at a credit institution operating in Vietnam or at the environment protection fund of the place where the exploiting activities are carried out (see (iv) below). The exploiting organisation or individual is entitled to interest on that deposit. The Environment Law authorises the Prime Minister to promulgate regulations on environment deposit.
4.

Environment protection funds: an environment protection fund is a financial agency established in provinces and State agencies. Environment protection funds' financial resources come from the State budget, environment protection fees, compensation for environmental damage, administrative monetary penalties, and contributions from domestic and foreign organisations and individuals. The Prime Minister determines the organisation and operation of the national environment protection fund, environment protection funds of ministries, governmental bodies and State corporations. Provincial People's Committees determine the establishment of local environment protection funds.

Read More......