| THE MINISTRY OF FINANCE ------- | SOCIALIST REPUBLIC OF VIET NAM Independence - Freedom - Happiness -------------- |
| No. 121/2008/TT-BTC | Hanoi, December 12, 2008 |
CIRCULAR
GUIDING INCENTIVE MECHANISMS AND FINANCIAL SUPPORTS FOR INVESTMENT IN SOLID WASTE MANAGEMENT
Pursuant to the Law on the State Budget;
Pursuant to the November 29, 2005 Law on Environmental Protection:
Pursuant to the Government's Decree No. 59/ 2007/ND-CP of April 9, 2007, on management of solid wastes;
The Ministry of Finance guides incentive mechanisms and financial supports for investment in solid waste management as follows:
I. GENERAL PROVISIONS
1. This Circular guides incentive mechanisms and financial supports applicable to domestic and foreign organizations and individuals (below referred to as organizations and individuals) investing in one of the following solid waste management activities: constructing solid waste disposal facilities, collecting and transporting solid wastes and cooperatives and households collecting, transporting and disposing solid wastes in rural residential areas and craft villages without solid waste collection and transportation services.
2. Investments in solid waste management eligible for incentives and financial support guided in this Circular comply with Article 13 of the Government's Decree No. 59/2007/ND-CP of April 9.2007: on solid waste management.
3. To be eligible for incentives and financial supports, organizations and individuals making investment in solid waste management must satisfy conditions prescribed in this Circular.
II. INCENTIVE POLICIES AND FINANCIAL SUPPORTS FOR SOLID WASTE DISPOSAL FACILITIES
1. Conditions for enjoying incentive mechanisms and financial supports
Organizations and individuals investing in solid waste disposal facilities prescribed in Clause 15, Article 3 of Decree No. 59/2007/ND-CP are entitled to incentives and financial supports guided in Clause 2 of this Section if they fully satisfy the following conditions:
a/ Having obtained a competent state agency's permission to invest in the construction of a solid waste disposal facility.
b/ Having an investment project on the construction of all or several items of a solid waste disposal facility in line with the local land use planning, which has been approved by a competent authority.
c/ Using technologies capable of thoroughly disposing of solid wastes with high economic and technical efficiency.
d/ Complying with legal provisions on construction and environmental protection.
dd/ Satisfying criteria on sizes and standards of solid waste disposal facilities prescribed by the Prime Minister.
2. Incentives and financial supports for solid waste disposal facilities
2.1. Incentives regarding land use levy, land rent and ground compensation expenses
a/ Organizations and individuals making investment in the construction of solid waste disposal facilities that fully satisfy the conditions guided in Clause 1 of this Section are exempted from land use levy and land rent in case their land is allocated by the State with the collection of land use levy or is leased by the State.
Dossiers of request for land use levy exemption; the order, procedures and competence to approve land use levy exemption comply with the provisions in the Government's Decree No. 198/2004/ND-CP of December 3, 2004, on the collection of land use levies and the Finance Ministry's Circular No. 117/2004/TT-BTC of December 7, 2004, and Circular No. 70/2006AT-BTC of August 2, 2006, guiding the implementation of Decree No. 198/2004/ND-CP.
Dossiers of request for land rent exemption; the order, procedures and competence to approve land rent exemption comply with the provisions in the Government's Decree No. 142/2005/ND-CP of December 30, 2005, on the collection of land and water surface rents and the Finance Ministry's Circular No. 120/2005/TT-BTC of December 30,2005, and Circular No. 141/2007/ TT-BTC of November 31, 2007, guiding the implementation of Decree No. 142/2005/ND-CP.
b/ Organizations and individuals making investment in the construction of solid waste disposal facilities that satisfy the conditions prescribed in Clause 1, this Section shall be considered and provided with supports for compensation and ground clearance expenses as follows:
- Vietnamese organizations and individuals making investment in the construction of solid waste disposal facilities are obliged to pay compensation for ground clearance and resettlement supports (if any) as prescribed by law on compensations, support and resettlement and they are allowed to account these amounts into their projects' investment capital.
Provincial-level People's Committees shall base themselves on the size and significance of solid waste disposal facilities and the local budget capacity to consider and decide to support part or the whole of compensation, support and resettlement expenses already paid by organizations and individuals making investment in solid waste disposal facilities.
- Foreign organizations and individuals or overseas Vietnamese making investment in the construction of solid waste disposal facilities are not required to pay compensations and resettlement supports as prescribed by the law on compensation and resettlement supports; if they have paid these amounts, they are allowed to account them into their projects' investment capital.
2.2. Investment supports from state budget sources
a/ State budget supports
Based on the local budget capacity, provincial-level People's Committees shall consider and propose the People's Councils of the same level to allocate investment capital from the local budget for the construction of roads, electricity and power supply systems; information and communication systems; water supply and drainage systems up to project fences.
