Vietnam: Settlement of compensation, support and resettlement projects using state capital

According to Circular No. 10/2020/TT-BTC of the Ministry of Finance of Vietnam, regarding compensation, assistance and relocation, settlement for finished independent component projects, sub-projects, constructions and work items are prescribed as follows:

- In case compensation, assistance and relocation are turned into separate projects during approval of national important projects and class A projects: Prepare final accounts and reports on settlement appraisal similar to independent investment projects. 

- In case separate compensation, assistance and relocation costs are turned into separate categories under decisions on approving investment projects: Organizations that perform compensation, assistance and relocation tasks are responsible for preparing final accounts for expenditure on compensation, assistance and relocation, requesting Chairpersons of People’s Committees of the same levels to approve compensation, assistance and relocation in order to approve settlement and sending approved final accounts to developers of construction investment projects to integrate into general final accounts of the whole projects. Presiding authorities shall appraise settlement of the whole projects without appraising the compensation, assistance and relocation expenditure whose settlement has been approved.

Besides, regarding completed independent structures and work items that are brought into use of investment projects: If settlement appraisal and approval are necessary, project developers shall report to competent individuals capable of deciding on approving investment projects for consideration. Settlement value of constructions and work items consist of: Construction cost, equipment cost, consulting cost and other cost directly related to the constructions and work items. Project developers shall consolidate approved settlement value of constructions and work items in final account of completed projects and determine general cost distribution for each construction and work item of the projects and request competent individuals to approve settlement of completed projects.

View more relevant provisions at Circular No. 10/2020/TT-BTC of the Ministry of Finance of Vietnam, effective from April 10, 2020.

Thu Ba

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