Don't push difficult tasks down to the local level.

Việt Nam•31/10/2023

Deputy Prime Minister Tran Hong Ha emphasized this requirement at a meeting held in person and online with several ministries, localities, and associations to address difficulties and obstacles related to land valuation.

Land valuation: Don't push the difficult task down to the local level.

Deputy Prime Minister Tran Hong Ha gave specific comments on the proposals from localities regarding land allocation and land use fee collection according to investment phases - Photo: VGP/Minh Khoi

Deputy Prime Minister Tran Hong Ha stated that, in the past period, the Prime Minister, Deputy Prime Ministers, ministries, sectors, localities, associations, together with the Ministry of Natural Resources and Environment, have researched and incorporated feedback to improve policies and laws on land management, with "the key being land valuation," in order to resolve difficulties and obstacles; including the work of reviewing and finalizing the Draft Decree amending and supplementing a number of articles of Decree 44/2014/ND-CP (Draft Decree).

"This document will be implemented at the local level, so you must contribute frankly, pointing out existing shortcomings so that the Ministry of Natural Resources and Environment can promptly and fully incorporate them, aligning them with reality and creating favorable conditions for implementation, without causing new difficulties or obstacles. This is the responsibility and right of the localities," the Deputy Prime Minister said.

If the local authorities can implement it, then the decree will be feasible.

According to Dao Trung Chinh, Director of the Department of Land Resources Planning and Development (Ministry of Natural Resources and Environment), after receiving directives from the Prime Minister, Deputy Prime Minister Tran Hong Ha, and opinions from ministries, sectors, and localities, the drafting agency has reviewed and refined the concepts, procedures, and content of land valuation methods; and the conditions for applying each land valuation method: comparative, income, surplus, and land price adjustment coefficient.

The draft Decree has added detailed regulations on factors affecting land prices to ensure transparency and avoid subjective biases by appraisers when applying the comparative method; sources of information and priority order, conditions for applying land valuation methods; responsibilities of land valuation units in collecting information, and agencies and units in providing information...

Land valuation: Don't push the difficult task down to the local level.

Local authorities contributed many specific opinions to each article and clause of the Draft Decree based on the practical experience of land management in their areas - Photo: VGP/Minh Khoi

Contributing specifically to each clause, Vice Chairman of the Binh Duong Provincial People's Committee Mai Hung Dung suggested individualizing the responsibilities of individuals and organizations in each stage of the process of determining, appraising, and approving specific land prices. "Perhaps there should be regulations allowing localities to decide specific land prices more flexibly than the initial land valuation results to attract investors," Mr. Mai Hung Dung suggested.

Meanwhile, Vice Chairman of the Hoa Binh Provincial People's Committee Quach Tat Liem suggested that there should be regulations for an independent agency to appraise the development costs of investors in projects applying the surplus method to calculate land prices.

In addition, leaders of Hoa Binh, Quang Binh, and Kien Giang provinces also suggested prioritizing the collection and use of input information from state agencies; the method and adjustment framework for each factor affecting land prices to serve the land price determination work in the province or for each project; and standardizing the difference ratio for land prices in the valuation and appraisal stages...

One of the issues of great concern to localities is the transitional provisions for projects that have already received decisions on land allocation, land lease, or permission to change land use purposes, but have not yet received land price approval decisions before and after July 1, 2014 (when the 2013 Land Law came into effect).

Land valuation: Don't push the difficult task down to the local level.

Deputy Minister of Planning and Investment Nguyen Bich Ngoc provides feedback on some technical aspects of the Draft Decree - Photo: VGP/Minh Khoi

According to Nguyen Trong Dong, Vice Chairman of the Hanoi People's Committee, currently, for large projects with extended implementation periods, the city and businesses determine land prices and allocate land according to investment phases, or by the entire plot.

Agreeing with this opinion, the leaders of Quang Binh and Kien Giang provinces pointed out that in practice, it is impossible to clear the entire land area and hand it over to the investor at once, especially for large projects. However, they emphasized the need for strict regulations on the area and number of land transfers; otherwise, fragmented project implementation and even exploitation of policies, such as intentionally delaying project progress to retain land, will occur.

Demonstrates a new perspective and way of thinking about land resources.

Concluding the meeting, Deputy Prime Minister Tran Hong Ha emphasized that all obstacles to utilizing land resources for economic development, even violations of the law, stem primarily from valuation issues. Although the National Assembly is currently considering the Draft Law amending and supplementing the 2013 Land Law, the Draft Decree needs to continue providing guidance that is "accurate, precise, correct, and consistent with reality" regarding land valuation under the 2013 Land Law; and at the same time, reflect the new perspectives and thinking of the Draft Law amending and supplementing the 2013 Land Law.

"The methods, procedures, and content for determining land prices must be feasible, realistic, appropriate to the implementation capacity, scientific, objective, transparent, and ensure fair benefits for the people, businesses, and the State. We shouldn't shift difficult tasks onto local authorities," the Deputy Prime Minister demanded.

Commenting on several specific issues, the Deputy Prime Minister requested the Ministry of Natural Resources and Environment to ensure the accuracy and consistency of calculation formulas; revise the conditions for applying the comparative method; supplement information, data, and indicators used in land valuation from official sources; define the responsibilities, powers, and forms of units and organizations providing and using information; quantify project development costs; and define the responsibilities of each agency and unit throughout the process of determining, appraising, and approving land prices...

Land valuation: Don't push the difficult task down to the local level.

Deputy Prime Minister Tran Hong Ha requested that the draft Decree continue to provide guidance that is "accurate, precise, correct, and consistent with reality" regarding land valuation according to the 2013 Land Law; and at the same time, reflect the new viewpoints and thinking of the Draft Law amending and supplementing the 2013 Land Law. - Photo: VGP/Minh Khoi

Regarding the localities' proposals on land allocation and land use fee collection according to investment phases, the Deputy Prime Minister clarified that the competent State agency must determine the investment phases and land use plan when approving the project as a basis for implementation.

The Deputy Prime Minister also instructed localities to urgently exchange information, coordinate, and work with the Ministry of Natural Resources and Environment to study methods for determining the coefficients and supplementary indicators to be applied in combination with the land price adjustment coefficient for land parcels and areas based on the land price in the land price table for areas subject to land use fees or land lease fees under 30 billion VND (centrally-administered cities), 10 billion VND (mountainous and highland provinces), and 20 billion VND (other provinces).

"The decree must clearly specify the specialized legal documents that govern the relevant regulations, to ensure the interconnectedness and consistency of the legal system," the Deputy Prime Minister noted.

According to Minh Khoi/VGP News

Source