Tighten licensing regulations.

Review and reassess effectiveness

Over 16 years have passed, and many components of the golf course, hotel, and villa complex project in Cua Lo town ( Nghe An province ) remain unfinished. Frustrated by this situation, voters in Nghi Hoa ward (Cua Lo town) have requested the People's Committee of Nghe An province to investigate and address the issue, as the project disrupts the town's urban planning, has not yielded any socio-economic benefits for the locality, and many components remain uncompleted after many years.

The Cua Lo Golf Course, Hotel, and Villa Complex project has a total investment of over 1,527 billion VND and was granted an investment certificate by Nghe An province in April 2007, with a total planned area of ​​over 132 hectares. The project includes an 18-hole golf course, a 5-star hotel, a 3-star hotel, 284 villas, a beach sports and recreation area, and other supporting facilities.

Investing in golf courses for tourism is good, but caution is needed regarding the potential consequences of an overabundance of golf course projects planned by local authorities.

However, according to the People's Committee of Nghe An province, this project has had its investment certificate adjusted four times. The province has also repeatedly inspected the project's violations. Nevertheless, to date, it has only gone as far as assigning the Department of Planning and Investment to lead and coordinate in advising on the time and procedures for adjusting the project's implementation schedule, as well as instructing relevant departments to send written reminders to the investor to fulfill its financial obligations. Despite delays, outstanding land use fees, and mostly unfinished work, the investor claims to have raised capital through the sale of land use rights, house purchase contracts, and capital contributions.

This is just one of many golf course projects combined with villas or resort tourism that were planned but delayed in implementation in the past. According to lawyer Bui Quang Nghiem (Ho Chi Minh City Bar Association), the nature of the golf course projects that have sprung up in recent years is largely aimed at short-term real estate business and long-term land speculation.

To clarify the purpose of the booming golf course development, lawyer Nghiem suggested that the government should conduct a comprehensive review of the current golf course system to clarify the following issues: If the business of services and resort real estate is separated, is the operation of the golf course profitable? What economic value does it generate? How much tax is contributed to the state budget each year?... If golf courses that have been operating for 5 years or more are still operating at a loss but are still proposing expansion and development, or if the locality still wants to build more golf courses, it can be concluded that this is land speculation, using public land to invest in golf courses for profit.

"The conversion of forest land for golf courses, and economic projects in general, benefits all stakeholders: from businesses to licensing and approval bodies… Therefore, government oversight and supervision through taxation are crucial. Not only should projects be required to be built and completed according to scale and within the stipulated timeframe, but a minimum tax rate should also be set for each golf course project," Mr. Nghiem said.

Clarifying local responsibilities

Speaking to Thanh Nien newspaper, a real estate expert acknowledged that when investing in golf course projects, project owners usually consider the overall development as a resort complex with a golf course. This perfectly aligns with the rapidly growing demand for golf tourism. In the past, golf was relatively unfamiliar to Vietnamese people; it was almost exclusively a sport for the wealthy, so resorts within golf courses weren't always profitable.

However, the number of Vietnamese golfers is growing rapidly. Currently, there are approximately 100,000 golfers nationwide, with nearly 100 operational golf courses, projected to reach 200 by 2025. Of these, 32 courses meet international 5-star standards and are all associated with luxury resorts. These well-planned investment projects have created a strong attraction for high-end tourists to Vietnam for golf. Vietnam's golf tourism potential has been recognized worldwide, and to cater to the needs of tourists, high-class resorts and accompanying services are essential.

"The current tourism trend prioritizes privacy and secluded spaces, especially for the ultra-wealthy. You can't expect them to play golf in one location and then travel all the way to the city center for rest. Golfers aren't the same group with a high demand for visiting multiple destinations as ordinary tourists. Furthermore, according to the Land Law, land for golf course construction consists of two parts: land for green spaces and land for the construction of other amenities such as restaurants, entertainment areas, and resort hotels. If some localities allow investors to circumvent the regulations and build hotels and villas for rent or sale, that's the responsibility of the local authorities. Businesses that have been granted permits can simply proceed as they see fit," this expert said.

Supporting the development of golf tourism as a highlight to attract international visitors, National Assembly representative Pham Van Hoa (Dong Thap delegation) stated that many international businesspeople or tourists from Japan and South Korea enjoy playing golf. Investing in world-class golf courses is also a highlight of tourism, attracting high-income visitors as well as foreign businesspeople to invest or work in Vietnam.

However, he expressed concern that provinces in the development plan for the period up to 2030 are proposing too many golf courses. "For example, Hoa Binh is a mountainous province with nothing particularly special to attract domestic and international tourists, yet they want to invest in nearly 40 golf courses – that's too much. Hoa Binh and Nghe An are not ideal tourist destinations; just a few quality golf courses are enough to attract visitors. Investing in so many golf courses will not be profitable. Furthermore, golf courses occupy a huge amount of land," emphasized National Assembly representative Pham Van Hoa.

Is building a golf course for other purposes, such as retaining the land for real estate development?

Northern provinces like Bac Giang, Hoa Binh, and Ninh Binh, which have underdeveloped tourism and are close to Hanoi, are building so many golf courses that nobody wants to play. Or are they using the golf course development as a pretext for other purposes, such as land hoarding for real estate development? The government needs to direct, and the Ministry of Natural Resources and Environment and the Ministry of Agriculture and Rural Development need to review how much land each province plans to allocate for golf courses, what type of land it is, and provide specific explanations. It's unacceptable for each locality to have so many golf courses planned, as this could easily lead to negative consequences later on.

National Assembly representative Pham Van Hoa

If the minimum revenue target for the budget is not met, then the funds should be reclaimed.

Local authorities wishing to convert 100 hectares of forest land for economic development projects must commit to paying a certain amount to the state budget within the first five years after the project is completed according to plan. Even if, after the project is completed, it fails to generate the minimum revenue for the budget within five years, and the business's return does not reach 5-7% per year, the project will be revoked, and the land and forest will be returned.

Lawyer Bui Quang Nghiem

Source link: https://thanhnien.vn/bung-no-quy-hoach-san-golf-siet-quy-dinh-cap-phep-18523082914315114.htm