The Ho Chi Minh City People’s Committee has recently submitted a report to the Ministry of Natural Resources and Environment regarding the inspection and handling of projects that fail to utilize land or experience delays in their land use schedule.
The Ho Chi Minh City Department of Natural Resources and Environment has been working collaboratively with local authorities to implement Resolution 21/2017 of the Municipal People’s Council. This resolution focuses on the continued execution of urban planning management measures and addressing delayed projects within the city.
The New Urban Area in the South of the City has cleared over 1,800 hectares of land, achieving a rate of over 66%.
The inspection revealed 176 projects that require adjustments or cancellation due to non-compliance with the annual land use plans at the district level, affecting the rights of current land users as stipulated in Article 49 of the 2013 Land Law.
Following the directives of the City Party Committee and the Municipal People’s Council, the Department of Natural Resources and Environment conducted an inspection in 2020. They reported on the implementation of projects within the land use plan for the period 2015-2019 and provided suggestions for handling projects with land allocation or lease decisions. Additionally, they issued documents regarding adjustments and cancellations of projects that did not adhere to the annual land use plans at the district level.
The authorities inspected 3,009 projects spanning an area of 16,947 hectares, including those that failed to utilize land or experienced delays in their land use schedule.
However, the report did not categorize or provide a list of projects that fell under the category of non-land utilization or delays in land use schedule as outlined in Article 64 of the 2013 Land Law.
In 2023, in response to the requirements set by the Department of Natural Resources and Environment, an inspection across 19 districts and counties identified 112 projects that were either not utilizing land or experiencing delays in their land use schedule. Nevertheless, the list of these 112 cases lacked crucial information, and many of them did not meet the criteria for projects falling under the aforementioned categories.
In October 2023, the Department of Natural Resources and Environment sent additional communications to urge and remind the units to submit their reports.
The Department of Natural Resources and Environment also conducted inspections and examinations of 97 state-leased land projects that exhibited signs of non-land utilization or delays in land use. As a result, the Department issued Inspection Conclusion No. 5357/KL-STNMT in June 2023 and Inspection Conclusion No. 5279/KL-STNMT in June 2024 to review the compliance of investors in the New Urban Area in the South of the City with land laws.
Upon reviewing the two aforementioned conclusions, there was no clear indication of violations by the project investors regarding non-land utilization or delays in land use schedule as per land law regulations. Consequently, there was insufficient basis for handling these cases.
The Ho Chi Minh City People’s Committee reported that no action has been taken against projects that fail to utilize land or experience delays in land use. Instead, the relevant departments and localities are instructed to continue monitoring and handling these cases in accordance with the law.
The Ho Chi Minh City People’s Committee has not yet disclosed information regarding projects that are delayed in their land use schedule.
According to the Ho Chi Minh City People’s Committee, during the city’s development and transformation into large urban areas, there have been frequent changes in legal regulations pertaining to land, investment, and construction. As a result, practical challenges and obstacles remain prevalent in the implementation of procedures.
Under the Land Laws of 2003 and 2013, projects within new urban areas were subject to state land retrieval, compensation, and allocation to investors. However, in reality, many projects were temporarily handed over by authorized agencies, and compensation plans were approved before and after the laws took effect. In these cases, investors negotiated and agreed on the transfer of land use rights directly from households and individuals within the project area.
The prolonged compensation and site clearance process, coupled with the dynamic and rapidly rising land prices, have made it increasingly challenging to reach agreements on compensation and site clearance. Additionally, some investors’ lack of capital and capacity has contributed to the prolongation and delays in project implementation.
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