The Ho Chi Minh City Real Estate Association (HoREA) has proposed amendments to the 2024 Land Law Revision Draft. These amendments address land use changes for state-owned enterprises (SOEs) that underwent equitization between 2007 and 2021, particularly those without approved land use plans or with plans that violated regulations during that period.
Specifically, the proposal suggests adding Clause 13a to Article 1 and Clause 5 to Article 121 of the 2024 Land Law. This would apply to SOEs equitized between January 1, 2007, and December 31, 2021, that either lacked a land use plan at the time of equitization or had a plan that was not approved by competent authorities or violated land laws.
Under the proposed principles, equitized enterprises would have 24 months from the law’s effective date to review, declare, and propose land use plans in accordance with the revised Land Law.
If the land is no longer needed or does not align with approved planning, the state will reclaim it. However, if the land aligns with planning and the enterprise wishes to change its land use purpose, the state will consider granting land allocation with land use fees or leasing the land, depending on the approved purpose.
HoREA justifies the proposal with three key points: First, the current lack of clear and unified regulations regarding land procedures for equitized SOEs has led to inefficiencies, legal risks for officials, and land resource wastage. Second, the proposed amendments aim to provide a legal framework for officials, unlock land resources for socioeconomic development, resolve land use issues for equitized enterprises, and ensure state budget revenue through financial obligations. Third, the Ho Chi Minh City People’s Committee has already submitted recommendations to the Prime Minister and the Ministry of Agriculture and Rural Development, emphasizing the need to address land use issues for equitized SOEs to prevent land waste and ensure proper state budget collection.
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