Proposed Addition of Three Scenarios for State Land Reclamation

On the afternoon of November 18th, authorized by the Prime Minister, Minister of Agriculture and Environment Tran Duc Thang presented a draft resolution to the National Assembly. This resolution outlines mechanisms and policies to address challenges in implementing the Land Law.

According to Minister Tran Duc Thang, the resolution’s enactment will fully and promptly institutionalize the Party and State’s policies on land management.

It will also promptly resolve bottlenecks and emerging issues from practical implementation. This supports socioeconomic development goals, enhances land management efficiency, and drives Vietnam toward becoming a high-income developed nation, aligning with new management requirements.

Highlighting key provisions, the Minister noted that the draft resolution adds three cases where the State may reclaim land for socioeconomic development in the national and public interest.

Specifically, these three cases are:

– Implementation of free trade zone projects and international financial center projects.

– Cases where land use agreements have expired or extended deadlines have passed, but over 75% of the land area and over 75% of land users have agreed. In such instances, the Provincial People’s Council may consider reclaiming the remaining land area for allocation or lease to the investor.

– Creation of land funds for payment in build-transfer (BT) projects, allowing leased land to continue production and business activities for organizations whose land is reclaimed under Articles 78 and 79 of the Land Law.

Presenting the verification report, Phan Van Mai, Chairman of the National Assembly’s Economic and Financial Committee, stated that most committee members view this policy proposal as a solution to unblock the implementation of socioeconomic development projects through land use agreements.

This mechanism facilitates investors who have negotiated most of the land area but face challenges in completing land clearance and project deployment on schedule.

The Committee requests further clarification on the basis for proposing the 75% land area and user consent thresholds. It also seeks a mechanism to address remaining land areas when investors have secured over 75% of the land and consent from over 75% of land users within the project scope.

“Handling the remaining land and affected individuals must ensure human and citizen rights as per the Constitution, minimizing complaints and disputes,” the verification report emphasized.

The Economic and Financial Committee also recommends harmonizing compensation interests to prevent disputes when applying land price tables and adjustment coefficients. This is because land prices in the tables are often lower than the average negotiated prices.

According to the reviewing agency, some opinions suggest that adding land reclamation cases should be carefully considered to ensure constitutional compliance and protect citizens’ rights. Broad application should be avoided without specific impact assessments.

Additionally, reporting to competent authorities for pilot mechanism approval in certain cases proposed by the Government in localities with special mechanisms under National Assembly resolutions could provide a basis for comprehensive Land Law amendments in the future.