Expanding the Scope of Construction Permit Exemptions

The revised Construction Law draft expands the scope of exemptions from construction permits. For small-scale projects and individual housing in areas without detailed planning, while permits are still required, the process will be streamlined through a single online portal, making it simpler than before.

0
17

Single Residential Construction Projects Face Year-Long Permit Delays

On September 26th, the National Assembly’s Committee on Science, Technology, and Environment hosted a workshop to refine the draft amended Construction Law.

Deputy Chairman of the Committee, Trần Văn Khải, stated that the implementation of the 2014 law has revealed numerous outdated provisions. Notably, administrative procedures in the construction sector remain cumbersome and complex.

Deputy Chairman Trần Văn Khải of the Committee on Science, Technology, and Environment. Photo by Hồ Long

In practice, many construction investment projects undergo excessive stages and layers of procedures, prolonging timelines and escalating costs. “Businesses report that the most significant challenge today isn’t capital or land, but investment procedures. With funds and land available, projects still stall due to a myriad of permits and approvals,” said Khải.

Khải cited an example of a single residential construction project that took over a year to secure a building permit due to repeated requests for additional documentation across multiple approval agencies. Some real estate projects in Hanoi have even taken years just to complete pre-construction procedures.

“Clearly, overlapping and prolonged procedures waste time and resources, inflate project costs, and reduce investment efficiency,” noted Trần Văn Khải.

Given these practical challenges, amending the Construction Law has become an urgent priority. The goal is not only to address current inefficiencies but also to establish a modern, streamlined, and transparent legal framework that unlocks all resources for development investment.

The draft law introduces provisions to enhance technology application, encouraging the use of Building Information Modeling (BIM), Geographic Information Systems (GIS), and artificial intelligence in managing the national construction activity database. This is a crucial step toward digital transformation in the construction sector, improving transparency and management efficiency.

Expanding Exemptions from Construction Permits

With a focus on innovative legal thinking, Deputy Minister of Construction Bùi Xuân Dũng explained that the revised draft law focuses on framework principles and matters within the National Assembly’s jurisdiction. Consequently, the draft has been restructured into 8 chapters with 97 articles.

This “major reform” centers on four key policy areas, emphasizing management method innovation. It shifts project classification from capital-based to investment type-based (public, PPP, private business) to address current capital identification issues.

Proposing new policies for the construction sector.

Notably, the draft aims to eliminate or streamline unnecessary procedures. Investors can now choose design options suited to project complexity, avoiding rigid templates and reducing preparation time.

Additionally, project approval processes are modernized: construction authorities focus solely on core requirements, while investors assume responsibility for other aspects. This reduces design approvals from two stages (basic and technical) to a single basic design approval.

The draft also expands construction permit exemptions: projects with approved feasibility studies no longer require building permits. Small projects and single residential units in areas without detailed planning must still apply, but through a simplified online one-stop process.

Workshop participants strongly supported the draft’s goal of simplifying and reducing procedures. Many emphasized the need for more radical reforms to current barriers like building permits, project approvals, and inspections.

Some proposed a “one-stop, one-file” model for approvals and permits to prevent inter-agency delays.

You may also like

Streamlining Construction Permits: The ‘One-Stop, One-Lock’ Approach to Approval and Licensing

Revolutionizing the construction permit process, Deputy Director of Hanoi’s Department of Construction, Luyen Van Phuong, has proposed a transformative reform in the revised Construction Law draft. His advocacy for a streamlined “one-stop, one-lock” mechanism aims to simultaneously evaluate and significantly reduce processing times, garnering widespread attention as a pivotal step toward administrative efficiency.

The Ultimate Guide to Permits: Navigating the Construction Conundrum in Hanoi

“It is imperative that citizens obtain a building permit prior to commencing any construction on land acquired through auction. This crucial step ensures compliance with regulations and helps maintain the integrity of the building process, safeguarding the interests of all involved parties.”

5 Common Pitfalls to Avoid When Building Your First Home

“For first-time homeowners, the excitement of building their dream home can often lead to costly mistakes. It is easy to get carried away and make fundamental errors that can impact the overall quality and budget of the construction project. These mistakes can be avoided with careful planning and a keen eye for detail.”

The Art of Transforming Spaces: Navigating the Conversion of Residential Buildings

The Ministry of Construction has urged the People’s Committees of provinces and cities to pay attention to managing the conversion of the function of constructions in accordance with the law.

What Are the Requirements for Individuals Building Residential Housing with Less Than 20 Apartments?

The construction of multi-story residential buildings with less than 20 units for rental purposes must adhere to the regulations governing the construction of individual residential buildings. This ensures that the process aligns with personal and private residential construction guidelines.