Starting September 1st, 2015, Circular No. 23/2015/TT-BCT prescribing the sequence and procedures for investment in thermal power project in the form of Build - Operate - Transfer (BOT) officially takes effect.

Accordingly, this Circular provides the sequence and procedures for investment in thermal power project in the form of BOT in the territory of Vietnam, applicable to the organizations and individuals involved in activities related to the BOT power plant investment projects.

BOT contract is a contract to be entered by the Ministry of Industry & Trade and BOT investors to build power plants on the territory of Vietnam; after completion of the plant construction, the investors may operate the plant for a given negotiated period of time until the expiry date, when the investor shall transfer it to the Ministry of Industry and Trade.

The General Department of Energy will collaborate with  BOT investors to solve problems arising in the course of the financial arrangements. In circumstances when the case goes beyond their authorization, it shall be reported to the Minister of Industry and Trade and the Prime Minister for consideration and ultimate decision.

The selection of the BOT owner shall comply with the provisions of law on bidding. Within 30 days of signing the investment agreement, the BOT investor must submit a Profile Dossier with request for Investment Registration Certificate to the Ministry of Planning and Investment.

Within 30 days since the date of Investment Registration Certificate is granted by the Ministry of Planning and Investment, the BOT investor shall establish its BOT enterprise and be responsible for completion and supplementation of necessary specifications in the Investment Registration Certificate to mandate the project documents.

The projects which have been implemented prior to 01/9/2015 shall comply with the provisions of Article 72 of Decree No. 15/2015/ND-CP of the Government on investment in the form of public-private partnerships.

The Memorandum of Understandings (MOU) for BOT thermal power development between the investor and the Ministry of Industry and Trade, those Agreements in Principle signed between the Department of Energy with the BOT owners (PA) before 01/9/2015 are not subject to renewal under the provisions of this Circular.

Trong Tan