New rules for petrol dealers

New rules for petrol dealers

The Ministry of Industry and Trade issued Circular No 36/2009/TT-BCT on December 14, 2009, on petrol dealers. Each dealer must operate via a general distributor. The dealer and distributor must register with the Department of Industry and Trade if the distribution system is located in a single province, and with the Ministry of Industry and Trade if the distribution system spans at least two provinces. A dealer is only allowed to have one distributor, and the term of agency must be at least 12 months. The distributor sets the retail price for each dealer and must notify the Department of Industry and Trade in the home province of the distributor of such price. The dealer may not sell petrol at a price higher than that set by the distributor. The circular took effect on December 15.

More reporting requirements for investors

The Government issued Decree No 133/2009/ND-CP on December 15 regarding monitoring and assessment of satisfactory progress in investment projects. In projects with less than 30 per cent State capital, the primary investor has to report on (i) the status of investment progress in general, (ii) environment status, including use of land and natural resources, and (iii) implementation of the project as described on the investment licence. A report must be made and sent to competent authorities every six months, and the expenses arising from such reports may be lawfully included in the total costs of the project.

In addition, the competent authorities which granted the investment licence shall carry out inspections on a scheduled or unscheduled basis to gauge any lapses in progress and make recommendations to rectify them.

This decree takes effect on February 1.

Decree widens eligibility to bid on oil contracts

The Government issued Decree No 115/2009/ND-CP on December 24, amending Decree No 48/2000/ND-CP of September 2000, detailing the Law on Petroleum, and Decree No 34/2001/ND-CP of July 2001, regulating bidding on oil and gas exploration and exploitation projects.

The decree allows all enterprises organised under the Law on Enterprises, whether or not foreign-invested, as well as foreign and Vietnamese organisations and individuals, to bid on petroleum contracts offered by PetroVietnam. The decree takes effect on February 14.

VietNamNet/Viet Nam News

Tags: Vietnam petrol price, Vietnam Petroleum