Offshore Wind Worldwide Regulatory Framework in Selected Countries 5th Edition 2024 - Flipbook - Page 377
Offshore Wind Worldwide 2024
6. REAL ESTATE
6.1 Rights over land to be secured
For the project's feasibility study, the offshore wind developer must obtain a site
survey licence from the competent State
body.
For the construction of the offshore turbines and operation of the OWF, the project
company, once established in Vietnam by
the foreign investor, must obtain a marine
space assignment decision from the competent State body. The competent State body
is:
(a) the Prime Minister, for investment
projects which are subject to approval by
the National Assembly and the Government;
(b) MONRE, for investment projects which
are subject to approval by the Prime
Minister, inter-regional sea areas and
marine space outside six-nm sea regions,
investment projects to exploit and use
marine resources by foreign investors or
economic entities with foreign investment; or
(c) the People's Committee of coastal provinces for the marine space within the
scope of the six-nm-sea regions.
For the construction and operation of onshore facilities (for example, transformers),
the project company needs to obtain a land
lease decision on onshore land from the
relevant provincial People's Committee.
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6.2 Costs and risk of legal challenges
The main costs to secure the land use rights
and marine space use rights are land rents
(for onshore) and marine space use fees (for
nearshore and offshore) to be paid to the
relevant State authority (i.e., the local People's Committee or the Vietnam Administration of Seas and Islands). Such costs will be
determined depending on the location of
the project.
In addition, the project company may have
to compensate individual land users for land
clearance and any other associated fees.
Once the project company has obtained
the land lease decision, certificate of land
use rights (for onshore), the marine space
assignment decision (for offshore) and paid
the related fees to the State authority, it
is reasonably well-protected and secured
during the operation of the project. In case
of nationalisation or revocation of land use
rights or marine space use rights for national
security reasons, the government will compensate the investors.
