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NEWS

Assoc. proposes establishment of land clearance firm

19-07-2012

 


 

HoREA chairman Le Hoang Chau proposed the role and effectiveness of a fund development organization be maximized in line with Article 41 of the Land Law to make site-clearance and compensation for land of all planned projects. 

The organization will manage clean land fund, auction land use rights or open bidding for selection of project owners using land to create a transparent, fair and competitive investment environment. Chau expects the presence of the organization will help minimize the rising number of lawsuits over unfair and unclear site-clearance compensation as seen at present. 

He insisted the organization should be a public enterprise under the management of city or province-level authorities and it should be entitled to implement all assigned jobs thanks to the financial assistance from the State budget. 

Now withdrawal of land and site-clearance compensation are being done based on the mechanism in which the Government revokes land for projects of national interests while investors receive land use right transfer via negotiations with land users.

This means the Government now has the right to use withdrawn land for national defense, security, public benefits and economic development purposes. Regarding production and business projects appropriate with zoning plans, developers are allowed to make deals with land users by themselves to carry out the schemes.

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