DECISION
On a number of mechanisms and fiscal policies for investment projects under the Clean Development Mechanism _______________________________


PRIME MINISTER Pursuant to the Law on Organization of the Government dated 25 December 2001;
Pursuant to the Investment Law No. 59/2005 / QH11 of November 29, 2005;
Based on Environmental Protection Law No. 52/2005 / QH11 of November 29, 2005;
Pursuant to the Ordinance on Charges and fees 38/2001 / PL-UBTVQH10 August 28, 2001;
At the request of the Minister of Finance, DECIDES
:
Article 1. Object and scope of application of this Regulation
regulations on investment projects under development mechanism clean and a number of mechanisms and policies for project finance investment in clean development mechanism (hereinafter referred to as CDM).
Article 2. Definitions
In this Decision, the following terms are construed as follows:
1. CDM projects are investment projects in production with new technologies and advanced environmental friendliness, which results in greenhouse gas emissions by the Executive Board CDM (as held by the States Parties UNFCCC established and authorized monitoring CDM) registration approval and certification of greenhouse gas emissions.
2. Greenhouse gas emissions are emissions of climate change gases controlled by the Kyoto Protocol include: CO2, CH4, N2O, HFCs, PFCs, SF6 and other gases specified in the Kyoto Protocol. 3
. Certificates of greenhouse gas emission reduction certification (CERs) are the certified emission reductions by the International Executive Board of CDM to CDM projects. 1 CER is determined by a tonne of CO2 equivalent.
4. CERs effective time is the time from the International Executive Board of CDM regulations when issuing CERs.
5. The time of completion of the transfer of CERs is the time of the agreement on the sale of CERs was done, the seller receives the money from the buyer.
6. Agencies competent national CDM is Ministry of Natural Resources and Environment.
Article 3. The construction sector, investment in CDM project implementation
1. Construction sector, investment implementation of CDM project is the entire economic sectors can yield results in greenhouse gas emissions, including the following areas:
a) Improving efficiency , conserve and save energy;
B) Exploitation and application of renewable energy sources;
C) Conversion using fossil fuels to reduce greenhouse gas emissions;
D) Recovery and use of associated gas from the oil fields;
E) Recovery of methane (CH4) from the landfill waste from coal mining to be destroyed or used for power generation, living;
E) Afforestation or reforestation to increase the absorption capacity, reduce greenhouse gas emissions;
F) Reducing emissions of methane (CH4) from operating activities and livestock farming;
G) Other fields to result in greenhouse gas emissions.
2. Ministry of Natural Resources and Environment guiding the specific construction sector, investors implement CDM projects stipulated in paragraph 1 of this Article.
Article 4. Forms construction investment project implementation
CDM CDM projects are new projects or intensive investment projects or expansion investment projects bring results deflation greenhouse gas emissions in accordance with the following forms:
1. Domestic investors build CDM projects; fund in cash and other assets to carry out lawful CDM projects in Vietnam.
2. Foreign investors build CDM projects; bring capital or technology to Vietnam to implement CDM projects. 3
. Domestic investors, foreign investors used construction consulting and implementation of CDM projects or joint ventures implement CDM projects in Vietnam.
Article 5. Conditions for CDM projects
1. CDM projects must meet the following conditions:
a) A project is built according to the current law on investment, consistent with the strategy, planning stage, the ministries, branches and localities methods, and contribute to ensuring the sustainable development of Vietnam;
B) Investors to build and implement the project on a voluntary basis, comply with the laws of Vietnam and the international treaties to which Vietnam is a party;
C) To ensure the feasibility with advanced technology and appropriate financial resources, not funded with official development assistance (ODA) or investment capital from the State budget to acquire CERs transferred for investors from overseas CDM projects;
D) Reduce greenhouse gas emission reductions are real, complementary, is calculated and checked, monitored by a specific plan;
E) Reports on environmental impact assessment;
E) To register for the International Executive Board of the CDM and the International Executive Board of CDM approval;
F) The process of implementation of the project does not give rise to any new responsibilities for the Government of Vietnam than the content has been provided for in the Kyoto Protocol;
G) Building due process and procedures prescribed for CDM projects, the Ministry of Natural Resources and Environment Confirmation letter, or letter of approval.
2. Ministry of Natural Resources and Environment guiding the implementation of the provisions of Point g, Clause 1 of this Article.
Article 6. The rights and obligations of investors to develop and implement CDM projects
1. Investors build and implement CDM projects in Vietnam have the right:

A) To enjoy preferential treatment in terms of tax; land use fees and land rent; Depreciation of fixed assets; investment credit of the State under the provisions of this Decision.
B) To consider subsidies for products of CDM project in the priority areas.
C) To be considered for financial assistance in the preparation, construction projects in accordance with current law.
D) Sale of CERs under their ownership in accordance with current law.
E) To have access, providing information relating to the determination of the selling price of CERs.
E) be given priority in product sales of CDM projects compared with similar products not from a CDM project.
2. Investors build, implement CDM projects in Vietnam are obliged:
a) Registration with the tax authorities when the project goes into operation in order to enjoy the tax preferences.
B) Register with the Environmental Protection Fund Vietnam in CERs International Executive Board of CDM to CDM projects.
C) Implementation of the financial obligations under the provisions for CDM projects, pay fees according to the provisions of Article 9 of this Decision and the provisions of law on charges and fees.
D) subject to the supervision of the agency or organization authorized under the provisions for CDM projects.
E) To report to the national authority for CDM project activities and receiving CERs clue International Executive Board of CDM to CDM projects in accordance with regulations.
Article 7. To manage and use CERs
1. CERs owned by investors build and implement CDM projects, is tracked and managed through the Environmental Protection Fund Vietnam.
Environmental Protection Fund Vietnam responsible organizations to monitor, manage CERs International Executive Board of CDM to implement CDM projects in Vietnam.
2. Upon receipt, distribution and sale of CERs, CERs owners or focal point to receive CERs must be registered with the Environmental Protection Fund Vietnam and report to the national authority for CDM.
Article 8. The time of sale and the selling price of CERs
1. After receiving CERs, investors build and implement CDM project can sell immediately for partners in need or choose an appropriate time during the effective CERs.
2. CERs selling price is determined on the basis of agreements at market prices at the time of sale. 3
. Ministry of Natural Resources and Environment is responsible for consulting, support and monitor the sale of CERs. Article 9. Fees

1 selling CERs. Investors to build and implement the sale of CERs CDM projects must pay a fee to sell CERs.
2. CERs selling fees are calculated as a percentage% on selling CERs amount that investors develop and implement CDM projects obtained.
Where CERs owner is a foreign investor does not sell CERs to collect money that repatriated to fulfill the obligation to reduce emissions of greenhouse gases, the payment of fees on the amount of CERs are calculated property the market price at the time of repatriated. 3
. Environmental Protection Fund Vietnam are responsible for organizing the collection of fees for sale of CERs. CER selling fee is used to cover the costs for the collection of fees; backing the popular activities, propagation of the CDM; up, building materials approved CDM projects; managing and monitoring the implementation of CDM projects and other purposes related to the CDM in accordance with law; price subsidies for products of CDM projects under priority sector.
4. The Ministry of Finance shall specify the fee rates for sale of CERs; guiding the management and use CERs selling fees as provided for in paragraph 3 of this Article.
Article 10. Accounting for expenses and incomes of CDM projects
1. The accounting of investment costs, costs of CDM project activities, income from production and business operation of CDM projects shall comply with the provisions of the current law.
2. Income from sale of CERs are accounted for as other income, investors build and implement CDM projects are selected method of accounting on the income of sale of CERs or allocated for the year in accordance with clause 3 This. 3
. The allocation of income from selling is done as follows:
a) In case of sale of CERs CERs right in force, income from selling is allocated to the time corresponding to the effective time of CERs.
B) In case of sale of CERs at any time during the period CERs effect, income from selling is allocated for the year corresponds to the effective time of CERs remaining.
Article 11 Depreciation of fixed assets Fixed assets
formed from CDM projects apply accelerated depreciation method prescribed in the regime of depreciation.
Article 12. Corporate income tax for CDM projects
1. The tax rate corporate income tax, exemption or reduction of enterprise income tax for CDM projects are carried out as for projects in the field of special investment incentives provided for in Paragraph III, Section A, Annex I list of sectors of investment incentives issued with Decree No. 108/2006 / ND-CP of September 22, 2006 detailing and guiding the implementation of some articles of the investment Law; Enterprise Income Tax Law and the documents guiding the implementation of the Law on Enterprise Income Tax.

2. Where the CDM project is to expand investment projects, investment projects or project depth invest additional equipment manufacturing base of active trading, the income increase due to new investments bring enjoy the preferential enterprise income tax stipulated in Paragraph 1 of this Article. Production and business establishments must separately account additional income from new investment brings to determine corporate income tax incentives, exemption or reduction. 3
. Where the selected CDM projects accounting method the entire revenue from the sale of greenhouse gas emission reduction in other income of the year of sale as provided for in paragraph 2 of Article 10 of this Decision, the investment in the construction and CDM projects are implemented either pay corporate income tax or file once every year in accordance with the law on corporate income tax.

Article 13 Import duties CDM project is import duty exemption for goods imported to form fixed assets of the project, the imported goods are raw materials, supplies and semi-finished products which can not be imported for production for production of the project as specified in Clauses 6 and 16, Article 16, Decree 149/2005 / ND-CP of December 8, 2005 of the Government providing detailed implementation of the Law on export and import Tax and the provisions of the current law on export tax, import tax.
Article 14. Land use fees, land rent CDM project
exemption or reduction of land use fees and land rent as stipulated by the current legislation applicable to projects in the field of special special investment incentives.
Article 15. To mobilize capital
1. Investors are allowed to raise capital in the form of cooperation, linking with other enterprises, economic organizations, financial institutions and abroad to develop CDM projects, investment in CDM project implementation .
2. CDM projects are eligible as stipulated in Decree No. 151/2006 / ND-CP of December 20, 2006 of the Government on investment credit and export credit of the State shall be entitled to the credit policy state's investment. 3
. CDM projects case by the Executive Board for CDM registration and contract to sell CERs have been signed with partners shall be given priority consideration for a loan.
Article 16 subsidies for products of CDM projects
1. Product of CDM projects are subsidized from the Environmental Protection Fund Vietnam if they meet the following conditions:
a) In the product portfolio of CDM projects under priority sector.
B) The actual cost to produce a larger product actual price under the contract is signed.
2. Time for products subsidized by CDM project is defined based on the time of project products and the ability to offset production costs are subsidized. 3
. Environmental Protection Fund of Vietnam to implement the subsidy for CDM project basis under the provisions of this Decision and the guidance of the Ministry of Finance.
4. Ministry of Finance in coordination with the Ministry of Natural Resources and Environment guiding on conditions specific subsidies, price support and time for products subsidized by CDM projects on the list of products eligible for aid old.
Article 17 Implementation
1. This decision takes effect after 15 days from the date of its publication.
2. CDM projects developed and implemented prior to the effective date of this Decision must be registered CERs issued to fund Vietnam Environmental Protection Agency reports and competent national CDM within 90 day to track, manage, and enjoy the rights and perform the obligations specified in this Decision. 3
. Minister of Finance, Minister of Natural Resources and Environment guiding the implementation of specific provisions in this Decision.
4. Ministers, heads of ministerial-level agencies, heads of government agencies, Chairman of People's Committees of provinces and centrally-run cities and the heads of the organizations and relevant agencies responsible for enforcement This decision./.