How are land allocation and leasing through bidding regulated under the 2024 Land Law?

Article 126 of the 2024 Land Law stipulates:

1. The State allocates land with land use fees, and leases land through bidding to select investors to implement investment projects using land in the following cases:

a) Projects stipulated in Clause 27, Article 79 of this Law, where the Provincial People's Council decides on the allocation or lease of land through bidding to select investors to implement investment projects using land.

The provincial People's Council shall prescribe the criteria for deciding on the implementation of bidding to select investors to carry out investment projects using land, in accordance with the actual situation of the locality;

b) Investment projects using land that falls under the cases where the State reclaims land as stipulated in Article 79 of this Law, and which do not fall under the cases specified in point a of this clause but require competitive bidding to select investors according to the regulations of the law governing the relevant industry or sector.

2. Land allocated for bidding to select investors to implement investment projects using land includes areas subject to land acquisition by the State as stipulated in Article 79 of this Law. If the project area includes land as stipulated in Clause 1, Article 217 of this Law, the State shall acquire the land and allocate or lease it through bidding to select investors to implement the project for the entire area.

3. The conditions for bidding to select investors to implement investment projects using land, as stipulated in point a, clause 1 of this Article, include:

a) Included in the list of land plots subject to bidding for investment projects using land, as decided by the Provincial People's Council;

b) There is a detailed plan or a zoning plan at a scale of 1/2000 approved by the competent authority;

c) Conditions as prescribed by law on bidding.

4. Investment projects using land as stipulated in point b, clause 1 of this Article must meet the conditions for bidding to select investors as stipulated in clause 3 of this Article and other conditions as prescribed by the law on management of the industry and field.

5. Organizations participating in the bidding process to select investors for land-use investment projects must meet the following conditions:

a) Belonging to the category of entities to whom the State allocates or leases land as stipulated in Articles 119 and 120 of this Law;

b) The conditions stipulated in Article 122 of this Law must be ensured for cases of land allocation and land lease for the implementation of investment projects;

c) Conditions as prescribed by law on bidding.

6. Foreign investors participating in the bidding process to select investors for investment projects using land must ensure compliance with the conditions specified in points b and c of Clause 5 of this Article; if they win the bid, they must establish an economic organization to be allocated land or leased land to implement the project in accordance with the Government's regulations, consistent with the law on investment, the law on bidding, and other relevant laws.

7. The provincial People's Committee has the following responsibilities:

a) Announce the plan and list of land plots for bidding on investment projects involving land use as prescribed by this Law;

b) Organizations that prepare detailed plans or have zoning plans at a scale of 1/2000;

c) To organize the preparation and implementation of compensation, support, resettlement, and land acquisition plans in accordance with the provisions of this Law;

d) Allocating land or leasing land to the winning bidder or economic organization established by the winning bidder in accordance with government regulations to implement the project in accordance with the commitments in the contract signed between the winning bidder and the competent authority and meeting the conditions stipulated in the law on investment, the law on bidding, and other relevant laws; determining land prices to calculate land use fees and land lease fees for the investor to fulfill their financial obligations to the State.

8. Within 36 months from the date of issuance of the decision recognizing the winning bid or other period as stipulated in the contract signed with the competent state agency, the competent People's Committee must complete the compensation, support, and resettlement process for land allocation and land leasing.

Organizations assigned or leased land as stipulated in Clause 6 and Point d, Clause 7 of this Article are responsible for advancing funds to carry out compensation, support, and resettlement as required by competent state agencies based on the approved compensation, support, and resettlement plan; if, after 6 months from the date of receiving the request from the competent state agency, they fail to advance sufficient funds to carry out compensation, support, and resettlement, the competent state agency shall decide to cancel the winning bid.

9. The bidding process and procedures for selecting investors to implement land-use projects shall comply with the provisions of the law on bidding.

10. The Government shall provide detailed regulations for this Article.