Law

How is the management and use of land in industrial parks and industrial clusters regulated?

GH DNUM_DBZAIZCACE 15:46

Mr. Nguyen Van Ha, residing in Hoang Mai town, asked: How is the management and use of land in industrial parks and industrial clusters regulated? According to the 2024 Land Law, how long is the land use term of investment projects in industrial parks and industrial clusters?

Reply:

Article 202,Land Law 2024 regulations onindustrial park land, industrial clusteras follows:

1. The management and use of land in industrial parks and industrial clusters, including concentrated information technology parks, must comply with the planning, land use plans, and construction plans approved by competent authorities.

2. The State leases land to implement investment projects on construction and business of infrastructure of industrial parks and industrial clusters.

In case of investment projects on construction and business of infrastructure of industrial parks and industrial clusters in areas with investment incentives according to the provisions of law on investment, border districts and island districts that cannot attract investors, the State shall allocate land or lease land to public service units to invest in construction and business of infrastructure of industrial parks and industrial clusters.

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Actual image of Hoang Mai I Industrial Park with many factories under construction. Photo courtesy of reporter

3. Investors who have been leased land by the State to invest in the construction and business of infrastructure of industrial parks and industrial clusters in the form of annual land rental payment are entitled to switch to the form of land rental payment at one time for the entire rental period for all or part of the business land area.

For the land lease area with annual land rent payment, the investor has the right to sublease the land with annual land rent payment; for the land lease area with one-time land rent payment for the entire lease term, the investor has the right to sublease the land with one-time land rent payment for the entire lease term or annual land rent payment; for the land area for construction of infrastructure for common use in industrial parks and industrial clusters according to the construction planning approved by the competent authority, the investor does not have to pay land rent.

4. The land use term of an investment project in an industrial park or industrial cluster is based on the operation term of the investment project.

In case the operating period of an investment project is longer than the remaining land use period of the industrial park or industrial cluster, the investor must request permission from the competent state agency to adjust the land use period accordingly, but the total land use period must not exceed 70 years and must pay land use fees or land rent for the land area whose use period is adjusted.

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Perspective of Hoang Mai II Industrial Park. Photo courtesy of reporter

5. The lessee of land attached to infrastructure in industrial parks and industrial clusters has the following rights and obligations:

a) In case of subleasing land and paying land rent at once for the entire lease term, the rights and obligations specified in Article 33 of this Law shall be fulfilled;

b) In case of subleasing land with annual land rent payment, the rights and obligations are stipulated in Article 34 of this Law.

6. The investor is responsible for reserving the land fund invested in infrastructure for re-leasing to small and medium enterprises and facilities relocated due to environmental pollution.

The State has a policy of reducing land rental fees in industrial parks and industrial clusters for the cases specified in this clause. The reduced land rental fee shall be refunded to the investor by deducting it from the land rental fee that the investor must pay in accordance with the provisions of law on land rental collection.

Provincial People's Committees shall, based on the actual situation in the locality, determine land funds for small and medium enterprises and facilities relocated due to environmental pollution.

7. Land area for building workers' accommodation in industrial zones according to planning shall be managed as commercial and service land and enjoy incentives according to the provisions of law.

8. The provincial People's Committee is responsible for determining the need to build housing areas and public works outside industrial parks to serve the lives of workers working in industrial parks to integrate into land use planning, urban planning, and rural planning; arrange land funds and allocate land for the People's Public Security force to ensure security and order in industrial parks.

9. The Government shall detail this Article.

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