Vietnam to Charge Fees on Wastewater Discharge from 2017

The government of Vietnam has issued a decree regulating environmental protection fee charged for the release of wastewater which will take effect from January 1st, 2017, state media reported. According to Decree 154/2016/ND-CP, the fee to be applied for household wastewater will be equal to 10% of the selling prices of a cubic meter of water without value added tax (VAT). The rate may be higher depending on decision of local authorities in different localities. The rate to be applied for industrial wastewater will be calculated basing on a fixed fee (VND1.5 million or $66 per year) plus a fee formed by charges for total discharged wastewater volume and charges for toxic substances. Water discharged from hydropower plants, households or organizations in rural areas without tap water systems, and from catching equipment will be nontaxable. Wastewater remains one of thorny issues in Vietnam. Statistics by state agencies reported that as many as 90% of industrial parks equipped with waste treatment systems but only half of them meets standards. Meanwhile, 5,000 craft villages have no waste treatment systems. Meanwhile, waste treatment capacity remains weak with 30 plants having total capacity of 860,000 cubic meters per day, treating only 12% of the total wastewater. The Ministry of Construction said that the country needs roughly $10 billion to invest in water treatment sector from now throughout 2020, including $6.9 billion for wastewater treatment. (Thoibaotaichinhvietnam.vn Nov 19, Phap Luat TP HCM Nov 19, Tuoi Tre Thu Do Nov 19, Vcci.com.vn Nov 19)