On 14/08/2019, the Government issued Decree 68/2019/ND-CP on management of construction investment costs. This Decree takes effect from October 1, 2019.
Accordingly, in Article 3 of Decree 68/2019 / ND-CP, the principle of management of construction investment costs and management responsibilities of investors is recorded as follows:
Management of construction investment costs must ensure the investment objectives, the approved project effectiveness, in accordance with the construction investment order as prescribed in Clause 1, Article 50 of the Construction Law and Capital application and investment form of the project, implementation method of the project. Construction investment costs must be properly and fully calculated for each construction project, project or construction package, suitable to the design requirements, technical instructions, construction conditions and project implementation plans, market price level in the construction area and expected price fluctuations in the construction investment process.
The investor is responsible for managing construction investment costs from the project preparation stage to the end of construction and putting the project’s works into exploitation and use and settlement of construction investment capital within the scope of the approved total investment of the project includes the case where the total investment amount is adjusted according to the provisions of Article 7 of this Decree. Investors may hire organizations and individuals to provide consultancy on expense management to meet the capability conditions prescribed in the Decree on management of construction investment projects for elaboration, verification, control and management of head expenses. construction.
Decree 68/2019/ND-CP applies to agencies, organizations and individuals related to the management of construction investment costs of projects using state budget capital and state capital out of state budget, investment projects in the form of public-private partnerships (PPP).