Readers reflect that on December 30, 2024, the Government issued Decree No. 175/2024/ND-CP replacing Decree No. 15/2021/ND-CP.
In Article 4 of Decree No. 175/2024/ND-CP on construction investment procedures, the handover of works for use is carried out in the final construction phase. Meanwhile, Article 4 of Decree No. 15/2021/ND-CP stipulates that the handover of works for use is carried out in the project implementation phase, before submitting for appraisal and settlement.
Currently, there are different understandings of the handover time for putting the project into use.
The first understanding is that the time of handover of the project for use according to Decree No. 175/2024/ND-CP is still carried out before submitting for verification and settlement similar to Decree No. 15/2021/ND-CP. At that time, the construction contractor transfers to the obligation to warranty the project. After having a decision approving the settlement, the asset value will continue to be handed over to the unit receiving the project.
The second understanding is that after finalizing the project, the project will be handed over for use and at the same time the assets will be handed over to the receiving unit, and the construction contractor will switch to the project warranty obligation.
Readers request functional agencies to answer which understanding is consistent with Article 4 of Decree No. 175/2024/ND-CP on construction investment procedures.
Answering this content, after research, the Economic - Construction Investment Management Department said that Clause 3, Article 50 of the 2014 Construction Law on construction investment procedures stipulates: "Based on the specific conditions of each project, the investor decides on the sequential or combination, interspersed implementation of works in the project implementation phase and the completion of construction to put the project into operation".
At the same time, point a, clause 1, Article 4 of Decree No. 175/2024/ND-CP dated December 30, 2024 of the Government stipulates: "The construction completion phase includes the following tasks: finalization of construction contracts, finalization of investment capital for completed projects, confirmation of completion of works; handover of works for use...".
In addition, Decree No. 15/2021/ND-CP dated March 3, 2021 has expired according to the provisions of point a, clause 2, Article 124 of Decree No. 175/2024/ND-CP dated December 30, 2024.
The Economic - Construction Investment Management Department requests citizens to study the above regulations to better understand the regulations on the time of handover of works for use.
