INDUSTRY CHANGE CONDITIONS ON GAS EXPORT AND IMPORT
On March 22, 2016, the Government issued the Decree No. 19/2016/ND-CP on gas business, within that, the most important content is the regulations that every gas importer and exporter must own/ jointly own or enter an agreement on leasing wharves of Vietnam ports for at least 05 years.
Besides, every gas importer and exporter must own/jointly own/enter into an agreement for leasing storehouses with the total storage tanker capacity of least 3,000 m3for LPG for at least 01 year, 60,000 m3 for LNG for at least 5 years and 200,000 m3 for CNG for at least 5 years.
In addition to the set forth requirements, every gas importer/exporter shall own a quantity of LPG bottles (excluding mini-sized LPG bottles) that are eligible for being used on the market with the total capacity of at least 3,930,000 liters; and own LPG bottling stations granted Certificates of Eligibility or a contract for LPG bottling with other LPG wholesalers; and have their own LPG bottling stations available after 02 years from the date of issue of the Certificate of Eligibility for LPG import/export; have a distribution channel available, including: bottled LPG shops or LPG distribution stations or LPG filling stations for vehicles that are certified as eligible or industrial customers; and at least 40 LPG general agents or agents that meet requirements hereof.
Also in accordance with this Decree, gas wholesalers shall ensure the sufficiency of gas within the distribution channel; guarantee that gas quality satisfying the current regulations; contribute to stability of domestic production and consumption and against commercial frauds and notify the adjusted selling prices to competent authorities where the distribution channel is located; go through price registration and announce LPG prices as the State stabilizes gas prices under provisions of Price Law and relevant legal documents….
This Decree takes effect on May 15, 2016.
