NA deputies slam out of control land prices

May 28, 2019 - 08:50
Deputies were speaking during a discussion on land issues since the Law on Land came into effect from 2013.

 

Deputy Hoàng Quang Hàm of Phú Thọ Province raises his opinion in the discussion in NA meeting on Monday. – VNA/VNS Photo Phương Hoa

HÀ NỘI — National Assembly (NA) deputies on Monday bemoaned shortcomings in Government management of land prices, with rampant speculation causing skyrocketing prices.

A report by a NA monitoring group delivered by Vũ Hồng Thanh, head of the NA Economic Committee, slammed shortcomings in laws and law enforcement on urban planning and land use, including approving urban projects.

Deputies were speaking during a discussion on land issues since the Law on Land came into effect from 2013.

A separate Government report said land use decisions had been carried out transparently, were accepted by citizens and contributed to development.

The Law on Land regulates fixed price frames, price tables and market prices, with fixed price frames and tables used for State agencies, and market prices for investors and land users.

According to reports of 57 localities, between 2015 and 2018, revenue from urban land increased to more than VNĐ372 trillion (US$15.9 billion) including land use fees, land rent, land use taxes and charges.

It wasn’t all rosy however, and the monitoring group’s report slammed slowly progressing projects which wasted land, as well as a lack of measures to tackle land speculation.

In a discussion session, deputies focused on calculating land prices for compensation to land owners whose lands were taken and payment levels for land use and leases.

Deputy Hoàng Quang Hàm of Phú Thọ Province said: “At present, the land price was not close to the market price which caused losses for people and State budget, and incurred complaints”.

“The Government should follow the market movements to timely adjust the land price frame so as to end the situation in which some land is priced at the Government maximum, but far below market value,” Hàm said.

The Government should also complete methods of calculating land prices which help localities set up proper land price tables matching the market, ensuring people’s benefits and avoiding budget losses, he added.

Deputy Nguyễn Trường Giang of Đắk Nông Province said land price evaluation was key to a healthy land system, but a lot of revenue was being lost due to current regulations.

“At present, land price is managed by price frames set by the Government and price tables by provincial people’s committees,” Giang said.

“But the prices are much lower than real value leading to losses for the State Budget,” he told the meeting.

The deputy suggested land prices should be calculated by an independent entity.

Planning

Deputies also discussed management of urban planning.

Deputy Đinh Duy Vượt of Gia Lai Province said quality of urban planning was still poor and the work was still affected by group interests.

According to the NA monitoring group report on urban planning and land use between 2013 and 2018, 1,390 urban development projects saw their planning adjusted between one and six times, he said. 

The adjustments tended to benefit investors by reducing the areas of parks and increasing room for apartments and office buildings, he said.

Agreeing with Vượt, deputy Giang said: “Many adjustments were made by and for investors, which caused pressure on infrastructure”.

“This was due to the lack of an independent agency evaluating and monitoring urban planning,” Giang said.

The deputy suggested the Government set up short, mid and long term plans for land use to serve development and environmental protection. — VNS

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