Decentralization of Construction Permit Authority as of July 1, 2025 

Starting from July 2025, the issuance of Construction Permits (CPs) will undergo significant changes. Under Decree No. 140/2025/NĐ-CP, Commune-level People’s Committees (CPCs) will be delegated authority to issue permits for individual houses and Grade III and Grade IV constructions, thereby reducing the administrative burden on provincial authorities and accelerating application processing timelines. 

1. Adjustment of construction permit authority 

Previously, under Article 103 of the 2014 Law on Construction, the authority to issue construction permits primarily belonged to Provincial-level and District-level People’s Committees. 

However, in line with the two-tier local government model and the policy of enhanced decentralization, Decree No. 140/2025/NĐ-CP now provides clearer stipulations on the distribution of authority as follows: 

1.1. Authority of commune-level People’s Committees 

Pursuant to clauses 1 and 2, Article 4 of Decree No. 140/2025/NĐ-CP, commune-level People’s Committees are authorized to: 

  • Issue construction permits for individual houses and Grade III and Grade IV works within their respective jurisdictions; and 
  • Approve construction sites for specific works such as billboards or telecommunication stations located on land plots not designated for construction purposes. 

This new provision marks a notable reform, shortening administrative procedures, reducing the workload of provincial authorities, and facilitating faster, more convenient services for residents and enterprises at the local level. 

1.2. Authority of provincial-level People’s Committees 

Provincial People’s Committees shall continue to issue construction permits for all remaining works requiring permits within their jurisdictions, except those falling under commune-level authority. 

During the transitional period (as provided in point b, clause 3, Article 32 of Decree No. 140/2025/NĐ-CP), provincial authorities may: 

  • Exercise their permitting authority directly; or 
  • Delegate or authorize commune-level People’s Committees depending on actual conditions and local administrative capacity. 

2. Application Dossier and Procedures for Construction Permit Issuance 

2.1. Application Dossier 

According to Article 95 of the Law on Construction and Decree No. 175/2024/NĐ-CP, a construction permit application dossier includes: 

  • Application form for construction permit issuance (per Appendix II of Decree No. 175/2024/NĐ-CP); 
  • Copy of the land use right certificate in accordance with land law; 
  • Construction design drawings compliant with technical standards and regulations; and 
  • Written commitment to ensure safety for adjacent structures (if applicable). 

Depending on the type of work (e.g., individual houses, linear or non-linear works, religious buildings, advertisement structures, etc.), additional documents may include: 

  • Decision on project approval or investment decision; 
  • Statement of qualifications and experience of the design organization/individual accompanied by relevant professional practice certificates; 
  • Written approval or professional opinions from competent specialized authorities (if the project falls under a regulated field). 

2.2. Procedures and processing timeline 

Under Article 102 of the Law on Construction and Decree No. 175/2024/NĐ-CP, the permitting process consists of four main stages: 

Step 1 – Submission of application: 

The investor submits two (02) sets of dossiers to the commune-level or provincial-level People’s Committee (depending on the project type). 

A Receipt Slip will be issued for valid dossiers; if incomplete, the competent authority must provide one-time written guidance for supplementation. 

Step 2 – Appraisal and site inspection: 

Within 07 working days from receipt, the permitting authority shall appraise the dossier, inspect the construction site, and request amendments if necessary. 

Step 3 – Consultation with relevant authorities (if applicable): 

The permitting body may request written opinions from relevant specialized agencies, which must respond within 12 working days. 

Failure to respond within the time limit shall be deemed as no objection, and such agencies remain responsible for matters within their jurisdiction. 

Step 4 – Issuance of Construction Permit: 

Based on the appraisal results and relevant opinions, the competent authority shall grant the permit or notify the applicant in writing of the refusal and its reasons. 

Processing timeframe: 

  • 15 working days – for individual houses; 
  • 20 working days – for other constructions (including temporary, amended, or relocated permits). 

Where further review is required, the processing time may be extended by no more than 10 working days, and the authority must notify the investor in writing. 

For advertising works, permit issuance timelines shall comply with the Law on Advertising. 

2.3. Construction permit fees 

Under the Law on Fees and Charges 2015, construction permit fees are determined by provincial People’s Councils and may vary among localities. 

For example, in Ho Chi Minh City (per Resolution No. 18/2017/NQ-HĐND): 

  • Construction permit for individual houses: VND 75,000 per permit; 
  • Construction permit for other works: VND 150,000 per permit. 

Conclusion 

The decentralization of construction permit authority to commune-level People’s Committees effective July 1, 2025, represents a significant administrative reform step. It enhances transparency, reduces processing time, and facilitates a more accessible and efficient construction permitting process for both individuals and enterprises. 

Entities intending to apply for construction permits should stay updated with the new regulations and prepare complete dossiers to ensure project implementation is lawful and consistent with approved planning schemes. 

Date Written: 20/11/2025


Disclaimers:

This article is for general information purposes only and is not intended to provide any legal advice for any particular case. The legal provisions referenced in the content are in effect at the time of publication but may have expired at the time you read the content. We therefore advise that you always consult a professional consultant before applying any content.

For issues related to the content or intellectual property rights of the article, please email cs@apolatlegal.vn.

Apolat Legal is a law firm in Vietnam with experience and capacity to provide consulting services related to Construction and contact our team of lawyers in Vietnam via email info@apolatlegal.com.

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