Vietnam Cuts 47 Business Conditions in Science and Technology Sector

Vietnam has amended four key laws in the science and technology sector, cutting 47 business conditions and simplifying administrative procedures. These changes aim to facilitate business operations and enhance the efficiency of state management. On September 10, the Office of the President announced the promulgation of laws passed by the 16th National Assembly during its extraordinary session in August. The amended laws include the Law on Radio Frequency, the Law on Telecommunications, the Law on Electronic Transactions, and the Law on Technology Transfer. According to Deputy Minister of Science and Technology Pham Duc Long, the simultaneous amendment of these four laws is intended to further refine the legal system, remove legal bottlenecks, reform administrative procedures, and reduce business conditions. The new laws promote decentralization and delegation of authority, creating greater convenience for citizens and businesses while improving the effectiveness and efficiency of state management. The Law on Radio Frequency has reduced unnecessary licensing conditions. The amendment shifts the focus from pre-inspection to post-inspection through activities such as inspection, control, and handling of radio frequency violations. It also clarifies control mechanisms through the exploitation and analysis of databases related to licensing, conformity certification, and radio operator certificates. Furthermore, for state-owned enterprises directly serving national defense and security, the regulations on frequency band usage permits have been adjusted. The initial permit period has been extended from a maximum of 3 years to 5 years, and the timing for evaluating the effectiveness of the project has been adjusted to align with practical realities. This adjustment allows enterprises sufficient time to deploy networks of appropriate scale and provides the state with adequate data for an objective and comprehensive assessment of frequency band utilization and investment efficiency. This policy helps mitigate the risk of premature evaluations and impractical decisions that could lead to the waste of investment resources and frequency resources. The Law on Telecommunications introduces new regulations that reduce and simplify business conditions for telecommunications services and administrative procedures. This aims to lower compliance costs and facilitate business investment and operations while still ensuring state management requirements are met. Additionally, the regulation on operating conditions for domain name registration and maintenance services has been abolished to align with the policy of removing this activity from the list of conditional business investment sectors. These policies contribute to transitioning the management approach from pre-inspection to post-inspection, based on standards, regulations, and compliance monitoring. The Law on Electronic Transactions supports the abolition of administrative procedures, aligning with the trend of using data to replace paper documents. It also simplifies the procedures for renewing reliable service provider licenses, thereby reducing compliance costs and benefiting businesses. A significant aspect of the Law on Technology Transfer is the delegation of authority from the Prime Minister to the Ministry of Science and Technology. This empowers the ministry to issue programs for the development of the national science and technology market, as well as programs, projects, and policies for technology import. This delegation also includes the authority to issue policies for developing the science and technology market and promoting technology transfer, application, and innovation activities. The Ministry of Science and Technology is also authorized to submit proposals for projects and policies of significant, interdisciplinary, or inter-sectoral importance, or those exceeding its authority, to the competent authorities. Deputy Minister Long stated that the new provisions are designed to be consistent with laws on science, technology, and innovation, thereby creating more favorable conditions for the development of the science and technology market and promoting technology transfer, application, and innovation. According to leaders from the Ministry of Science and Technology, the overarching theme of these laws is the reform of state management methods. This involves reducing unnecessary conditions and procedures, promoting decentralization and delegation of authority, shifting from pre-inspection to post-inspection, and more effectively utilizing data, infrastructure, and resources.