Investment and trade in oil and gas have played a significant role in the development of the Vietnamese economy. This article surveys the evolution of the market liberalisation in Vietnam as well as the current legal framework that governs energy projects. With reference to relevant cases, the article provides details of the current position in competition law enforcement during investment and public procurement within Vietnamese energy (oil and gas) projects, and offers a critical analysis of some of the main challenges facing investors in this sector. It is shown that Vietnam has come a long way in providing attractive opportunities for investors in the energy sector and in establishing a level playing field for virtually all business ventures. However, there are still inherent gaps and lack of coherence between the procurement legislation and other related laws and regulations including competition rules. As a result, in order to enhance the effectiveness of the Vietnamese legal framework on procurement, this article stresses the need for harmonisation between bidding law and competition law; the use of electronic bidding systems, which may both be accessible to a broader group of bidders and provide cost-savings; the application of the criteria of “Value for Money” in selecting contractors; and strengthening enforcement to fight any perceived collusion in bidding processes.
Reference: Turksen, U., & Nguyen, T.H. (2018). Competition and Procurement in Energy Projects in Vietnam: Risks, Opportunities and Future Prospects. International Energy Law Review, 4, 116-135.https://pureportal.coventry.ac.uk/en/publications/competition-and-procurement-in-energy-projects-in-vietnam-risks-o
About authors:
- Prof Dr Umut Turksen is interested in the practical application of the law in innovation, societal security and development. He has published several articles and books on energy, financial crime and international trade and economic law. He has provided consultancy and training to prestigious international businesses and government projects. These include technical assistance programmes to multinational corporations (e.g. France Telecom, Orange, Equas Ltd, Wilmington Plc.) and international organisations (e.g. Commonwealth, NATO, EUROPOL), professional development training to practitioners and to the EU funded projects (e.g. CEPOL, SecuCities, MUTRAP III, COFFERS, PROTAX, VIRTEU). Prof Turksen is currently leading an EU H2020 project, PROTAX (www.protax-project.eu), which aims to co-create solutions - in collaboration with ministries and law enforcement agencies across Europe - for the prevention and prosecution of tax crimes. Prof Turksen is also a member of the Innovation Caucus (https://innovationcaucus.co.uk).
- Ha Nguyen (LLB, LLM), a partner of Huy&Partners LLC., is interested in cross-border trade and investment, energy, infrastructure construction, competition and State-owned enterprises. He has participated in energy megastructure projects in Vietnam and other ASEAN countries (Nghi Son Refinery & Petrochemicals Plant, Song Hau 1 coal-fired power plant, petroleum production platforms in Vietnam offshore, Petronas RAPID project, Southern Johor, Malaysia) and airport projects in Vietnam (T3 Terminal – Tan Son Nhat Airport, Long Thanh international airport (phase 1)). He has also published a few articles on Vietnam oil and gas sector, renewable energy, State-owned enterprises privitisation and competition.
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