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Government to ease gas trading

The Ministry of Industry and Trade (MoIT) will submit a draft decree to ease the entry of businesses into the gas trading market.
Government to ease gas trading ảnh 1A gas shop in HCM City’s District 3. The draft decree is expected to ease the gas trade business requirements (Photo: VNA)
Hanoi (VNA) - The Ministry of Industry and Trade (MoIT) will submit a draft decree to ease the entry ofbusinesses into the gas trading market.

Theministry has said that it has completed its assessment of thedraft after collecting opinions from ministries and relevant agencies and wouldsubmit it to the Government in the next few days.

This move follows theministry’s largestsingle reduction of business procedures in history – it abolished 675business and investment procedures, equivalent to 55.5 percent of the totalconditions. 

Accordingly, the draftproposes removing those business conditions that wholesale gas traders mustsatisfy as prescribed under Decree No 19, including number of gas tanks,liquefied petroleum gas (LPG) cylinders and bottles under their ownership andbusiness scale.

Also, gas importers andexporters will be relieved from certain stringent conditions, such as having astorehouse with total capacity of gas tanks of at least 3,000cu.m for LPG,60,000cu.m for LNG and 200,000cu.m for compressed natural gas (CNG); orhaving LPG cylinders of total capacity of at least 3.93 million litres.

Gas importers, exportersand distributors will no longer be required to own LPG bottle-filling stationsand gas-filling stations for vehicles and gas stations, the draft says.

Under Decree No 19, gastraders must set up their own distribution systems, which may create obstaclesfor them during operation.

The draft proposes removingthis condition, allowing enterprises to decide whether to set up their owndistribution systems based on size and capacity.

It added several safetyrequirements for gas-storing facilities, including gas tanks, gas storehouses,gas pipelines and gas filling and supply stations, as well as bottled LPGretail stores, LPG bottle manufacturing and repair establishments.

The draft, therefore,focuses on regulations to ensure safety, health and rights of consumers, and isthe foundation for State management agencies for post-checks.

Theministry has prepared the draft decree to fix shortcomings in the currentdecree, which is believed to have caused difficulties for businesses.

Thecurrent decree was promulgated on March 22, 2016, replacing Decree No107/2009/NĐ-CP on November 26, 2009, on gas trading to facilitate gascompanies.-VNA
VNA

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