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Urban Development Law opens greater autonomy, demands institutional capacity

The draft Urban Development Law grants major cities unprecedented autonomy, yet translating these policies into reality requires building an apparatus fully capable of absorbing, refining, and executing newly delegated authorities. Draft urban law proposes private support for public administrative services Draft urban law poised to reform infrastructure financing, TOD in megacities NA deputies…

Urban Development Law opens greater autonomy, demands institutional capacity

The proposed Urban Development Law in Vietnam aims to grant major cities significant autonomy, necessitating a robust institutional framework to effectively implement these new responsibilities. The legislation shifts the nation's approach from stringent management to promoting development and tailored governance. Its objective is to eliminate obstacles hindering major urban areas and stimulate growth in emerging regions.

Based on Politburo Conclusion No. 18-KL/TW and Resolution No. 09-NQ/TW, the draft law seeks to transform development zones into interconnected networks, fostering both regional and global economic hubs. Beyond traditional decentralization, cities can enact unique legal documents distinct from central government regulations in certain scenarios and experiment with innovative policies.

This represents a significant leap from restricted models, such as Hanoi's Capital Law, which now extend to special urban zones, other municipalities, and economic specialities. Key features encompass decentralized issuance of supplementary legal documents, empowering local councils and committees to formulate guidelines diverging from national regulations or addressing unforeseen practical issues lacking legal precedent.

A controlled experimentation zone allows cities to pilot progressive policies in sectors like digital finance, artificial intelligence, and sustainable agriculture, while a priority application clause ensures the Urban Development Law supersedes other laws unless it conflicts with national security, foreign policy, human rights, or economic stability.

To foster innovation responsibly, the draft incorporates safeguards, mandating cities to assess the necessity, impact, and accountability of proposed documents before issuance. Cities are required to conduct thorough evaluations, including consultations with the public, and establish clear timelines, objectives, and expected outcomes for pilot projects, which should not exceed five years, with extensions permitted.

If pilot projects yield adverse effects beyond projections, the city's people's committee has the authority to suspend the initiative. The law also delineates responsibilities for reporting to central authorities, evaluating effectiveness, and safeguarding dynamic officials who contribute positively to societal progress. However, to capitalize on the law's potential, substantial capacity building is essential.

Should it be enacted, the extensive delegation of authority to local governments will overwhelm existing resources. Even with current staffing levels, major cities like Ho Chi Minh City would face a staggering task, with approximately 100 detailed regulations needing immediate implementation. This abrupt surge in workload could severely strain public servants and impede comprehensive policy analysis.

Long-term viability hinges on establishing specialized mechanisms for organizational structure, personnel, and finances. Investing in a capable workforce and refined institutional setup is paramount to transforming delegated powers into tangible, enduring development outcomes.

Written by urgent.news from SGGP English Edition's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at en.sggp.org.vn →

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