An industrial park without a centralized wastewater treatment system as prescribed may be fined up to VND 1 billion for an individual and double for an organization. The current penalty framework is prescribed in Decree 45/2022/ND-CP (the effective document, which replaced Decree 155/2016/ND-CP). Notably, at this fine level, the provincial-level Police Director lacks sanctioning authority; authority belongs to the Director of the Environmental Crime Prevention Police Department.
1. How is the act of not having a centralized wastewater treatment system sanctioned?
Under point i, Clause 4, Article 15 of Decree 45/2022/ND-CP on administrative sanctions in the environmental protection sector, the act of not having a centralized wastewater treatment system as prescribed, where such a system is required, is subject to a fine of VND 800,000,000 to VND 1,000,000,000 for an individual violator. For an organization committing the same act, the fine is 02 times the fine for an individual under the general principles of administrative violation handling law — i.e., up to VND 2 billion.
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In addition to fines, violating organizations and individuals may also be subject to remedial measures under Decree 45/2022/ND-CP.
Note: the previous environmental sanctioning regulations in Decree 155/2016/ND-CP and Decree 55/2021/ND-CP have expired; Decree 45/2022/ND-CP now applies uniformly.
2. Responsibilities of the industrial park infrastructure investor regarding the wastewater treatment system
Environmental protection law requires industrial parks to have synchronous environmental protection infrastructure, including a centralized wastewater collection and treatment system meeting technical standards before discharge into the environment. The investor building and trading in industrial park infrastructure is responsible for investing in and operating this system and for receiving and treating wastewater of production, business and service establishments in the industrial park as prescribed.
Not having a centralized wastewater treatment system not only leads to very high administrative fines as above but may also cause the industrial park to be suspended from operations or subject to other preventive measures until the violation is remedied, depending on the nature and seriousness of the act.
3. Does the provincial-level Police Director have authority to sanction this act?
No. Under Clause 5, Article 57 of Decree 45/2022/ND-CP, the provincial-level Police Director only has authority to fine up to VND 100,000,000 for an individual (and to apply sanctioning forms and remedial measures within their authority). The fine for not having a centralized wastewater treatment system is VND 800 million to VND 1 billion, far exceeding this authority.
Under Clause 6, Article 57 of Decree 45/2022/ND-CP, the Director of the Environmental Crime Prevention Police Department has authority to fine up to VND 1,000,000,000 for an individual. Therefore, the above violation falls within the sanctioning authority of the Director of the Environmental Crime Prevention Police Department (and higher-authority titles as prescribed).
Notes on applying current legal provisions
This article is presented for reference, helping readers understand the legal issue at an overview level. Legal provisions may change depending on timing and the specific circumstances of each industrial park. Where it is necessary to determine the exact legal basis, fine levels and sanctioning authority applicable to your case, you should contact an ANT Legal lawyer at 0966.475.966 for review and advice before proceeding.
Common risks to note
- Applying expired legal documents (Decree 155/2016/ND-CP, Decree 55/2021/ND-CP).
- Confusing the sanctioning authority among police titles at different levels.
- Slow remediation leading to suspension of operations or repeated sanctions.
- Failing to keep complete records of the wastewater treatment system for inspections by competent authorities.
How can ANT Legal help?
ANT Legal assists in reviewing the environmental protection obligations of industrial parks and enterprises in industrial parks, assessing sanctioning risks, advising on violation remediation plans and representing clients in working with competent authorities when necessary.
For quick advice, you may contact a lawyer at 0966.475.966.
Frequently asked questions
How much is an industrial park without a centralized wastewater treatment system fined?
A fine of VND 800 million to VND 1 billion for an individual; an organization committing the same act is fined 02 times that, up to VND 2 billion (point i, Clause 4, Article 15 of Decree 45/2022/ND-CP).
Does the provincial-level Police Director have authority to sanction this act?
No. The provincial-level Police Director may only fine up to VND 100 million for an individual; this act falls within the sanctioning authority of the Director of the Environmental Crime Prevention Police Department.
In addition to fines, what other measures may a violating industrial park face?
Remedial measures may be applied and operations may be suspended until the violation is remedied, depending on the nature and seriousness of the act.
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