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Site development
Building Permits

Individuals or organizations that wish to construct or to do major repair work must apply for a permit to the Provincial Department of Communications, Transportation, Post and Construction (DCTPC). The application documents to be submitted in 4 copies are the following:

  • A standard application form available from the DCTPC
  • A certificate of residence from administrative authorities
  • A certified land title document, land use permit, and site permit attached to a plan for the structure
  • A situation plan
  • A construction plan
  • A septic tank plan

Before they can be submitted to the DCTPC, a legally recognized design company must approve these documents. The Provincial DCTPC (where appropriate) will notify the applicants within 45 days of the results of the examination of the application. The examination of the application form is made in conjunction with other relevant government agencies such as:

  • The Land Department
  • The Ministry of Interior
  • The Institute of Urbanism

Once a building permit has been assigned, it is be valid for 3 months. During the construction, the DCTPC will carry out inspections of the construction site to ensure construction activities are in accordance with the building permits and plans.

Environment Assessments

According to the Regulations on the Monitoring and Control of Wastewater Discharge, the buildings and factory facilities sites must be inspected twice per year to ensure that they are in conformity with the standards of wastewater discharge. After each inspection, a certificate is issued to the owners of buildings and sites. In cases of non-compliance, appropriate measures are imposed.

The draft environmental law requires an Environmental Impact Assessment to be made for large projects using natural resources. What constitutes a "large project" has not been specified.

Operating Permits

In case of construction of a plant, once the plant is finished, it requires a license from the Ministry of Industry and Handicraft to commence operations. The Ministry of Industry and Handicraft will make an inspection of the plant before it issues the license. At this time, all documentation is once again reviewed to check if it is complete.

Water Connections

The state enterprise Nam Papa Lao or its branches in the provinces provide water connections. Connection times vary from location to location. However the approximate time is 15 days. Individual households or production facilities wishing to have water connections to their sites must apply to Nam Papa Lao or its provincial branches (for projects located in the provinces). The documentation required is:

  • Standard application form available from Nam Papa Lao
  • Building permit
  • Approved construction plan

Electricity Connections

In October 1997 the electricity tariff was adjusted. Under this new tariff schedule, the electricity tariff varies from user to user. The highest tariff applies to entertainment businesses. They pay 100 kip per kwh. The lowest tariff is 10 kip per kwh and applies to small businesses with a simple accounting system.

Electricity connections are provided by legally recognized construction design companies. The documentation required is:

  • Application form from the Ministry of Industry and Handicraft
  • Foreign investment license
  • Building permit
  • Tax license

After the Ministry of Industry and Handicraft approves the application, foreign investors must contact one of the approved construction design companies to survey the site and make a price quotation for an electricity connection. The price and the time required for connections vary from location to location and also depend upon the size of the transformer and electricity phase (1, 2 or 3 phases).

The approximate time to get an electricity connection is 1-2 months for households and two to three months for plants.

Telephone Connections

Telephone connections are provided by Lao Telecom. Lao Telecom is a joint venture between a Thai investor and the Lao government. From major cities, international access via IDD is straightforward, fast and efficient. Sound produced over the lines is good and disconnects are rare. Rates for international calls, though still relatively expensive, have steadily lowered over the past few years.

Lao Telecom can usually provide a line within 2 weeks if lines adjacent to the property are in place. The connection fee is approximately $150 but can vary from location to location depending on the distance from the main switchboard in different areas.

The application process is straightforward. Foreign investors fill out an application form that includes the location where telephone hook-up is to be provided. After receiving the application, Lao Telecom will survey the location and prepare a quotation.

 

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© DDFI 2003