Ministry to curb illegal mineral exploitation

HA NOI — The Ministry of Natural Resources and Environment is planning to raise fines for illegal mineral exploitation in a bid to curb rampant violations and reduce pollution from activities such as ore and coal mining.

The draft decree aims to strengthen management of minerals exploitation and raise fines for violations while also creating more effective legal framework to tackle the problem.

The latest statistics from the Steering Committee for Smuggling, Trade of Counterfeit Goods and Commercial Fraud Prevention showed that more than 124,000 tonnes of illegally mined ore and coal were confiscated in 2011, an increase of 25 per cent from 2010.

Nguyen Van Thuan, head of the General Department of Geology and Minerals of Viet Nam, said the draft decree has set the highest fine at VND500 million (US$24,000), five times higher than the current top fine for violations such as unlicensed exploitation of hazardous minerals which caused environmental pollution.

Many shortcomings have been revealed in the current decree, which took effect in 1997 and mainly contains general regulations on mineral exploitation. In recent years the number of enterprises working in mineral exploitation has risen, and violations have become increasingly common.

TAY NINH — Two mineral exploitation enterprises in Tay Ninh Province have been fined a total of VND150 million ($7,100) for failing to pay taxes and violating regulations on the size of mines.

According to the province's Environment Police Department, Hoang Tin Trading, Service, Import and Export Company and Dong Tan Phat Ltd Company were operating mines that were deeper than the allowed limit. The enterprises also failed to pay environmental fees and taxes.

Last month, the province revoked the licences of 10 enterprises for violations in trading and exploiting minerals.

Thuan said the draft decree has listed 20 specific violations related to mineral exploitation, processing of minerals and environmental protection. Fines range from VND1million ($47).

Those who have made more serious violations might also have their mineral exploitation licence revoked and be taken to court, said Thuan.

Beside getting fines, all violators would be responsible for solving consequences caused by their illegal activities, said he.

However, rampant issuance of mineral exploitation licenses by local authorities has posed difficulties in detecting and punishing violation cases, said Thuan.

According to statistics from the general department, more than 4,200 mineral exploitation licences have been issued nation-wide, but each locality only has three or four officers to manage and inspect these license holders. Thuan said the Department for Control of Mining Activities was recently established to deal with the shortage of human resources devoted to policing mineral exploitation.

Localities with a large number of violations will be subject to additional inspections, said Thuan. — VNS