(TN&MT) - On the afternoon of November 5, at the National Assembly House, under the chairmanship of National Assembly Chairman Tran Thanh Man, the National Assembly listened to the Report on explanation, reception and revision of the draft Law on Geology and Minerals; discussed in the hall about a number of contents with different opinions of the draft Law on Geology and Minerals.
On behalf of the National Assembly Standing Committee (NASC), Chairman of the Committee for Science, Technology and Environment Le Quang Huy reported on a number of major issues regarding the explanation, reception and revision of the draft Law on Geology and Minerals.
On state policy on geology and minerals (Article 3)
There is a proposal to remove Clause 4 to be consistent with Clause 1, Article 7 of the State Budget Law; clearly stipulate the percentage to be deducted from the revenue from mineral exploitation, and the principles for deducting and paying the revenues.
Regarding this content, the Standing Committee of the National Assembly reports as follows: The regulation of the State policy in Clause 4, Article 3 aims to institutionalize the viewpoint stated in Resolution No. 10 of the Politburo. Incorporating the opinions of the National Assembly Deputies, the content of Clause 4 has been revised and expressed as in the draft Law. The allocation of funds will be implemented according to the State budget estimate, in accordance with the State Budget Law.
On the rights and responsibilities of localities, communities, households and individuals where geological and mineral resources are exploited (Article 8)
There are suggestions to supplement regulations that organizations and individuals exploiting minerals annually receive support for investment costs, upgrading, maintenance, infrastructure construction, and environmental protection to further enhance the responsibility of mineral exploitation organizations.
According to Chairman of the Committee on Science, Technology and Environment (CST) Le Quang Huy, there are 2 types of opinions on this content as follows:
First opinion: Add point d, Clause 1, Article 8 according to Option 1 as in the draft Law (the Government proposes to add).
This opinion will have the advantage of creating a legal basis to force organizations and individuals exploiting minerals to fulfill their responsibility of supporting investment costs for upgrading, maintaining, and constructing technical infrastructure works and environmental protection works in the area at the level decided by the Provincial People's Council.
However, the disadvantage is that this regulation changes the responsibility to support with the voluntary support level of the current Mineral Law to a mandatory support responsibility, which is a new policy without an impact assessment.
Besides, there is no regulation on collection levels, which can easily lead to arbitrary application.
At the same time, allowing "the support fund of organizations and individuals exploiting minerals to be accounted for in production costs" is inconsistent with the Law on Corporate Income Tax, contrary to the principle that deductible costs when determining taxable income are costs directly related to production and business activities.
In addition, organizations and individuals exploiting minerals have paid their obligations for taxes, fees, and mineral exploitation rights to the State budget. The State regulates and allocates the budget according to the provisions of the State Budget Law to maintain and upgrade infrastructure and protect the environment (if not suitable, these revenues need to be adjusted to increase). Therefore, the regulation that organizations and individuals exploiting minerals must provide mandatory support is unfair to other economic sectors and creates a cost burden for organizations and individuals exploiting minerals.
Second opinion: Keep as prescribed in the current Law on Minerals according to Option 2 in Clause 3, Article 8 of the draft Law.
The advantage is that no new policies will arise. Ensuring the nature of financial support (for organizations and individuals exploiting minerals to fulfill their support responsibilities but voluntarily on the level of support).
Regarding the disadvantages, this option can easily lead to organizations and individuals exploiting minerals arbitrarily in implementing their support responsibilities (not mandatory). Currently, few localities implement this policy and there are differences in the regulations on responsibilities (mandatory or voluntary) of organizations and individuals exploiting minerals.
Accordingly, Chairman of the Committee on Science, Technology and Environment Le Quang Huy said that the Standing Committee of the National Assembly proposed that the National Assembly consider and give opinions on this content.
On the responsibility of mineral planning (Article 14)
During the discussion at the 7th Session, the Conference of National Assembly Deputies working full-time and studying, receiving, and adjusting, there were many different opinions on the content of assigning responsibilities to the agency in charge of making mineral planning.
The Standing Committee of the National Assembly has directed the Agency in charge of reviewing and the Agency in charge of drafting 02 draft options to seek opinions. Based on the synthesis of opinions and analysis of the advantages and disadvantages of each option, the Standing Committee of the National Assembly and the Government have agreed to report to the National Assembly on the regulation of 01 option (Option 1 with adjustments) in the direction of: assigning the Government to assign an agency to organize the preparation and submit to the Prime Minister for approval of the mineral planning; regulating the preparation of a geological and mineral management plan to be integrated into the provincial planning (Article 14 of the draft Law).
On adjusting mineral planning (Article 15)
Some opinions suggested that the planning adjustment be implemented in accordance with the law on planning , while others suggested specific regulations in the draft Law to promptly resolve problems arising in practice and the specific characteristics of basic geological and mineral survey activities. The Standing Committee of the National Assembly directed the Agency in charge of the review and the Agency in charge of drafting 02 options to seek opinions. In order to promptly resolve the planning adjustment and remove problems arising in practice, the Standing Committee of the National Assembly and the Government agreed to report to the National Assembly for opinions on the option to allow partial adjustment of the content of the mineral planning.
On the principles of granting mineral exploration licenses (Article 45)
There are suggestions that the principles for granting mineral exploration licenses must be consistent with the national mineral planning and energy master plan to resolve practical problems related to coal minerals.
Chairman Le Quang Huy said that, accepting the opinions of National Assembly deputies, the National Assembly Standing Committee has added transitional provisions in Clause 7, Article 116 of the draft Law.
There is a proposal to supplement and revise Point h, Clause 1, Article 45, which stipulates that "Each organization is granted no more than 05 exploration licenses for one type of mineral, excluding expired mineral exploration licenses, except for coal minerals/energy minerals", because if the limit is only granted 05 exploration licenses, it will greatly affect coal mineral exploration projects according to the planning, ensuring national energy security.
Regarding this content, the Standing Committee of the National Assembly would like to report as follows: The Draft Law inherits the provisions on the number of exploration licenses of the current Law to limit speculation and mine holding, and there are no problems in the implementation of the 2010 Mineral Law. The exclusion of the provisions for coal minerals/energy minerals is inconsistent between groups and types of minerals in the granting of mineral exploration licenses. Based on the opinions of the National Assembly Deputies, the Standing Committee of the National Assembly proposes to amend the content of the provisions at Point h, Clause 1, Article 45 in the direction of assigning the Prime Minister to decide on cases where organizations request more than 05 exploration licenses for a type of mineral. Therefore, the Standing Committee of the National Assembly would like to ask for the National Assembly's opinion on this content.
On management of minerals group IV (group 4)
There are suggestions to consider and not to remove regulations on licensing procedures for exploration and exploitation of minerals used as filling materials, to avoid creating legal gaps leading to violations, affecting the effectiveness and efficiency of state management in the mineral sector; it is necessary to consider granting mining licenses for Group IV minerals instead of implementing them in the form of registration of activities.
Receiving the opinions of the National Assembly Deputies, the Standing Committee of the National Assembly directed that " for Group IV minerals, it is necessary to study to have specific regulations related to planning, exploration and exploitation to avoid taking advantage of policies " . The Standing Committee of the National Assembly and the Government agreed to continue to regulate licensing but simplify the process and procedures for Group IV minerals to unlock resources and promote socio-economic development. In addition, the draft Law has revised the principles of exploiting Group IV minerals in Clause 2, Article 75.
To solve the planning bottleneck and thoroughly remove procedural obstacles, the draft Law stipulates that Group IV minerals will not be included in provincial planning. The draft Law has revised Article 75, in which, in the case of projects specified in Clause 2, Article 74, they do not have to comply with the requirements for establishing mineral exploitation investment projects to carry out the procedures for approving investment policies; do not have to carry out procedures for appraising and approving the results of appraisal of environmental impact assessment reports, and grant environmental licenses. In addition to projects meeting these criteria, other projects must still fully comply with the requirements as prescribed, ensuring strictness.
On mineral exploitation rights fees (Article 101)
Some opinions say that the regulation on licensing fees is not feasible and not suitable for practice; some opinions suggest removing the content of collecting fees for licensing mineral exploitation rights, at the same time considering increasing the collection rate of mineral resource tax; suggesting clarifying the difference between licensing fees for mineral exploitation rights and resource tax and finding solutions to cut down on administrative procedures .
The Standing Committee of the National Assembly would like to explain as follows: Regarding the proposal to remove the content of collecting fees for granting mineral exploitation rights, and at the same time consider increasing the level of mineral resource tax: The Standing Committee of the National Assembly recognizes that, after 13 years of implementation, the policy of "Mineral exploitation rights granting fees" has contributed to limiting speculation, holding mines for transfer, selecting investors with sufficient financial capacity, and is also a significant source of revenue for the state budget. To resolve current limitations and difficulties, the draft Law has stipulated that fees for granting mineral exploitation rights shall be collected annually and settled according to actual exploitation output. With the above provisions, fees for granting mineral exploitation rights will not be affected by geological reserves, unexploited reserves, or reserves that cannot be fully exploited; or for objective reasons, the mine cannot be put into exploitation.
Regarding the difference between mineral exploitation rights fee and resource tax: For resource tax, organizations and individuals self-declare actual exploitation output and pay monthly and are settled annually. For mineral exploitation rights fee, the draft Law is stipulating that the state management agency will approve according to mineral reserves, organizations and individuals will pay once at the beginning of the year and be settled according to actual exploitation output by period (can be 1 year, 3 years or 5 years). The excess amount of mineral exploitation rights fee paid will be transferred to the next payment period, in case of underpayment, additional payment will be made.
Regarding administrative procedures: Regarding mineral exploitation right fees, based on the decision to approve and settle resource tax, organizations and individuals only have to pay once a year, without creating administrative procedures in declaring and paying mineral exploitation right fees.
Regarding the auction area, mineral exploitation rights are not auctioned (Article 103)
Many opinions are concerned about the criteria for delimiting areas where mineral exploitation rights are not auctioned.
In response to the opinions of National Assembly deputies, the draft Law has been revised in the direction of regulating the principles of granting mineral exploitation licenses without auctioning mineral exploitation rights (Clause 2, Article 103), on that basis, the Government is assigned to stipulate criteria for delimiting areas where mineral exploitation rights are not auctioned (Clause 5, Article 103).
About some other content
There is a proposal to add point h, clause 1, Article 218 of the Land Law: "Land planned for minerals with a large distribution area (such as bauxite, titanium) shall be considered by the Provincial People's Committee for planning in combination with the purpose of serving the socio-economic development of the locality on the basis of the agreement of the competent authority approving the mineral planning".
The Standing Committee of the National Assembly would like to report as follows: The consideration by the Provincial People's Committee when planning the use of mineral land in combination with the purpose of serving socio-economic development must comply with the Land Law. To resolve the above issue, the Standing Committee of the National Assembly proposes: The Government directs the review of mineral planning, other related planning and projects to ensure effective land use; based on the provisions of law, consider converting a number of areas included in the mineral planning to national mineral reserve areas and allow the implementation of investment projects in national mineral reserve areas (Article 35 of the draft Law); During the implementation of the Land Law, if problems arise regarding the use of multi-purpose land, especially the case mentioned by the National Assembly Delegate, they must be promptly handled according to authority or reported to competent authorities for handling so as not to cause congestion for socio-economic development.
There are suggestions to add content on valuation of mineral exploitation rights.
The Standing Committee of the National Assembly would like to report as follows: The results of the valuation of mineral exploitation rights are one of the information used to determine the starting price for the auction of mineral exploitation rights. However, it is not feasible to stipulate this content in the draft Law or assign the Government to provide detailed regulations at this time. Therefore, for now, the Standing Committee of the National Assembly proposes not to stipulate the valuation of mineral exploitation rights; it is requested that the Government study thoroughly and propose solutions in the coming time.
In addition to the above issues, the Standing Committee of the National Assembly has directed the review and improvement of the writing style. The draft Law after being received and revised includes 12 Chapters and 116 Articles.
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