Directive 21/CT-TTg on reinforcing the state administration of coal production, trading

THE PRIME MINISTER

Directive No. 21/CT-TTg datedAugust 26, 2015 of the Prime Minister reinforcing the state administration of coal production and trading

Recently, the ministries, sectors and localities have made considerable efforts in the management of coal production and trading; illegal exploitation, transport and trading of coal have been considerably reduced making a contribution toward sustainable development of coal and making a significant contribution to the state budget, ensuring national energy security and socio-economic development.

However, illegal exploitation, transport and trading still exist and show signs of re-occurrence; violations against regulations on labor safety and environmental protection in coal production and trading are widespread; dissemination and education of the laws on coal production and trading still have drawbacks; investigation and inspection of coal exploitation, processing and trading have not drawn adequate interests.

Reasons for such shortcomings are a lack of coordination among functional agencies at central and local levels, acts of joining hands and cover-ups by a number of officials and civil servants charged with state administration of coal production and trading, neglect and loose handling of violations and application of financial punishment and distribution of coal over a wide and complicated area along with enormous profits made from illegal coal trading.

In the execution of the Resolution No. 02-NQ/TW dated April 25, 2011of the Ministry of Politic regarding strategy for minerals and mining industries to the year 2020, a vision to 2030, to develop the Law on Mineral in 2010 and reinforce state administration of survey, exploitation, transport, processing and trading of coal, the Prime Minister requests Ministries, sectors, localities and relevant agencies and units to carry out the following duties:

1. Relevant ministries, sectors and localities must accelerate inspection and handling of illegal acts of exploitation, transport and trading; take harsh measures against officials and civil servants who are involved in hand-joining and cover-ups over illegal acts of coal production and trading.

2. The Ministry of Industry and Trade

- Preside over and cooperate with the Ministry of Natural Resources and Environment, ministries, sectors and localities in checking, adjusting and submitting the National Coal Development Planning to the year 2020, a vision to 2030 to the Prime Minister for approval in 2015; direct and instruct relevant organizations and units to carry out projects in accordance with the planning approved by the Prime Minister.

- Preside over and cooperate with relevant ministries and sectors in conducting regular inspection of the exercise of the laws on coal production and trading; reinforce dissemination and education of the laws during the implementation of the National Coal Development Planning approved by the Prime Minister.

- Check and improve legislative documents to reinforce state administration of coal trading; make checks, amendments and supplements to the Government’s Decree No. 185/2013/NĐ-CP dated December 15, 2013 regulating penalties for administrative violations in trading, producing and trading counterfeit and banned goods and protection of consumers’ interests by imposing penalties for acts of purchasing, transporting, storing and consuming mineral products without legal origins.

- Carry out regular investigation and inspection of coal production and trading, guaranteeing labor safety in coal production; inspect locations of coal exploitation, transport, processing, and locations of coal gathering and trading in order to detect and handle violations in a timely manner.

- Approve the chart of coal supply for electrical energy production from domestic coal sources produced by VINACOMIN and Dong Bac Corporation, and direct Vietnam Electricity, Vietnam National Oil and Gas Group to purchase domestic coal from these two organizations;

3. The Ministry of Natural Resources and Environment

- Accelerate progress of assessment and issuance of permission for the implementation of projects on coal deposit survey and investment in accordance with the planning approved by the Prime Minister; In the coal area of Quang Ninh Province, only VINACOMIN and Dong Bac Corporation shall be granted the permits for survey and exploitation of coal in the short term in accordance with the approved planning.

- Check, zone and publicly disclose scattered mineral areas as prescribed (especially exposed coal seams within boundaries of coal mines interspersed among residential areas assigned to the coal sector for management and exploitation).

- Focus efforts on investigation and inspection of compliance with the Law on Environment Protection in exploitation, transport and trading of coal;

4. The Ministry of Finance shall preside over and cooperate with relevant Ministries, regulatory bodies and local governments in conducting a study and proposing financial management - related measures (invoices, taxes, fees and charges) to improve efficiency in prevention of trade fraud in activities of coal trading, especially exportation of coal.

5. The Ministry of National Defense shall direct Vietnam Coastguard, border guards to cooperate with relevant functional forces (Market surveillance, Police...) in reinforcing inspection and control of border, territorial and island routes to prevent illegal trading and exportation, especially through sea routes.

6. The Ministry of Public Security shall direct police forces (especially police authorities of bordering provinces) to cooperate with relevant functional forces (Market surveillance, coastguards, border guards...) in reinforcing measures to prevent, fight, and handle in a strict way as prescribed acts of illegal trades and frauds in activities of coal trading on mainland and inland waterway areas.

7. The Ministry of Justice shall preside over and cooperate with relevant ministries, sectors and agencies in checking and improving regulations of criminal laws on illegal mineral production and trading toward intensifying punishments against illegal acts of exploitation and trading of coal.

8. People’s committees of central-affiliated relevant cities and provinces

- Intensify state administration of coal production and trading to prevent and handle in a timely manner as prescribed illegal acts of exploitation, processing, transport, gathering and trading of coal;

- Speed up the completion of updates, adjustments to, or establish and approve the planning for ports, warehouses in the administration divisions within competence;

- Reinforce state administration of local socio-economic development projects relating to natural resources to ensure harmony between localities and coal sector; Minimize issuance of permission for socio-economic development projects overlapping with the areas of minerals approved by the Prime Minister in the National Coal Development Planning in 2020, and a vision to 2030;

- Direct local functional agencies (tax, market surveillance, natural resources and environment, police, coastguards, border guards and customs...) to speed up inspection of the exercise of regulations on environment for projects on exploitation and processing of coal in the administration division; inspect transport routes, coal-gathering yards and sea ports; carry out regular maintenance of patrol and control forces on mainland, river, sea routes to detect and handle illegal coal trading activities as prescribed;

- Conduct regular inspection and handling of illegal coal exploitation and trading locations and take the responsibility to the Prime Minister for any illegal act of coal exploitation and trading in localities;

9. People’s committee of Quang Ninh Province, VINACOMIN and Dong Bac Corporation shall preside over and cooperate with relevant cities and provinces in endorsing and signing the Charter on management coordination, exchange of information for inspection and timely handling of organizations and individuals committing violations of the laws on coal exploitation and trading.

10. VINACOMIN and Dong Bac Corporation

- Tighten control of mine borders as assigned; reinforce management of coal sources at exploitation locations, transport routes and sea ports; conduct effective management of coal transport vehicles for domestic consumption;

- Speed up completion of documentation of projects on survey and investment in coal mines as planned, make the submission to competent agencies as prescribed;

- Check and improve regulations on supply of coal to households for consumption; reinforce inspection, detection, prevention and early handling of illegal activities of coal exploitation and trading within the boundaries as assigned;

- Cooperate with local authorities and relevant agencies in establishing and well developing the charter on coordination of management and protection of natural resources and mine boundaries as assigned; conduct regular provision of related information to relevant localities for coordination of management of coal exploitation and trading activities;

- Reinforce the task of processing to enhance coal quality aimed at meeting domestic demands and reduce leftover coal of low quality;

- Direct subsidiaries to comply strictly with regulations on environmental protection and labor safety, regulations on minerals and relevant law provisions in activities of surveying, exploitation, processing and trading of coal;

11. Before January 31 annually, relevant ministries, regulatory bodies and local governments shall report the implementation of duties as assigned hereof and make the submission to the Ministry of Industry and Trade for compilation and reporting to the Prime Minister.

Relevant ministries, sectors and People’s committees of central-affiliated cities and provinces shall be responsible for executing this Directive as directed by the Prime Minister./.

The Prime Minister

Nguyen Tan Dung