Content and Criteria for Evaluating State Management of Mineral Exploitation Activities in the Province

Focus on ensuring unity in the state's management and operation of mineral exploitation activities, but democracy enhances creativity and initiative for each locality. Therefore, it is necessary to combine both centralization and democracy to exploit the advantages and supplement the limitations of each policy when managing mineral exploitation activities, avoid general collective leadership and promote the responsibility of the leader.

c. Principles of combining state management of mineral exploitation by sector and by territory

According to Do Hoang Toan (2008): "State management by sector is the technical and professional management of the central sector management level for all organizations operating in the mineral exploitation industry nationwide" and "State management by territory is the organization, regulation and coordination of activities of all economic units in the territory" . Thus, it can be understood that combining state management of mineral exploitation by sector and by territory means that mining organizations must be subject to the management of the sector (Ministry) and at the same time be subject to the territorial management of local authorities according to the provisions of law.

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The State manages mineral exploitation in combination by sector and territory through the following contents: implementing the economic development policies of the whole sector in accordance with the policies of each locality where the enterprise operates; developing and implementing planning strategies and plans of the whole sector based on the planning strategies of the locality; regulating and coordinating mineral exploitation activities to meet the product needs of the whole sector while ensuring maximum utilization and most effective use of available local resources; managing and controlling waste treatment and environmental protection in the locality. The principle of combining management by sector and territory requires close coordination of management agencies in all fields. Management agencies must clearly assign management by sector and territory, avoid overlapping functions, tasks and powers in management implementation and have co-management, joint management and participation among agencies according to specific regulations of the State. Combined management aims to overcome disputes and lack of connection between businesses and management agencies in the same territory, thereby improving exploitation and economic efficiency.

d. Ensuring the effectiveness of management

The effectiveness of management is reflected in the level of success and results achieved when implementing policies, measures or management tools of the state in each locality. The criteria for evaluating effectiveness are the accuracy of decision making and the efficiency of implementing that decision. If the management decision is correct and the implementation efficiency is high, the efficiency will be high and vice versa. Thus, to effectively and efficiently manage the state on mineral exploitation, it is necessary to pay attention to the quality of decisions such as ensuring the combination of goals, harmonizing the interests of all parties, balancing resources... and the rationality of the organizational apparatus as well as the capacity of the staff in implementing management decisions.

1.2.2. Content and criteria for evaluating state management of mineral exploitation activities in the province

a. Contents of state management of mineral exploitation activities.

According to the provisions of the 2010 Law on Minerals and legal documents regulating mineral exploitation activities related to state management of mineral exploitation at provincial and district levels, including the following contents:

- Promulgate and implement policies and laws on mineral exploitation activities.

First, promulgate policies and laws on mineral exploitation activities.

In the state management apparatus, the Government and the ministries, departments and branches under the Central Government and the Provincial People's Committees issue policies and regulations on mineral exploitation and the district-level state management agencies are responsible for implementing those legal documents.

The provincial People's Committee does not have the authority to issue legal documents on mineral exploitation management, but only issues guiding documents to ensure compliance with state planning and plans and to organize the implementation of appropriate policies and regulations. The provincial People's Committee issues decisions that must be within its authority, legal and consistent with local realities.

According to Clause 1, Article 81, Law on Minerals 2010 (Amended and supplemented in 2018), the responsibility of state management of minerals of the Provincial People's Committee in developing and promulgating legal documents, policies and planning is stipulated as follows:

“a) Issue, under authority, documents guiding the implementation of State regulations on mineral management, protection and management of mineral activities in the locality;…

d) Recognizing mineral reserve calculation indicators; approving mineral reserves; making statistics and inventorying mineral reserves under the licensing authority.”

Thus, the issuance of documents guiding the implementation of the province's mineral exploitation law must both demonstrate the policy of encouraging mineral exploitation and ensure the goal of economical and reasonable mineral exploitation, and protect unexploited mineral resources.

Second, implement policies and laws on mineral exploitation activities.

The promulgation and implementation of legal policies on mineral exploitation include contents such as granting mining licenses, auctioning mineral exploitation rights, managing mineral volumes, and collecting fees for granting mineral exploitation rights.

+ Mineral exploitation license:

The granting of mining licenses to organizations and individuals by state management agencies is the basis for mineral exploitation activities to be implemented. In our country, the authority to grant mineral exploitation licenses of the Provincial People's Committee is stipulated in Article 82 of the 2010 Mineral Law (Amended and supplemented in 2018):

“2. Provincial People's Committees issue Mineral Exploration Licenses, Mineral Exploitation Licenses for common construction materials, peat, and minerals in areas with scattered and small-scale minerals that have been delimited and announced by the Ministry of Natural Resources and Environment; Mineral Exploitation Licenses.”

Thus, for provincial-level localities, the authority to grant mineral exploitation licenses has been specifically regulated. Provincial-level People's Committees only have the right to grant licenses for minerals used as common construction materials, peat, and small-scale, scattered minerals that have been delimited.

And at the same time, based on the actual situation, the competent state management agency has the right to extend, revoke, approve the return of the above-mentioned license; approve the return of part of the mineral exploitation area; approve the transfer of mineral exploitation rights.

+ Mineral exploitation rights auction:

In order to ensure publicity and transparency in granting mining licenses, the granting of mineral exploitation rights must ensure the principle of implementation on the basis of auction.

Mineral exploitation rights. Clause 1, Article 2, Decree No. 22/2012/ND-CP introduces the concept: “Mineral exploitation rights auction is a form of public sale of mineral exploitation rights by paying a high price according to the prescribed principles, order and procedures.”

First of all, based on the criteria of the Government delimiting areas not subject to auction, the competent state management agency is responsible for delimiting and announcing the exact area for auctioning mineral exploitation rights. The area for auctioning mineral exploitation rights is stipulated in Clause 1, Article 78, Law on Minerals 2010 (Amended and supplemented in 2018): “Auction of mineral exploitation rights shall be conducted in mineral exploitation activity areas, except for areas delimited by competent state agencies as areas not subject to auctioning mineral exploitation rights.”

Next, the Provincial People's Committee is responsible for carrying out the steps in accordance with the order and procedures prescribed in Decree No. 22/2012/ND-CP dated March 26, 2012, including: Preparing the auction invitation documents; receiving the auction documents; notifying and posting information about the auction; reviewing and selecting the application documents to participate in the auction and organizing the auction for mineral exploitation rights.

Finally, to protect the legitimate rights and interests of the auction participants, the results of the auction for mineral exploitation rights must be publicly announced at the headquarters of the agency receiving the auction documents and on the website of the competent licensing authority immediately after the end of the auction.

+ Management of mineral exploitation volume:

The volume of exploited minerals is the basis for determining the financial obligations of the mining entity such as taxes, fees, and mineral exploitation rights fees. The State manages the volume of minerals through financial regulations, ensuring the implementation of the principle of harmonious combination of interests. In Article 15, Circular No. 45/2016/TT-BTNMT stipulates the form of mineral activity results report, including periodic reports on mineral exploration results, periodic reports on mineral exploitation results, and reports on the state management of minerals within the province and centrally-run city. Accordingly, the Provincial People's Committee shall manage through declaration of exploited mineral output and management by invoice mechanism.

+ Collecting fees for granting mineral exploitation rights:

Originating from the regime of public ownership of minerals and the State's right to represent public ownership, after the State grants the right to exploit through

Whether by auction or not, organizations and individuals exploiting minerals must be responsible for paying fees for granting mineral exploitation rights.

Payment of mining rights fees is specifically regulated in Article 77 of the 2010 Mineral Law (Amended and supplemented in 2018):

“1. Organizations and individuals exploiting minerals must pay fees for granting mineral exploitation rights. The State collects fees for granting mineral exploitation rights through auction or without auction.

2. Mineral exploitation rights fees are determined based on price, reserves, mineral quality, type or group of minerals, and mineral exploitation conditions.

3. The Government shall specify the method of calculation and the level of collection of fees for granting mineral exploitation rights.”

Thus, the state manages budget revenue from mineral exploitation activities through the management of mineral exploitation rights grant fees. Accordingly, at the provincial level, the Department of Natural Resources and Environment will coordinate with the Tax Department to collect and manage the winning auction fees for mineral exploitation rights in the province.

- Develop and implement plans and mineral exploitation activities.

product

First, promulgate legal documents on planning strategies and plans.

mineral exploitation

At the provincial level, in addition to issuing legal documents, to manage mineral exploitation activities in accordance with planning and plans, the state must organize the implementation of appropriate policies and regulations. The provincial People's Committee issues planning and planning policies that must ensure proper authority, legality and suitability to local realities.

“a) Issue, under authority, documents guiding the implementation of State regulations on mineral management, protection and management of mineral activities in the locality;…

c) Develop plans for protection, exploration, exploitation and use of mineral resources in the provincial planning and submit them to competent authorities for approval;

d) Recognizing mineral reserve calculation indicators; approving mineral reserves; making statistics and inventorying mineral reserves under the licensing authority.”

Thus, the documents guiding the implementation of the law on planning and mineral exploitation plans both demonstrate the policy of encouraging mineral exploitation and ensure the goal of economical and reasonable mineral exploitation, protecting unexploited mineral resources.

At the same time, to ensure consistency and conformity between mineral exploitation planning and mining area infrastructure planning, the Provincial People's Committee must also have policies on investment in mining area infrastructure. Depending on the specific situation, provincial localities need to have policies requiring enterprises to be responsible for investing in mining area infrastructure such as roads for transporting raw materials, equipment, bridges connecting to traffic routes of the planned area. Planning mining area infrastructure helps to exploit mineral resources reasonably and effectively and protect unexploited minerals.

Second, develop annual plans and plans for mineral exploitation management.

product

Mineral exploitation activities provide raw materials for development.

local economic development. The Government's mineral exploitation planning and plans are the legal basis for the Provincial People's Committee to develop plans to support the exploitation of mineral mines in order to use resources effectively, for the right purposes and develop the mining industry sustainably; creating a premise for organizations and individuals to apply for mineral exploitation licenses. In planning management, it is necessary to clearly identify the demand for raw materials for each project, issue regulations, adjust and supplement mineral planning periodically, in accordance with the overall socio-economic development plan. At each period, the Provincial People's Committee plans to orient which types of minerals are potential, which types of minerals have high economic value, which minerals can be exported and how much the forecasted mineral resource reserves are in order to have a reasonable use plan, orient spatial development and develop related economic sectors.

According to Clause 1b, Article 49, Law on Minerals 2010 (Amended and supplemented in 2018), it is stipulated that: "The People's Committee at the provincial level approves mineral reserves within its licensing authority" . Thus, the People's Committee at the provincial level is authorized to approve the reserves of the following types of minerals: minerals used as common construction materials, peat;

Minerals in areas with scattered and small-scale minerals have been demarcated and announced by the Ministry of Natural Resources and Environment; minerals in the waste dump of a closed mine.

The planning of mineral exploitation activities of provinces and centrally run cities must comply with the following principles: Be consistent with the mineral strategy and mineral exploitation planning of the whole country; be consistent with the overall socio-economic development planning of the province; ensure reasonable, economical and effective mineral exploitation to serve current needs, while taking into account the development of science, technology and future mineral needs; protect the environment, natural landscapes, historical and cultural relics, scenic spots and other natural resources.

The basis for making plans related to mineral exploitation of localities includes: Master plan for socio-economic development of localities; Mineral strategy, mineral exploitation plan of the whole country; demand for minerals in the planning period; scientific and technological advances in the exploitation process; results of implementing the previous planning period.

The planning related to local mineral exploitation must have the following main contents: planning of industrial zones, reasonable distribution of residential system; planning of transportation network serving mineral exploitation; development of infrastructure and environmental protection plan, exploitation, use and protection of mineral resources. The Provincial People's Committee will synthesize policy solutions according to the development orientation goals of the mining industry in particular and socio-economic development in general to be achieved within a certain period of time.

Mineral exploitation plans are often integrated into the general socio-economic development plan and planning documents of the Natural Resources and Environment sector. Minerals are limited, non-renewable resources and because the state is the owner, they need to be planned and planned for effective exploitation, economical use and long-term protection of reserves when not yet exploited.

- Organizing the state management apparatus for mineral exploitation activities

The Law on Organization of the Government 2015 (Amended and supplemented in 2019) and related legal documents clearly stipulate the functions, tasks, powers and organizational structure of the state management apparatus for mineral exploitation activities at the central, provincial and district levels. Decentralization in the state management apparatus contributes to specialization to ensure that each level performs well the task of state management of mineral exploitation activities. In which, the Central Government performs macro-management

Model of mineral exploitation activities nationwide, at provincial and district levels, managing mineral exploitation activities within the local territory.

The model of provincial management apparatus can be summarized as follows: in the province there is the provincial Department of Natural Resources and Environment, in the districts there are district Departments of Natural Resources and Environment. The model of decentralization of State management of mineral exploitation activities is mentioned in Figure 1.1 (page 19). These agencies and units have the function of developing and promulgating documents guiding the implementation of the Law on Minerals, the Law on Environmental Protection and directive documents; promptly amending and supplementing the legal framework, contributing to enhancing the effectiveness and efficiency of management, protection of mineral resources and environmental protection.

- Conduct inspection and examination of mineral exploitation activities.

To improve the effectiveness of state management and protect the legitimate rights and interests of organizations and individuals, it is necessary to organize supervision, inspection and examination of mineral exploitation activities. Inspection and examination aim to observe mineral exploitation on a local scale, detect deviations from the requirements, find out the causes and from there have appropriate solutions to ensure that organizations and individuals self-regulate their exploitation activities to achieve the goals set by the People's Committees at all levels.

According to the provisions of Clause 2, Article 80 and Clause 1, Article 81 of the 2010 Law on Minerals (Amended and supplemented in 2018), the Provincial People's Committee and the Department of Natural Resources and Environment are responsible for inspecting, examining and handling violations of the law on minerals according to their authority.

Regardless of the field or scope, inspection, examination, supervision and handling of violations are important factors to ensure the effectiveness and efficiency of state management. In mineral exploitation at the district level, this activity is mainly carried out and handled by the Department of Natural Resources and Environment, the District Police and the People's Committees of communes and towns.

b. Criteria for evaluating state management of mineral exploitation in the province

There are many criteria for evaluating State management of mineral exploitation, however, some criteria can be identified as follows:

- Criteria for conformity of legal documents

State management of mineral exploitation will be highly effective if the legal documents issued are appropriate. The appropriateness of the legal documents issued is assessed through the following contents: the legal documents are issued by the correct authority, the legal documents have legal content, the legal documents have content suitable for practice. Appropriateness

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