Vietnam feasibility study - EITI

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fines. These contents are guided in details in the ordinance on dealing with administrative violations
and guiding documents.
4. deposits for environmental recovery and rehabilitation
According to the Law on Minerals, entities and individuals that are allowed to engage in mineral activities
are required to perform their responsibilities for recovering and rehabilitating the environment once
completed each exploitation phase or the entire mineral activities. They are also liable for any costs of
environmental and land protection and rehabilitation. The expenses on protection and rehabilitation
of the environment and land must be determined in the environmental impact assessment report
and feasibility study report on the mineral exploitation, processing or mineral exploration project.
The entities and individuals that are allowed to engage in mineral exploitation are required to deposit
funds either at a Vietnamese or foreign bank that is authorized to operate in Vietnam as a guarantee
for the environmental recovery and rehabilitation.
An enterprise is entitled to draw cash from the Environmental Fund for serving environmental
recovery and rehabilitation under the approval of the provincial or central Environmental Fund, where
the enterprise registers its deposit. The deposit for environmental recovery and rehabilitation mining
activities is regulated by Decision No. 71/2008/QD-TTg dated 28 May 2008.
5. social responsibility
The Law on Minerals (1996) and Decision No. 219/1999/QD-TTg about the policy on the rights for
protection of the local people where the minerals are exploited and processed and the protection
of under-exploited mineral resources mentions support to localities where mining activities occur.
However, the social responsibility of the mining company is neither specified nor required. This
responsibility is performed through one of two methods:
• (Local) competent state agencies determine requirements for responsibilities of the enterprises
upon their application for mineral exploration and exploitation licenses. If obtaining licenses,
enterprises must perform their responsibility in line with local requirements (such as labor
training, contributing to the construction of public works or local culture); and
• In the application file for licenses, enterprises must commit to performing their responsibility to
the locality upon obtaining permission to realize mineral exploitation projects.
Financial liabilities of company in mining activities are illustrated in Figure 1 below:
The Extractive Industries Transparency Initiative and the Implementation Perspective of Vietnam