Fee

1. The environmental protection fee on the extraction of crude oil: 100,000 VND/ton. That on the extraction of natural gas or coal gas: 50 VND/ m3. Particularly, the environmental protection fee on natural gas obtained in the process of extraction of crude oil (associated gas): 35 VND/ m3.

2. The environmental protection fees on other mineral extraction activities are regulated in the Fee Schedule enclosed to this Decree.

3. The environmental protection fee on the full exploitation of a type of mineral is equal to 60% of that on the extraction of such type of mineral laid down in the Fee Schedule enclosed to this Decree.

4. Based on fees specified in the Fee Schedule enclosed to this Decree, each People’s Council of province/centrally-run city (hereinafter referred to as Provincial-level People’s Council) shall decide environmental protection fees on the extraction of each type of mineral to apply in that province in conformity with local realities in each specified period.

Article 5. Calculation method

1. The environmental protection fee on mineral extraction payable within a period shall be calculated by applying the following formula:

F = [(Q1 x f1) + (Q2 x f2)] x K

Where:

– F means the environmental protection fee payable in the period;

– Q1 means the volume of soil/stone excavated in the calculation period (m3);

– Q2 means the volume of crude ores extracted in the period (tons or m3);

– f1 means the fee imposed on the volume of excavated soil/ stone: 200 VND/m3;

– f2 means the environmental protection fee on type of extracted mineral (VND/ton or VND/m3);

– K means the fee calculation coefficient by mining technique, in which:

+ Open-cast mining (including hydraulic mining such as mining of titan, sand or gravel from riverbeds): K = 1.1;

+ Underground mining and other mining techniques (extraction of crude oil, natural gas, natural mineral water and other cases): K = 1.

2. The volume of soil/ stone excavated in the process of coal mining shall not be subject to the fee payment until the end of 2017.

3. The volume of soil/stone excavated (Q1) in the fee calculation period shall be determined on the basis of mining projects-related documents given approval by competent state agencies or environmental impact assessment reports and relevant documents given approval by competent state agencies.

The fee payable on the volume of excavated soil/ stone arising during the fee calculation period is determined according to the volume of excavated soil/ stone (tons or m3) calculated on the weight of crude ores extracted during the period.

In case there is no information about the volume of excavated soil/ stone specified in the mining projects-related documents, or environmental impact assessment reports, or relevant documents, the declaration and payment of fee shall be based on the volume of soil/ stone actually excavated in the period.

4. The volume of minerals extracted in the period for calculating the environmental protection fee payable is the volume of minerals actually extracted from crude ores in the fee calculation period (Q2). If extracted minerals must be screened, sorted, classified or enriched before they are sold out and in other cases which require the conversion of the volume of extracted minerals, the Provincial Department of Natural Resources and Environment shall, based on local conditions for mineral extraction and processing technology, take charge and coordinate with the Provincial Department of Taxation in requesting the Provincial-level People’s Committee to make decision on the conversion rate from the volume of finished mineral products into the volume of crude minerals to use as the basis for calculating the environmental protection fee on each type of mineral in conformity with the local reality.

5. If there are other minerals which are licensed to be extracted are obtained from mining activities, the payer must pay the environmental protection fee on the mineral ores (Q2) according to the prescribed fee on the type of mineral which has been extracted as permitted by a competent state agency.

6. The fees regulated in Point 2 Section II of the Fee Schedule enclosed to this Decree shall be imposed on the extraction of block of stone for fine arts.

7. The extraction of minerals on the land area under the use right of a household or individual for use as normal building materials to build a work on that land area and the extraction of soil/ stone for leveling or construction of security and military works or serving the prevention and mitigation of the effects of natural disasters are not subject to the payment of environmental protection fees.