Environmental protection tax on pollutant production

The Government’s report emphasises the need to issue the Law on Environmental Protection Tax to cope with the negative environmental impact caused by the current rapid socio-economic development, urbanisation and modernisation processes. Vietnam’s sustainable development is facing numerous challenges due to increasing pollution in the soil, water and air.

At present, Vietnam has not yet had a separate law on environmental protection to impose tax on commodities that cause environmental pollution. Usage and production in order to limit the production and consumption of these types of products has also been unaddressed previously.

The assessment report of the NA's Committee for Finance and Budget also agrees that a law on environmental protection tax is needed to create a synchronous legal framework. Committee agreed it would help to adjust behaviours that cause a negative impact on the environment and raise funds for environmental protection. This would assist in balancing economic development and sustainable development, as well as implementing international commitments.

The draft Law on Environmental Protection Tax consists of four chapters and 14 articles stipulating tax declaration, tax payment and tax refund on environmental protection. Tax payers include producers of coal, oil and gas, plastic bags, Hydrochlorofluorocarbons (HCFC solution), and pesticides that are limited to use in agricultural production.

The Government proposes that the law on environmental protection tax regulate a tariff table on the minimum and maximum of tax on environmental protection. With such a tariff table, it is expected to collect a tax revenue of at least VND14,300 billion/year, with a maximum figure of up to VND57,000 billion/year.

Current shortcomings in the revised Law on Inspection

Government Inspector General Tran Van Truyen pointed out some shortcomings in the Law on Inspection issued in 2004, saying the law has not clearly stipulated the role of inspection work in State management. During their performance, inspectorates have not taken the full responsibilities of their functions, obligations and rights, he added.

The revised Law on Inspection submitted to the current NA session aims to remove shortcomings in current regulations on functions, missions and rights of inspectorates, as well as the Government Inspectorate’s legal status to increase the effectiveness of inspection work. It includes five chapters and 65 articles.

Mr Truyen delivered a report reviewing five years of implementing the Law on Inspection issued in 2004. According to the report, in the past five years, inspection work focused on economic, financial, and socio-cultural sectors, as well as national defence and security. In 2009, inspectorates detected violations in 829 organisations and 3,186 individuals.

The revised Law on Minerals needs to clarify ownership

NA deputies heard a report presented by Minister of Environment and Natural Resources Pham Khoi Nguyen, regarding regulations on the management, protection and investigation of mineral natural resources and mineral-related issues in Vietnam.

The draft law on minerals (revised) has 43 revised articles and 53 new articles, asserting the State has the representative ownership of mineral natural resources. The draft law also regulates mineral exploration and exploitation activities, as well as the State management of minerals.