Circular No. 04/2007/TT-BCT guiding conditions for coal business

CIRCULAR

Guidelines for coal business conditions

Pursuant to Resolution No. 01/2007/QH12 dated July 31, 2007 of the National Assembly of the Socialist Republic of Vietnam, the first session of the XIIth term, concerning the organizational structure of the Government and the number of Deputy Prime Ministers for the XIIth term;

Pursuant to Decree No. 86/2002/NĐ-CP dated November 5, 2002 of the Government on the functions, tasks, powers, and organizational structure of Ministries and ministerial-level agencies;

Pursuant to Decree No. 59/2006/NĐ-CP dated June 12, 2006, of the Government detailing the Law on Commerce regarding goods and services prohibited from trade, restricted trade, and conditional trade;

The Ministry of Industry and Trade issues guidelines for coal business conditions as follows:

This technical regulation sets out technical requirements, testing methods, sampling procedures; management requirements; responsibilities of organizations and individuals producing, trading, and importing cigarettes.

1. Scope of Application

This Circular applies to business entities that are traders as defined in point b, Clause 1, Article 7 of Decree No. 59/2006/NĐ-CP dated June 12, 2006 of the Government detailing the Law on Trade regarding prohibited goods and services, restricted goods and services, and goods and services subject to conditional business; engaging in coal business activities within the territory of Vietnam, including domestic trade, export, import, transportation, storage, and agency.

2. Explanation of terms

a) “"Coal" is a commodity subject to conditional business as stipulated in Article 7 of Decree No. 59/2006/NĐ-CP dated June 12, 2006 of the Government detailing the Law on Trade regarding prohibited goods and services, restricted goods and services, and goods and services subject to conditional business, encompassing all types of fossil coal and coal of fossil origin in their raw or processed forms.

b) “"Legally sourced coal" is coal extracted and processed by organizations and individuals holding mining permits, mining recovery permits, and coal processing permits issued by competent state authorities according to the provisions of the 1996 Minerals Law and the 2005 Law Amending and Supplementing Certain Provisions of the 1996 Minerals Law and related guiding documents; legally imported coal; confiscated coal due to illegal acts and sold through public auctions as prescribed by law.

II. CONDITIONS FOR COAL BUSINESS

Traders engaged in coal business must meet the conditions specified in points b, c, and d, Clause 1, Article 7 of Decree No. 59/2006/NĐ-CP dated June 12, 2006 of the Government detailing the Law on Trade regarding prohibited goods and services, restricted goods and services, and goods and services subject to conditional business, specifically as follows:

1. Possess a business registration certificate issued by the competent authority in accordance with the law on business registration.

2. Own or lease business premises, transportation means, loading and unloading equipment, warehouses, wharfs, weighing and measuring equipment for coal to serve business purposes, ensuring technical requirements, safety conditions, environmental protection, and fire prevention and extinguishing as prescribed by current state regulations:

- Transportation means must be equipped with shielding to prevent dust, spillage, and ensure environmental protection requirements when participating in traffic.

- Wharf and coal loading and unloading locations must comply with local port planning; have temporary coal storage facilities; have loading and unloading equipment onto transportation means to ensure safety; have environmental protection measures.

- Coal storage facilities, stations, and retail outlets must have separate compartments for different types of coal; their locations must comply with local construction planning, ensuring environmental protection, hygiene, and traffic safety requirements as prescribed by law. For self-combustible coal, there must be fire prevention and extinguishing measures and equipment approved by the local fire prevention and extinguishing authority.

3. Management staff, technical staff, and direct sales personnel, as well as direct service providers in the coal business, must possess the required professional qualifications, expertise, and health status as stipulated by law.

4. Traders may only engage in the business of legally sourced coal as defined in point b, Clause 2, Section I of this Circular.

5. For coal export activities, in addition to meeting the conditions stipulated in this Circular, traders must comply with the provisions of Circular No. 05/2007/TT-BCT dated October 22, 2007 of the Ministry of Industry and Trade guiding coal exports.

III. VIOLATION HANDLING

1. During the course of coal business operations, traders must comply with the provisions of this Circular and relevant laws. In case of violations, traders will be subject to administrative penalties according to the severity and nature of the violation as prescribed by law.

2. Traders engaging in coal business without legal sources will be subject to administrative penalties as stipulated in point 3, Clause 4, Article 1 of Decree No. 77/2007/NĐ-CP dated May 10, 2007 of the Government amending and supplementing certain provisions of Decree No. 150/2004/NĐ-CP dated July 29, 2004 of the Government on administrative penalties in the field of minerals.

3. State officials exploiting their positions and powers to violate the business conditions for coal as stipulated in this Circular will be subject to disciplinary action, administrative penalties, or criminal prosecution according to the severity and nature of the violation as prescribed by law.

IV. IMPLEMENTATION

1. This Circular takes effect fifteen days from the date of publication in the Official Gazette and replaces Circular No. 02/1999/TT-BCN dated June 14, 1999 of the Ministry of Industry guiding coal mine business conditions.

2. The Ministry of Industry and Trade shall take the lead and coordinate with relevant ministries, sectors, and localities to periodically inspect compliance with the coal business conditions as stipulated in this Circular.

3. When traders engaged in coal business exhibit signs of violating the provisions of this Circular, the People's Committee of the province or centrally-administered city where the trader operates shall be responsible for directing competent agencies to promptly inspect, rectify, and handle such violations.

4. During the implementation of this Circular, if there are any difficulties, traders or related organizations and individuals should promptly report in writing to the Ministry of Industry and Trade for consideration and resolution./.