Economic & Industrial

Mining business environment improves by reviewing mining laws / Economic operators need to be stable at least 10 years ahead to formulate production plans

Mining business environment improves by reviewing mining laws / Economic operators need to be stable at least 10 years ahead to formulate production plans
Mining News Pro - Private sector organizations, in terms of beneficiaries and engagement with the rules of the business environment, can take advantage of all the capacities of the bachelor to formulate and monitor the regulations with the help of the legislative and executive branch.
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According to Mining News Pro - Bahram Shakouri, head of the Mining and Mining Commission of the Iranian Chamber of Commerce, said: Considering that one of the important components in improving the business environment is the quality of laws and regulations based on these rules, the continuous refinement of the rules through the creation of Transparency and efficiency play a significant role in realizing this. In this regard, private sector organizations, in terms of beneficiaries and engagement with the rules of the business environment, can take advantage of all the capacity of the bachelor to formulate and monitor the rules with the help of the legislative and executive branch.

He added that the laws and regulations that need to be revised and reformed to improve the business environment are mining laws. For example, one of the biggest differences in the law of mines in Iran with other mineral states of the world is in the state of those laws. In fact, the law of mines has been statutory in most countries of the world, such as Brazil, Indonesia and South Africa, and are drawn up according to the needs of each state, but in Iran, mineral legislation is under the jurisdiction of the central government, which sometimes does not meet the requirements of different provinces and can provide security. Endangers investment. Also, obtaining various mineral permits, which requires the recourse to various organizations and the cost of which is spent, is one of the other obstacles to the development of this important economic sector.

Shakri added: Even the ambiguity in mineral legislation has made investors even uncertain about the future planning of their business, and therefore decide to withdraw capital from this area. In other words, economic operators need to stabilize the status of the laws and conditions for at least the next ten years in order to develop a cost-effective production program and to continue their business. While, for example, Article 14 of the Mine Law is confused with regard to the rights of the state and how it is determined in the law. In the said law, it has been mentioned that a percentage of the price of the mineral shall be paid as a state fee. However, due to the lack of legal clarity in the law, the government changes this percentage deliberately, and sees this change as legal, while Mozhganar considers it to be out of line with its own revenue and income. For example, in recent years, the change in the interest rate and government salaries at a time when the global market for many minerals has fallen has led many private mines to lose their economic justification and shut down. Also, the volatility of this rate challenged investment security in the mining sector.

The chairman of the Mining and Mining Commission of the Iranian Chamber of Commerce stated: In other words, in Article 14 of the current Mines Act, only the word "percent" is sufficient, without the amount being specified. In addition to these problems, it is desirable that any law in relation to the previous law should have the innovations and parameters appropriate to the needs of today`s world and the progress of the industry. Also in paragraphs b. And c. Note 3 of Article 12 of the Mines Act, which deals with the functions of the High Council of Mines, "Determine, modify and modify the quantity and quality of mineral resources and reduce or increase the utilization ranges in proportion to the amount of storage and extraction" and "Determine and determine the major mines and methods of exploitation It says that it is in the hands of the High Council of Mines, which contradicts the security of investment. However, despite the fact that Clause B The Note is somehow amended in the Enforcement Code, but the basis of the investor is often the law rather than the Rules.

"Among the materials of the Mining Law, Article 31, with its support approach, has a special role in restoring the role of mining in the economy of the country. Considering that in this article the law of the state is obliged to pay all or part of the possible damage caused by the failure to discover the mineral and existing investments in the investment fund of mineral resources, so it is desirable, by expanding the scope of the duties of this organization, as much as possible To support the activists and investors in this area. For example, among other things, which will boost the fund, it will create a ground for obtaining financial support from the National Development Fund and other domestic and foreign financial and credit institutions, as undoubtedly increasing the funds of the fund and facilitating the receipt of credits directly to Realizing the sustainable development and supporting the production chain in the mining sector will be. Also, the addition of clauses to raise the value of insurance policies issued to ensure repayment of debt for holders of mining activities and the granting of facilities at lower rates by the central bank will help the development of mines by introducing an investment fund for mineral activities to activists in this area.

Shakuri said: In addition to Note 1 of this article, the government is obliged to provide a maximum of 5 percent of the state salary received under article 14 of the same law in order to support the activities of the investment insurance fund for mineral activities, so that it can be reviewed by reviewing the laws And increasing the rate of 5% mentioned in the above Note, expanded the scope of the fund`s support.

Given that the goal of each investor in each area is nothing but gaining profit, considering the current problems of the economy, such as the high rate of dependence of the cost of starting and maintaining a business at a price of the dollar, is feared due to the legal vacuum and As a result of tangible encounters with the activists in this area, we are faced with a gap in investment in this sector. In other words, mining activities due to heavy costs, long-term returns and high risk returns, especially in the exploration stages, are not very cautious to investors, and now the reluctance of expensive production costs more than threatens this area; The legislature and the executive must understand the status of the process of production, in order to preserve the profit margins of investors and not to create an investment gap, to enrich the laws by reviewing it in order to protect investors and in accordance with the needs of today, and in this regard, from the experience And comments on the work Media benefit the private sector. In the context of realizing as soon as possible the improvement of the business environment and the reform of the mining law, the Mining and Mining Commission of the Iranian Chamber of Commerce, during numerous meetings and meetings with the representatives of the Parliamentary Research Center, Ministry of Health, Iran Mining Engineering System, unions, associations and trade associations, The proposed amendments were completed by the Special Committee on Mine with over 400 hours of study on the comparison of some parameters of the mines law of Iran and other mineral states, and hopes to reach final approval in cooperation with the legislative and the Ministry of Industry, Mining and Commerce. The field of facilitating the business of the minerals is as much as possible Provide more.


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