Authorities in the northern province of Quang Ninh have pledged to take action against increased illegal coal mining and smuggling in the province, including alleged criminal gang activity.

 

In a meeting with the Central Steering Committee on Preventing Corruption last week, provincial leaders vowed to crack down on groups or individuals found to be engaged in illegally exploitation, smuggling or processing of coal in the province.

Businesses found in violation would have their licences revoked and be banned from doing further business in the province, they said.

Ports in the area would be targeted for inspection, and those found in violation would have their operations shut down.

The province is home to dozens of private coal trading companies that purchase coal from competing criminal gangs in an effort to corner the local market.

Illegally-mined coal is generally transported at night along National High-way 18A from Mao Khe to Ben Can Port in Dong Trieu District and from Mong Duong to Cam Y Port in the town of Cam Pha.

The coast guard said they seized over 100 vessels during April 8-10 carrying 100,000 tonnes of coal and ore of various kinds without certificates of origin, following patrols around Mong Cai and the waters between Quang Ninh and China.

Restricting coal exports

Under a decision of the Prime Minister exports of coal to China will be limited to large-scale operators only, as of June 1, in an effort to limit Illegal exports and smuggling.

Vinacomin chairman Doan Van Kien passed the decision to all companies under the Vinacomin banner last week. Export contracts already signed will be renegotiated with authorised traders.

Local police said they had also discovered 92 illegal coal mines in the province and had impounded over 5,400 tonnes of coal worth VND1.6bil (US$100,000).

According to provincial police, total confiscated coal has been valued at VND100bil ($6.2mil).

Provincial party committee secretary Nguyen Duy Hung attributed the increased illegal coal mining and smuggling to the high price of coal and lax enforcement by local authorities, as well as a regulation putting quotas on coal exports to China.

The volume of coal illegally sold to China is estimated to reach more than 10mil tonnes annually, causing losses of VND4.5tril ($281.25mil) to State coffers.

The Viet Nam National Coal and Mineral Industries Group (Vinacomin) has authorised nine companies to carry out limited export of coal to China.

(Source: Viet Nam News)