DISTINCTIVE FEATURES OF STATE REGULATION OF MINING INDUSTRY IN THE CONTEXT OF ISSUING PERMITS

Abstract

Armenia is rich in various minerals, and the industrial development of mines has been carried out in the country for two centuries. The expansion and tightening of state control in recent years indicates that the mining sector is now, more than ever, given a special attention by the state. Therefore, the RA government, among other fields, has made the correct management methodology of the sphere a priority issue. The goal set can be achieved by rational, complex and civilized extraction of resources, as well as high efficiency of work organization, while simultaneously maintaining the principle of minimizing the damage to the environment and contributing to the socio-economic development of the country. Based on the abovementioned, the effective regulation system of the subsoil use sector is particularly important. That is why, the state has adopted laws and legislative acts in line with international best practices. However, despite this fact, the sector still suffers due to certain uncertainties between the regulations, which is a basis to review and complete the issues hindering the development of the sector.

The RA mining sector is regulated by tax and non-tax rates, which are subsoil use fees, taxes, customs fees, the rent paid to local self-government bodies and state water usage fee. In their turn, subsoil use fees are: environmental protection funding replenishment (recultivation) fee, monitoring fee, natural use fees, including royalties, and the subsoil use the permit preparation fee.

In this work, the peculiarities of the state regulation of the mining industry in Republic of Armenia in the context of granting permits are reflected. The problems existing in the mentioned process are studied, certain recommendations are given to overcome them.