Dáil Éireann Debate, Tuesday - 18 September 2012
948. Deputy Pearse Doherty asked the Minister for Communications; Energy and Natural Resources the steps being taken to increase non-revenue income for the State, specifically with regards to payments related to natural resources. [39207/12]
Amharc ar fhreagraOther than income from taxation and royalty payments, the principal income derived from petroleum exploration and production activities results from licence acreage rental fees, together with application fees. The aim of these fees is to encourage effective and timely exploration and to also help meet costs incurred by the Department in discharging its regulatory functions.
Receipts for non-petroleum minerals exploration licences issued by the Minister are determined under Statutory Instrument. Financial terms for State Mining Leases and Licences are negotiated on a case-by case basis having regard to the economics of the deposit assessed by the projected return on investment; royalty rates applying internationally; the need to continue to attract international exploration funding; the expectations of the State as mineral owners and the developer achieving a fair return depending on economic circumstances and recognising the need to allow for the many exploration failures. Such terms are dependent on and will only be obtained on discovery and development of commercial mineral deposits.
