Base metals royalties and Tara Mines
The Minister reported £260,000 in base-metal royalties for 1977, but said differing company accounting years made combined profits unavailable; royalties generally ranged from 4 to 10 per cent. He said Tara Mines owed no royalties that year because production began in June, and could not provide figures for ore extracted or export value. Dr. Browne criticised the State’s return and the Minister’s lack of information.
asked the Minister for Industry, Commerce and Energy the total State revenue from royalties on base metals in the last financial year for which figures are available; and the percentage this represents of the total profits originating in Ireland of the private companies paying the royalties.
Comment on this
In the year ending 31 December 1977 a total of £260,000 was paid in royalties to the State by companies operating base metal mines under State mining leases.
Due to the fact that different accounting years are used by the companies concerned when preparing their annual accounts it is not possible to say what the combined profits of the companies were in that year or in any other 12 month period. I am not in a position therefore to furnish the information sought in the second part of the Deputy's question.
As a general guide, however, royalties are levied in a range between 4 per cent and 10 per cent of annual profits. Details of the rates or scales applicable are given in the statutory returns tabled in the House.
Comment on this
Would the Minister agree this is an absurdly miniscule figure to be getting as a State take out of one of the largest base metal mines in Europe?
Comment on this
In the light of the fact that, when in Opposition, the present Government took the view that royalties on the ore extracted should be taken rather than profits, would the Minister reconsider his policy at least in regard to Tara Mines?
Comment on this
As far as Tara Mines are concerned, no royalties were payable in 1977. Production did not commence until June 1977.
Comment on this
Could the Minister give any indication of the amount of ore extracted and the value of the exports since that time?
Comment on this
Would the Minister not agree that his vagueness about the facts in relation to this most precious and valuable property in the State and his lack of information show a completely irresponsible attitude in the light of a situation in which we say we are a poor country and cannot afford a great many things while, in fact, we could be one of the wealthiest countries if we availed of the wealth from this and other mines?