Finland: Environment minister wants to tax mining operations

Minister of the Environment Ville Niinistö, who has been actively commenting Talvivaara Mining company (OMX: TLV1V, LSE:TALV) misdeeds, said in a Green League release today that Finnish government should start taxing mining companies. The tax base could be their environmental impact or the generated revenue. The party blames international mining companies and claims that they just take the profit and leave the locals with an environment in ruins.

While Niinistö clearly lacks substance knowledge on the matter, his views seem to be gaining wider support as the local media is highlighting environmental concerns not only with Talvivaara, but also with Laiva Mine and other projects under considerations. Other governing parties do not seem to share his passion in the matter and even Green League is now shying away from demanding a complete ban on mining as the industry is seen as becoming ever more important in otherwise deserting regions in Eastern and Northern Finland.

The biggest fears for Mining & Exploration companies that prevent them from investing are concerns over changes in political environment including such new tax propositions and in extreme cases even asset grabs like the worrisome example in Argentina this week. Currently Finnish legislation is very friendly for mining companies.