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How the NDA Diluted Tribal Rights to 'Save' Mining Companies From Losing Mines to Fresh Auction -Nitin Sethi

-TheWire.in

Data compiled by the mines ministry notes several thousand hectares of mineable area has potentially been prevented from being auctioned, saving the companies that own them money and costing the exchequer in terms of revenue foregone.

New Delhi:
The Narendra Modi government changed regulations meant for protection of tribal rights, forests and environment in order to ensure that more than 130 mines do not face fresh auctions and are instead retained by existing miners.

The changes were made to several regulations in a coordinated manner by the environment ministry, the tribal affairs ministry and the mines ministry over a period of more than one year, documents show.

The NDA government had passed an amendment to the Mines and Mineral Development and Regulation Act, 2015 in order to facilitate auctioning of mines that would generate revenue for the state exchequer.

Earlier, mines were merely allocated denying a higher accrual of value to the state coffers from the exploitation of natural resources by mining companies. But even in the amended law, the government created an exception. Under section 10(2) of the amended law, it provided that anybody who had already got a license to prospect or to carryout reconnaissance and had begun operations would get the mining license too.

The miner had to make sure that it had met all the requisite permissions within two years of the amended MMDR Act – by January 12, 2017. The mines ministry calculated in October 2016 that about 317 mines across 12 states could potentially be ‘saved’ from auction under this exceptional provision. Of these, the ministry observed, 97 mine owners had not taken any action to process their licenses and stood to be rejected and 138 were requiring environment, forests and tribal clearances.

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