Tendersinfo keep you informed about the latest events in the national and international Procurement Industry. Procurement News provides in-depth coverage of the procurement industry, including contract awards, contract additions, new contract wins, mergers and acquisitions. Tendersinfo through its tender news section provides an update on all domestic and global tendering opportunities, invitation to bid & trade leads.
India : Ministry of Mines Holds Consultations on Mineral Auction Rules with States to Augment Mineral Production and Auctioning of New Mine Blocks by the States
Publish Date : 24-Apr-2015
The Secretary Mines Dr. Anup K. Pujari has asked the states to establish the District Mineral Foundations (DMF) quickly bringing notifications for these non-profit trusts as specifically provided in the Mines and Minerals (Development and Regulation) Amendment Act, 2015. State Governments were urged to decide on the composition and functions of the DMF and to make rules to make them functional and work for the interest and benefit of the persons and areas affected by mining related operations. Dr. Pujari chaired the meeting called for consultations on the Draft Mineral (Auction) Rules 2015 with States to augment Mineral Production and Auctioning of New Mine Blocks by States, in New Delhi today. The Consultations were also held with the states on the draft National Mineral Exploration Trust Rules, 2015 and the Mineral (Mining by Government Company) Rules, 2015 and other issues of starting production of minerals from existing mines whose 2nd and subsequent leases have been extended to maintain continuity in production. The Secretary Mines Dr. Anup K. Pujari also discussed with senior officers from states other issues related with the preparedness of the states for notification of the new blocks for auction once the Draft Mineral (Auction) Rules 2015 are notified by the states. Dr. Pujari asked the states to create an environment of “Ease of Business” in the states to enhance the production of Minerals in order to contribute towards growth of the Industrial production and growth of GDP in the country.
The Mines and Minerals (Development and Regulation) (MMDR) Amendment Act, 2015 has been notified on 27th March, 2015 to amend the MMDR Act, 1957.
The Amendment removes discretion in the grant of mineral concessions. Henceforth, all mineral concessions will be granted by the respective State Governments only through auctions, which will bring greater transparency and remove discretion in allocation of mineral resources. In this process, the Government will get increased share of revenue from the mining sector. Unlike in the 1957 Act, there would be no renewal of any mineral concession. The tenure of mineral concessions has been increased to 50 years compared to the earlier provisions of 30 years. Thereafter, all Mining Lease would be put up for auction (and not for renewal as in the earlier system).
The Meeting was attended by the Additional Secretary Ministry of Mines Shri R. Sridharan, Joint Secretaries Ministry of Mines Shri Arun Kumar, Shri Niranjan Kumar Singh, Shri Naresh Kumar and senior officers of other central ministries and the Principal Secretaries of Mines from various States.
