Mining: India
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District Mineral Foundation (DMF)
2017: Corpus swells
The District Mineral Foundation (DMF) instituted in 2015 under the Mines and Minerals Act with the aim of giving mining affected people in India a share of the monetary benefits from mining has collected a whopping Rs 5,800 crore, according to an assessment by the Centre for Science and Environment (CSE).The assessment says DMF has the potential to pull the poorest districts out of poverty through financing development projects and essential services.
The collected amount is not from all the mining districts so the potential corpus can be higher, CSE experts said. DMF is yet to be rolled out in states like Tamil Nadu and UP. Odisha, Jharkhand and Chhattisgarh alone account about 70% of total money deposited in DMFs.
“DMF is a defining opportunity to overturn the decades of injustice meted out to the thousands living in deep poverty in India's mining districts,“ said CSE deputy direc tor general Chandra Bhushan.The corpus is collected from miners and mining corporations as a part of the royalty .For example, for major minerals (like coal, iron ore and bauxite) 10% of the royalty is paid to the state government for leases granted on or after January 12, 2015, and 30% of royalty for leases before that.
In some large mining districts like Yavatmal in Maharashtra, Guntur in AP, and Khamman, Adilabad and Karimnagar in Telangana, DMF collection has been much less than estimated. Of the 50 districts surveyed by CSE, 24 indicated their DMF plans are ready . However, actual plans were available from only 17.CSE has, however. found that plans of utilising DMF amount in many districts is either “adhoc“ or “short-sighted.“
2018: projects sanctioned; DMF’s corpus
From: July 12, 2019: The Times of India
See graphic:
The number of mining projects sanctioned, state-wise, and the DMF’s corpus, presumably as in 2018.
Illegal mining
Non-uniform laws have abetted illegal mining
The Times of India 2013/08/12
What are known as major and minor minerals?
In India, minerals are typically classified into major and minor on the basis of their end use. Minerals mostly used locally for local purposes are categorized as minor while the others are major. Most minor minerals like boulders, gravel, ordinary sand, limeshell, kankar etc are used in construction. Minerals like coal, lignite, iron, bauxite, lead, copper etc are categorised as major minerals.
Can a minor mineral be treated as a major one in certain conditions?
Since the Mines and Minerals (Development and Regulation) act, 1957 classifies minerals as major or minor on the basis of the end use, certain minor minerals could be treated as major minerals for regulatory purposes. For example, ordinary sand is treated as a major mineral if it is used in coal mining, manufacturing of ceramics, optical industry and so on. Similarly, limestone extracted for use in iron and steel, cement manufacturing or for paper and chemical industry is treated as a major mineral. On the other hand, dolomite (a carbonate mineral composed of calcium magnesium carbonate), typically a major mineral, is treated as minor if it is used in buildings or for road construction.
How is the mining of major and minor minerals regulated?
According to the Mines and Minerals (Development and Regulation) Act, state governments are empowered to take decisions regarding all mining activities in minor minerals, including sand. Although there are certain restrictions, like the state shall not enhance the rate of royalty of these minerals more than once during any period of three years, major decisions regarding permission for mining and realization of royalty are state subjects. For major minerals, it’s the central government that notifies the rates of royalties. For these minerals, the central government reserves the right to direct premature termination of mining lease for reasons like preservation of the environment, prevention of pollution, preservation of monuments etc.
Why is illegal mining of minor minerals so rampant?
State governments are empowered to make rules for fixing collection and enhancement of rate of royalty and dead rent of minor minerals. These rules are not uniform and differ from state to state. The power to prevent illegal mining, transportation and storage of minor minerals is also under the jurisdiction of the state government. As a result, there is no centrally maintained database of complaints against illegal mining of these minerals. The ongoing construction boom has accelerated the demand for these minerals and the confusion caused by the non-uniformity of laws as well as the lack of a central list of proclaimed offenders has helped the mining mafia in illegally extracting these minerals. Obviously, the cost differential between legal mining and illegal mining also makes the latter lucrative, while the nexus often found between politicians, bureaucrats and illegal miners often makes it unlikely for action to be taken against them.
What has the government done to stop illegal mining of minor minerals?
In 2009, the ministry of environment & forests (MoEF) constituted a group under the chairmanship of the secretary (environment & forests) to look into the environmental aspects associated with mining of minor minerals. In 2010, the group submitted its report and made several recommendations relating to definition of minor minerals, size of mine lease, period of mine lease, cluster of mine approach for small-sized mines, requirement of mine plan for minor minerals, river bed mining etc. MoEF has asked the states to examine the report and to issue necessary instructions for incorporating the recommendations made in the report. In February last year, the Supreme Court has also ordered that state and UT governments should take immediate steps to frame necessary rules considering the recommendations ofthe group.
Bans, restrictions
2017: Blanket ban in Uttarakhand
Vineet Upadhyay, HC orders complete mining ban in U'khand, Mar 29, 2017: The Times of India
Ordering a “complete ban“ on all mining activities in the state for four months, the Uttarakhand high court directed the state government to constitute a high-powered committee to look into various aspects of mining activities and find out whether mining activity should be permitted in the state at all. The panel will also prepare a 50-year blueprint taking into consideration environment limits visa-vis mining operations.
Hearing a PIL on illegal mining in Bageshwar district, the HC bench stated: “The high-powered panel is directed to submit an interim report within four months on whether the ongoing mining operations can be permitted or are required to be stopped. Till then, there shall be a complete ban on mining activities, including in forest areas, rivers, rivulets and streams.“ The order, by a bench of jus tices Rajiv Sharma and Sudhanshu Dhulia, came days after a forest official was mowed down allegedly by goons of mining mafia, sending shock wave in the state.
The bench said, “The Shivalik region of the Himalayas is further getting fragile by mining activities. Mining activities are required to be regulated by the state to ensure that no illegal mining is carried out.It is also arbitrary on the part of the state to permit mining in the fragile areas. The mining activities are required to be carried out as per law. The state government is directed not to grant any fresh licence mining leasereconnaissance or prospecting licence, in any form till the final report is furnished by the high powered committee to this court.“
Observing that “the man himself is responsible for producing conditions that cause natural hazards to happen through his mindless deeds“, the court further directed the government to “take every possible measure, including the registration of first information report against the persons who are involved in illegal mining.“ The bench also directed the government to be “kept in abeyance“ the lease granted in favour of private respondents till the above reports are submitted. The petitioner, Navin Chandra Pant, claimed that the mining have caused threat to schools and residential houses and was being carried out within the radius of 20-metre from the residential houses.
SC stays Uttarakhand HC order banning mining
GREEN ISSUE - SC stays Uttarakhand HC order banning mining, April 11, 2017: The Times of India
The Supreme Court stayed a March 28 order of the Uttarakhand high court, which had put a four-month ban on mining in the state saying no fresh lease or prospective licence could be issued during this period.
After hearing senior advocate Nidesh Gupta challenging the decision on the ground that it put to naught the existing mining policy and laws while affecting business of mining lease holders, a bench headed by Chief Justice J S Khehar ordered a stay on the HC decision. The petitioners pointed out that National Green Tribunal had been dealing with sand mining on the Ganga ri ver bed and had allowed mining subject to stringent conditions. “When the specialised body has already examined the matter and issued directions, the HC was not justified in imposing a blanket ban on mining on the river bed,“ they said. The HC had ordered the constitution of a committee which would find out whether mining should be permitted at all and would chart out suggestions for the next five decades. The court had ordered Rs 50 lakh be released for the committee's expenses.
Small-scale mining
2021: India employs most people
From: February 9, 2022: The Times of India
See graphic:
People working in Small-scale mines in India, China and the world, presumably as in 2021
See also
Mining: India
