The National Democratic Alliance (NDA) government, since coming to power in 2014, has proactively pushed for increased involvement of the private sector in mining. Following the Coalgate scam under the previous government and the first come, first served (FCFS) policy of granting mining licences falling into disrepute, the current government pushed for an open auction process to grant mining licences. Further, policy and legislative measures strive to build momentum towards a favourable environment for private investment. The union government has already approved 100% foreign direct investment (FDI) through automatic route, in commercial coal mining, and mining of other minerals. The 2015 Mines and Minerals (Development and Regulation) (MMDR) Amendment Act further paved the way for this major shift in control and exploitation of mineral resources. While claiming to usher in a new era of transparency, it drastically altered existing practices, while continuing to ensure e
BHUBANESWAR: Odisha has collected the highest amount of Rs 11,984 crore among all the states under the District Mineral Foundation (DMF) fund since it was created in 2015, Union mines minister Pralhad Joshi told Lok Sabha on Wednesday.
Till January, a total of Rs 45,095.86 crore in DMF fund was generated in the country. Odisha got more than one-fourth of the share, the minister’s written reply revealed. Neighbouring Jharkhand (Rs 6,533.04 crore) and Chhattisgarh (Rs 6,329.78 crore) managed to collect the second and third highest amounts under DMF. Rajasthan is fourth, having collected Rs 4,496 crore.
The funds are contribution from mining companies operating in the respective districts, which has been mandated under the Mines and Minerals (Development and Regulation) Amendment Act, 2015. The mining companies pay 30% equivalent of the royalty amount for leases given before 2015 and 10% for leases granted after that when auction of mines and mineral blocks started.