Government has not limited the expansion of mines by amending the renewal of licences rule in the Mineral Concession Rules in the country: Pralhad Joshi

New Delhi : The Government has not limited the expansion of mines by amending the renewal of licences rule in the Mineral Concession Rules in the country including Rajasthan. Rather, a uniform lease period of 50 years has been prescribed to ensure certainty in mining lease period.

The Mines and Minerals (Development and Regulation) Act, 1957 [MMDR Act, 1957] was amended with effect from 12.01.2015. Through the said amendment, auction regime was introduced for grant of mineral concessions by the respective State Governments. As per Section 8A of MMDR Act, 1957, on and from the date of commencement of the MMDR Amendment Act, 2015 (w.e.f. 12.01.2015), all mining lease shall be granted for a period of 50 years; all mining leases granted before commencement of ibid amendment Act shall be deemed to have been granted for the period of 50 years; on the expiry of the lease period, the lease shall be put for auction as per the procedure specified under the MMDR Act. Before amendment to the Act in 2015, mining lease were granted for a maximum period of 30 years, with the provision for further renewal; which was discretionary, resulting in uncertainty for the lease holder.