Amendment in Mining Act: A step towards building self-reliant India
The Mines and Minerals (Development and Regulation) Amendment Bill, 2021 bill with amending some sections of the Mines and Minerals (Development and Regulation) (MMDR) Act, was recently passed in Lok Sabha and Rajya Sabha. What are some of the features and interpretations of those changes, and how will they affect mining businesses, licences, auctions, concession transfers, and operations? How will some of the rights of existing concessionaires change?
The Union Minister of Mines stated in one of his tweets that “With the Parliament passing Mines and Minerals (Development and Regulation) Amendment Bill, 2021, a stage is set for big-bang reforms in the mining sector. These reforms will make mineral mining sustainable and drive economic activities in the country”. This is major step in self reliant India, as the mineral sector contributes only 1.75% to the country’s gross domestic product (GDP), with India importing minerals worth Rs 2.5 trillion annually, whereas for countries like Australia and South Africa, it is contributing 7%. This comes against the backdrop of National Mineral Policy goals to increase mineral production by 200% in seven years.
Using 13 pointed data points in this guest article, Bhanu Prakash Bhatnagar, Head of Mining at Adani Cementation analyses those amendments and spotlights their salient features.