Bhopal | May 26, 2017: Amid raging debate over controlling sand price and doing away with shortage, once the moratorium comes into effect, the Madhya Pradesh government has clarified that state control over mining and marketing of sand would be effective after new mining policy is drawn up.

"The committee set up by the state government will take six months to frame new mining policy after scientific study and research on sand mining in the riverbed. After the new policy is announced, the government will decide the price control and marketing of sand," said Manohar Dubey, secretary, MP mineral resource department.

The state government under pressure from different quarters over unhindered illegal mining in the Narmada riverbed had announced a blanket ban on mining in the river and prohibited use of machines for mining in other rivers across the state.

The government this week had announced to set up a committee, led by mining minister Rajendra Shukla and comprising experts from IITs to look into illegal mining issues and suggest scientific methods for sand extraction in riverbed. The committee is given six months to prepare a mining policy after which final changes would be effective.

As the ban comes into effect, sand price shot up 15% from the day of the announcement. This could further go high in coming days as companies involved in sand excavation through machines have hinted at a price rise and scarcity during ensuing monsoon session. The government, however, have denied there is any shortage of sand, saying there won't be any possibility of this in coming days. The government feels the price rise is deliberate.

"We have given licence for quarrying of sand to several companies and the stock assessment by the corporation clearly verifies there is no scarcity of sand in the state. Besides, the government has not imposed a ban on sand mining in other rivers, though instructions have been issued to do it manually," Dubey said.

Sources in the mining corporation said companies having sand stock during summer would reap huge benefits during rains, when the availability of sand stops completely. There is no legal or illegal mining of sand during rains and thus this escalates price. As there is no government control over the market, it would be difficult for a common user to control the price, they said.

For doing away with shortage of sand once the moratorium comes into effect, the government had suggested that stone crushing units would be introduced and exempted from royalty for three years. However, any such unit is yet to be established in near one year as the mining policy will decide on availability of stones for these units, sources said.

Officials said only a few companies are willing to make sand from stones. The mining and environment corporation were yet to chalk out norms and guidelines to promote the units. Until then, private companies will control the supply, demand and price of sand in the state, they said.

(Source: http://timesofindia.indiatimes.com/)