PANJIM | Jan 14, 2015: Firming its grip on the mining industry, the Central Government has made illegal mining a “cognizable offence”, with imprisonment of up to five years and a fine of Rs 5 lakh per hectare of area for violators. Henceforth all cases related to illegal mining will be dealt with by a special court, to be set up by the States.

The Union government notified the Mines and Minerals Development Regulation (MMDR) Amendment Ordinance 2015, and paved the way for auction of new iron ore mining leases in the State through competitive bidding, including e-auction.

On one hand it has granted lease life to the existing renewed leases up to 2027, while on the other hand, it has made mining companies shell out one third of their royalty in addition to another two per cent for the rehabilitation of the people affected due to mining operations. For this, the State has to set up a District Mineral Foundation, and the Centre will constitute a National Mineral Exploration Trust. The objective of these organizations would be to work for the interest and benefit of the persons or area affected by mining operations.

Government has inserted a new section 20A, giving complete powers to the Central government to take any policy decision on mining, including changes in the procedure of granting mining leases.

“The Central government may issue any directions to the State government, as may be required, for the conservation of mineral resources or any policy matter in the national interest and for the scientific and sustainable development and exploitation of mineral resources,” the Ordinance reads.

The Centre has also reserved the rights to take a decision regarding changes in granting mining licences, directions to minimize environment impact, protection of ecology, promotion, restoration and reclamation activities, etc.

At the same time, Centre has taken over powers to revise any decision of the State government or any other authority in case of major minerals.

Proposing the setting up of special court to deal with illegal mining cases, Centre has said that the judge of the court should be appointed by the State with the concurrence of the High Court.

(Source: http://www.heraldgoa.in/)