Mining lease to private sector

 
Lok Sabha 

State Governments are the owners of the minerals lying within the boundary of the concerned State. Prior approval of the Central Government is required only in case of minerals specified under the first schedule of the Mines and Minerals (Development & Regulation) Act, 1957 (MMDR) before grant of mineral concession by the State Government. Details of the cases in which prior approval of the Central Government on the proposal of the State Government has been accorded are available on the web site of the Ministry of Mines (www.mines.nic.in). 

As per section 5(2) (a) of the MMDR Act, no mining lease shall be granted in respect of a major mineral by the State Government unless a mining plan for the area under mining lease has been approved by either Indian Bureau of Mines (IBM), a subordinate office under the administrative control of the Ministry of Mines or the State Government concerned. The mining plan inter-alia includes the extent of manual mining, use of machinery and mechanical devices and plan for excavation. Also, under Rule 45 of the Mineral Conservation and Development Rules, 1988, the lease holder is required to submit returns regarding production, dispatch and stock from the leasehold area to IBM for monitoring by them. 

This information was given by the Minister of Mines and Minister of Development of North Eastern Region, Shri B.K. Handique in a written reply to a question in the Lok Sabha today.