Lok Sabha Question No. 693 (UNSTARRED), answered on 2019-06-26
Subject: e-Auctioning of Mines
Ministry: MINES
Asked by: Kirit Premjibhai Solanki

## GOVERNMENT OF INDIA MINISTRY OF MINES

## LOK SABHA UNSTARRED QUESTION NO. 693

## ANSWERED ON 26.06.2019

## E-AUCTIONING OF MINES

693. DR. (PROF.) KIRIT PREMJIBHAI SOLANKI:

Will the Minister of MINES be pleased to state:

(a) the total number of mines that were e-Auctioned during the current year and the previous year, State/UT wise;

(b) the total number of mines that are currently operational out of the ones that were e-auctioned during the above period;

(c)  whether  e-auctioning  has  resulted  in  greater  transparency  and  higher  revenue than the traditional allotment process; and

(d) if so, the details thereof?

## ANSWER

## THE MINISTER OF MINES, COAL AND PARLIAMENTARY AFFAIRS (SHRI PRALHAD JOSHI)

- (a): A total of 64 mineral blocks of major minerals have been e-auctioned by States so far. The State wise auction summary is at Annexure.

(b): 4 iron ore mines which were e-auctioned in Karnataka have been operationalized.

(c) & (d): Yes, Sir. MMDR Amendment Act, 2015 instituted e-auction by competitive bidding  as  the  default  method  of  grant  of  mineral  concessions  of  major  minerals thereby  eliminating  discretion  and  increasing  transparency.  The  estimated  total revenue accruing to the State Governments over the lease period of these auctioned mines is ₹ 1,85,093 crore which includes an estimated additional auction premium of ₹ 1,44,296 crore to the State Governments.

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Annexure Annexure referred to in reply to part (a) of the Unstarred Question No - 693

| State                                                                                        | Auctioned Blocks   | Estimated Total Revenue over the lease period (in Cr)   | Estimated Additional Contribution due to Auction Premium (in Cr)   |
|----------------------------------------------------------------------------------------------|--------------------|---------------------------------------------------------|--------------------------------------------------------------------|
| 5 Blocks (4 Limestone, 1 Gold)                                                               | 2,869.37           | 1,597.31                                                | Andhra Pradesh                                                     |
| 5 Blocks (4 Limestone, 1 Gold)                                                               | 27,193.35          | 22,164.61                                               | Chhattisgarh                                                       |
| 3 Limestone Blocks                                                                           | 16,202.23          | 9,468.79                                                | Gujarat                                                            |
| 7 Blocks (2 Limestone, 2 Gold, 2 Graphite, 1 Iron Ore)                                       | 5,635.21           | 4,755.53                                                | Jharkhand                                                          |
| 14 Iron Ore Blocks                                                                           | 59,650.54          | 51,117.43                                               | Karnataka                                                          |
| 6 Blocks (3 Limestone, 1 Graphite, 1 Iron Ore, 1 Diamond)                                    | 4,266.60           | 3,621.21                                                | Madhya Pradesh                                                     |
| 13 Blocks (6 Bauxite, 2 Limestone, 2 Copper, 2 Manganese, 1 Iron Ore)                        | 4,749.90           | 3,562.78                                                | Maharashtra                                                        |
| 5 Blocks (3 Iron Ore, 1 Manganese, 1 Limestone)                                              | 31,725.80          | 24,922.75                                               | Odisha                                                             |
| 6 Limestone Blocks                                                                           | 32,800.07          | 23,085.67                                               | Rajasthan                                                          |
| (25 Limestone, 20 Iron Ore, 6 Bauxite, 4 Gold, 3 Graphite, 3 Manganese, 2 Copper, 1 Diamond) | 1,85,093.06        | 1,44,296.09                                             | Total                                                              |