Lok Sabha Question No. 560 (UNSTARRED), answered on 2025-07-23
Subject: Centralized Auction Policy
Ministry: MINES
Asked by: Shri Rahul Kaswan

## GOVERNMENT OF INDIA MINISTRY OF MINES

## LOK SABHA UNSTARRED QUESTION No. 560

ANSWERED ON 23.07.2025

## CENTRALIZED AUCTION POLICY

560. SHRI RAHUL KASWAN:

Will the Minister of MINES be pleased to state:

- (a) whether it is a fact that over 335 mineral blocks, including 70 critical mineral blocks like Lithium, Rare Earth Elements (REEs), etc, were auctioned since 2024 under the centralized auction policy launched in March 2025;

(b) if so, the details thereof and if not, the reasons therefor; (c) the manner in which the Government proposes to ensure rapid operationalisation, given that only around 56 out of 440 auctioned blocks since 2015 are functional and

- delays persist due to State-level approvals;
- (d)  whether  the  draft  Mines  and  Minerals  Development  and  Regulation  (MMDR) Amendment Rules, 2025 include penalties for delayed exploration and environmental clearances and if so, the details of framework and timelines;
- (e) whether the Government plans to incentivize private exploration through Notified Private  Exploration  Agency  (NPEA)  and  reforms  to  attract  investments  in  critical minerals like copper and rare earths; and
- (f) if so, the details thereof and anticipated outcomes?

## ANSWER

## THE MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY)

(a) & (b): Since 1 st  January, 2024, a total of 187 mineral blocks have been auctioned, including 34 critical and strategic mineral blocks auctioned by the Central Government including minerals such as Lithium, Rare Earth Elements (REEs), Nickel, and Cobalt etc. The Auction of the critical and strategic minerals (as defined in Part D of ScheduleI of the Mines and Minerals (Development and Regulation) (MMDR) Act) is being done by the Central Government as per the MMDR Amendment Act, 2023.

- (c):   Since  2015,  526  major  mineral  blocks  have  been  auctioned  by  various  State Governments, and Central Government, of which currently 66 blocks are in production. Unlike other projects, mining projects have a longer gestation period, and production from  auctioned  mines  can  commence  only  after  obtaining  necessary

approvals/clearances  such  as  approval  of  mining  plan,  environmental  clearance, forest clearances, land acquisition etc.

To accelerate the operationalization of auctioned mineral blocks, the Central Government  has  implemented  several  key  measures,  including  holding  frequent review meetings with State Governments to resolve on-ground issues, establishment of  a  dedicated  Project  Management  Unit  (PMU)  to  monitor  progress  and  address bottlenecks, development of a mining dashboard to track status of auctioned blocks, close coordination with Ministry of Environment Forest & Climate Change (MoEF&CC) and other Ministries to streamline and expedite approvals/clearances.

(d):         The  draft  amendment  of  Mineral  (Auction)  Rules,  2025  include  penalties including for delayed exploration and environmental clearances. The draft is available on the Ministry of Mines website and can be accessed at

## https://mines.gov.in/admin/download/681301956a2f61746076053.pdf

(e) & (f):  The Government has taken steps to incentivize private exploration through the  Notified  Private  Exploration  Agencies  (NPEA)  from  the  year  2022-23.  Till 17.07.2025,  a  total  of  79  projects  have  been  sanctioned by  National  Mineral Exploration Trust (NMET) to NPEAs. Further, a total of 196 projects of critical and strategic minerals including rare earth and Copper have been sanctioned by NMET.

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