Lok Sabha Question No. 3102 (UNSTARRED), answered on 2016-08-04
Subject: Losses due to Bidding of Mines
Ministry: MINES
Asked by: P. KUMAR

## GOVERNMENT OF INDIA MINISTRY OF MINES

## LOK SABHA UNSTARRED QUESTION NO.3102 TO BE ANSWERED ON 4 th  AUGUST 2016

## LOSSES DUE TO BIDDING OF MINES

## 3102.  SHRI P. KUMAR:

Will the Minister of MINES be pleased to state:

- (a)  the area of land allotted by the Union Government to private parties for mining purposes during the last as well as current Plan, State-wise;
- (b)  whether there have been violations of such open bidding in recent times;
- (c) if so, the details thereof and the reasons therefor along with the action taken in the matter so far;
- (d)  whether the Union Government has made any assessment of losses incurred in this connection, if so, the details thereof; and
- (e)  the  manner  in  which  the  tribal  people  residing  and  having  their  livelihood  in these forest areas are compensated and rehabilitated?

## ANSWER

## THE  MINISTER  OF  STATE  (INDEPENDENT  CHARGE)  FOR  POWER,  COAL, NEW & RENEWABLE ENERGY AND MINES (SHRI PIYUSH GOYAL)

(a):  No  land  is  allotted  by  the  Union  Government  to  private  parties  for  mining purpose. Mineral concessions are granted by the State  Governments  in accordance with the provisions of Mines Minerals (Development and Regulation) Act,  1957  and  rules  framed  thereunder.  The  details  in  this  regard,  including  the area  of  land  allotted  to  private  parties  for  mining  purpose  by  the  various  State Governments, are not maintained centrally.

(b):    The  State  Governments have notified various mineral blocks in accordance with  the  provisions  of  Mineral  (Auction)  Rules,  2015  for  the  purpose  of  grant  of mining lease and composite license. As the auctions in this regard is conducted solely  by  the  State  Governments,  the  details  with  regard  to  violations  of  open bidding, if any, are also not maintained centrally.

(c) & (d):  Does not arise in view of the reply given to (b) above.

(e):    Section  9B  of  the  MMDR Act, 1957 prescribes the establishment of District Mineral Foundation (DMF) in any district affected by mining related operations, the object of which shall be to work for the interest and benefit of persons, and areas affected  by  mining  related  operations.  The  DMFs  are  to  be  funded  by  statutory contributions from holders of mining lease.

The  rules  incorporating  the  manner  in  which  the  DMF  shall  work  for  the interest  and  benefit  of  persons  and  areas  affected  by  mining  as  also  the composition and functions of the DMF,  are to be framed by the State Governments. The State Government while making rules for DMF shall be guided by the provisions contained in article 244 read with Fifth and Sixth Schedules to the Constitution relating to administration of the Scheduled Areas and Tribal Areas and  the  Provisions  of  the  Panchayats  (Extension  to  the  Scheduled  Areas)  Act, 1996 and the Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006.

The  Pradhan  Mantri  Khanij  Kshetra  Kalyan  Yojana  (PMKKKY)  will  be implemented by the District Mineral Foundations (DMFs) of the respective districts using the funds accruing to the DMF, which will be utilized for high priority areas and  other priority areas using 60%  and  40%  of  the  total accrued  funds respectively.

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