Lapsing mining leases should be auctioned: Committee of secretaries

BHUBANESWAR: A high-level committee of secretaries has ruled out extension for mining leases lapsing in March 2020, and said they should be auctioned as per the provisions of the Mines and Minerals (Development and Regulation) Act.

Acknowledging that “the auction regime had not achieved the desired success”, the committee, chaired by the vice chairman of government think tank Niti Aayog, said “the focus must shift from revenue maximisation to production maximisation”. It also recommended that production rate be given high weightage for auction of mineral concessions. ET has seen a copy of the recommendations.

The committee’s recommendations, if implemented, will disappoint several incumbent miners who were waiting for an extension of their leases.