Mines ministry writes to states for annualisation of auction dues

BHUBANESWAR: The Centre has recommended to states that upfront payment and stamp duty for auctioned mines be annualised in view of the coronavirus pandemic.

In its April 22 letter addressed to the environment ministry secretary and all state chief secretaries, the mines ministry has also sought annualisation – or payment over the year instead of a single installment – of the net present value (NPV) for diversion of forests. ET has reviewed a copy of the letter.

Quoting the finance ministry’s February 19, 2020 order, which specifically included Covid-19 as force majeure, and the March 25, 2020 recommendations of the home ministry bringing mining under the Essential Services Maintenance Act, 1985, the Centre has asked state governments to take “urgent action” in this regard.