Mine owners lament MMRD Bill 2011, will fight for amendment

  • 14/11/2011

  • Herald (Panjim)

PANJIM: Claiming that the upcoming Mines and Minerals Regulation and Development (MMRD) Bill 2011 will be deterrent to the mining industry in Goa, industry players will be placing their views before Central Government, including proposal for amendment in the bill. The mining firms have decided to participate in the convention scheduled on November 15 at Bangaluru, where everyone would express their views. During the convention, mining lobby in the state will represent to the central government seeking to amend certain things in the bill. A senior official from a multinational mining firm said that the mining firms have already formulated their views and would be presenting it before the authorities, who will be part of the consultative process. Federation of Indian Mines Industries (FIMI) would spearhead the cause of mine owners, who have grave apprehensions over the Bill, which is currently at the draft stage. “As far as Goa is concerned clause 43 of the bill will have humungous financial liability on mining firms as the clause makes it mandatory for mining firms to pay annually, an amount equivalent to the royalty paid, to District Mineral Foundation,” a senior official from Goa Mineral Ore Exporters Association said. The foundation would be an authority that will decide the rehabilitation and other programmes related to the mines in the state. The money is apparently marked for the payment of compensation to owner of surface, usufruct and traditional rights and damages. All the 90-odd mining leases are currently contributing Rs 1,000 crores as royalty to the state government. With the enactment of this bill, the mine owners will have to pay additional Rs 1,000 crore through their profits. “The basic idea of parting some money for locals, stems from the naxal movement witnessed due to mining industry in some states. But the case with Goa is completely different,” official said adding “there is no tribal exploitation like other states due to mining here or there is no forceful eviction”. “The proposed charges, which are equivalent to royalty are exorbitant,” a official said demanding that if they want to charge, it should be certain percentage of royalty collected rather than cent per cent of the royalty. Certain other clauses like cess on the ore exported will also be denting into the earning of the mine owners.