PANJIM: Chief Minister Digambar Kamat Thursday said that State Mining Policy will be enacted soon after Centre passes Mines and Minerals Development Regulation (MMDR) bill 2011, during ongoing Parliament session. Addressing the conference on ‘Sustainable Mining Practices’ Kamat said that State’s draft mining policy 2008 was on hold, for possible incorporation of elements from Central bill such as 100 per cent payment of royalty for social welfare and formation of district authority. “We will not put the policy for recommendations and suggestions again”, he clarified. “Mining has to be done with social obligations. There is feeling that mining industry does not benefit people, who reside around the mining area”, Kamat said. The draft State policy, had recommended 1 km buffer zone and FDI in mining sector. Meanwhile, Additional Secretary, Ministry of Mines S K Srivastava has said that mining companies cannot shy away from MMDR 2011 as ‘sharing your profit or royalty is integral part of social licensing’. Responding to the queries raised by mining companies during the two-day conference Srivastava said, “Sharing your profit or royalty is equal to working for people affected in and around the mining area”, Srivastava said. Talking to reporters on the sidelines, Srivastava said it is for Parliament to decide on the share of profit or royalty to be spent on affected persons. MMDR mandates that coal mining companies share 26 per cent of their profit, and iron ore mines share amount equalling the royalty paid to Government for welfare. The mining industry, unhappy with MMDR bill Thursday claimed that they are being asked to shell out too much for local welfare rendering their businesses unprofitable. “This will make mining companies financially unviable thus affecting sustainability”, Anand Goel, Joint Managing Director, Jindal Pvt Ltd said. He said that sharing such huge amount for social welfare will make India’s mining industry the most taxed in the world. Other clauses like cess on exported ore will eat into mine owners profits they claimed.