Odisha Govt shortlists 14 iron ore mines for rejection

Bhubaneswar:
Implementing the new mining resolution which discourages the non-captive use of
minerals, the state government has started sort listing the miners who do not
have any industry but are applied for renewal.
 
As per internal sources the state government has short-listed 14 mines
whose renewals would be rejected.

“Till now there are 14 mines including some big names. The government has found that
Sharda mines has been selling iron ore to Jindal Group below the price
stipulated by the Indian Bureau of Mines (IBM) and due to this the state is loosing
crores of revenue. Last year the Shah Commission had also put a question mark
on this.On the other hand the Aditya Birla
group controlled Essel Minning and Industries Ltd (EMIL) has been mining iron
ore from the Kasia Mines at Barbil for years, but the company does not have any
steel plant in the state.

The
Odisha government on its new resolution on 3
rd October has
circulated a new guideline for the second and subsequent renewal of iron ore,
Manganese, Chromite and Bauxite mines in the state which has exclusively
focused on value addition of minerals in the state. According to the circular,
if the mineral from the mining lease is being used for captive purpose, the
areas to be renewed shall be limited to the captive requirement of 30 years of
the existing capacity of the mineral industry of the lessee. It said the leases
awaiting second and subsequent renewal but operating under the clause of deemed
extension will be covered by this policy. However in such cases the raising of
mineral may be limited to captive consumption only.

Implementing
the resolution the steel and mines secretary Rajesh Varma on 12 th of this
month has directed the Director of Mines to shortlist the mines which are
waiting for second and subsequent renewal with all details within a week. “Further
in case of first renewal of mining lease granted for captive purpose, no
mineral shall be put to non-captive use as such will amount to violation of the
lease condition” the order by Mr varma says.

Story by Tapan Moharana


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