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Thursday, July 21, 2011

Indian iron ore mining mess - Independent regulator to be set up


Thursday, 21 Jul 2011 |source BL

Intensifying its drive against large scale illegal mining, the government has approved setting up an independent sectoral regulator vested with the power to investigate such cases and launch prosecution.

The decision to set up an independent regulator, the National Mining Regulatory Authority for the mining sector was taken by a Group of Ministers formed to iron out the inter ministerial differences on the Mines and Minerals Development and Regulation at its recent meeting.

The GoM headed by the finance minister, Mr Pranab Mukherjee had resolved that “On the role of NMRA, it was agreed that it would be a body to review sectoral issues and would have the power to investigate and launch prosecution against cases of large scale illegal mining.”

The ministerial panel also recommended the establishment of similar authorities by state governments at their level to curb illegal mining, as per an official document.

It said the authority, besides keeping a close vigil on illegal mining and reviewing sectoral issues will also advise the Government on policy and strategy, including royalty rates.

Asking the mines ministry to prepare a fresh draft of the Bill, the panel directed it to place it before the Cabinet for approval at the earliest, so that the Bill can be introduced in the monsoon session of Parliament.

Concerned over increasing instances of illegal mining in 11 mineral rich states, the centre has already asked all the state governments to constitute high level committees to crack down on the menace.

At present, there are not enough legal provisions for central intervention when illegal mining takes place in states. The magnitude of the problem is such that as many as 42,000 cases of violation were detected in the states last year.


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