State to write to Centre seeking clarity on life of existing leases

PANJIM: The State government has decided to seek clarification from the Union Mines Ministry regarding the life of mining leases in Goa which have been renewed recently, in view of the Mines and Minerals Development Regulation (MMDR) Amendment Ordinance 2015.

TEAM HERALD
PANJIM: The State government has decided to seek clarification from the Union Mines Ministry regarding the life of mining leases in Goa which have been renewed recently, in view of the Mines and Minerals Development Regulation (MMDR) Amendment Ordinance 2015.
Government also wants clarity on the transfer of mineral concessions, which according to the Ordinance, are allowed only in case of concession granted through auction.
The MMDR amendment, which came via the Ordinance route, says that “all the mining leases granted before the commencement of the Ordinance shall be deemed to have been granted for a period of 50 years and that on the expiry of leases, the same shall be put for auction.”
Hence, the State government wants Union Mines Ministry to clarify on whether the 50-year life of a lease is considered from the Abolition Act 1961 or from the Mining Concession (Abolition and Declaration as Mining leases) Act 1987, the first renewal period, in case of Goa. 
A senior mines official said that they had decided to draft detailed representation to the Union Ministry to get a clear picture about the life of the existing leases in the State. 
“If the 50 year lease period is considered from 1961, then all the leases stand lapsed and if we look at it from the Concession period, from 1987, then there are another 22 year life for the leases, after which they will go for auction,” the official specified. After the mining suspension in 2012, government has so far passed renewal orders for 88 mining leases, out of which 43 lease deeds were signed.
Also, with the Union government taking over a majority of the powers to run the mining sector across all states, Goa wants to know which powers the State would have as far as iron ore mining operations are concerned.
As per the Ordinance, Union government has inserted a new section 20A, giving complete powers to itself to take any policy decision on mining, including changes in the procedure to grant mining leases and also in case of issuing directions to the States for the conservation of mineral resources.

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