Team Herald
PANJIM: The closer of iron ore mining industry has resulted into State and Central government facing revenue loss to the tune of Rs 5,800 crore, the industry expert said adding that people employed in the sector have also lost monthly Rs 150 crore, which they were earning in form of wages and salaries.
Emphasising on the need for sustainable mining, the experts informed that with vast urbanisation and growing forest cover, State has lost a lot of mineralised area and the situation will worsened if the iron ore activities don’t resume immediately.
The experts were speaking on the topic “Impacts of Mining Closure in the State of Goa” during the concluding day of 31st National Convention of Mining Engineers on Saturday, organised by the Institution of Engineers (India) (IEI), Goa centre under the aegis of Mining Engineering Division and in association with Mining Engineers Association of India, Goa chapter.
Mining Engineer DR Vaze said that mining business is not just the business associated to mine owners or mining company as propagated by NGOs but business for entire village, where the leases are located.
He said that the closer of mining industry resulted into loss of revenue to the tune of Rs 5,800 crore to State and Central government in form of non-payment of royalty, taxes, etc.
“The State government debt also jumped to Rs 19,580 crore,” Vaze said adding the picture, at time of closer, was created that government can manage without mining revenue, but the fact is now before public, where the State is forced to borrow money to pay the salaries of government employees.
The expert said that with closer of mining industry in 2012, State tourism sector was also seen struggling as government has no funds to pump into tourism infrastructure.
“The revenue generated by mining was never used for mining purpose or for the people dependent on it. The entire money went for tourism infrastructure and State development,” he claimed.
Admitting that mining companies were forced to retrench workers, Vaze said that people employed in the sector suffered loss of around Rs 150 crore monthly, which they were getting in form of salaries and wages.
He also highlighted how the truck, barge, machinery and other dependents are rendered jobless and under debt trap.
Stating that practically no major mining activities started in the State post ban in September 2012; even though partial production took place with reduced capacity in November 2015, Vaze said “Mining industry has to start immediately or will be very difficult after few years”.
Managing Director of NV ECO Agro Tourism Mahesh Patil laid emphasis on sustainable mining development, while urging mine owners to work in sync with environment and community.
He said that States such as Chhattisgarh, Jharkhand and Orissa, which are the only future of mining in country, have managed to maintain its balance with ecology.
“We in Goa need to retrospect,” he said stating that people in the industry need to look beyond just iron ore production.
Director (Mining) Fomento Resources Partho Banerjee said that there is strong need to revive the Central policy of lease allocation.
“If auction is something that we cannot live upto, then it needs to be revived. The allocation policy has to be different considering the areas and factual position,” he said.
The expert also felt the need to seek for reduction of taxation on iron ore mining, which according to him is very high, compared to other mining countries.
