Latest amendment notification, issued by the Mining Ministry by which mining leases for major minerals are given out has the nation’s mining and steel industry in a complete fix.
Mineral Concession Rules amendment notified in the 18 July followed by the Supreme Court Order in May limiting mining lease extensions without license renewals has forced Jharkhand to stop issuing permits to dispatch ore, caught Odisha off-guard leading to stall in mine works in both the states hampering the iron ore industry.
While hearing the public interest litigation dealing with mining in Odisha, the Supreme Court bench headed by Justice AK Patnaik held that mines operating on second or subsequent lease renewals should not be allowed to operate until the State Government agrees to renew them with express orders.
The Supreme Court bench while considering the Public Interest Litigation on Odisha mines had touched up on the same subject in April as well on an order related to Goa. However, other States and the Centre at the time took it as limited to Goa.
Further, it is opined by Justice Patnaik that, “Upon expiry of the first renewal, mining can be allowed with an express order, and as long as the state government has recorded in writing that the renewal was in the interest of mineral development1.”