Govt. considering changes in MMDR Act to revive mining: Vishnu Deo Sai

 To revive the mining sector, especially iron ore, to cater the huge infrastructure development programme, the budget has set before the government; it would present amendments to the MMDR Act in the Parliament, said Minister of State for mines, steel, labour and employment Vishnu Deo Sai at an Assocham event held in New Delhi. He pointed out, “but these changes would also take into consideration environment concerns”.
 
“The changes to the Act would aim at placing the industry on a sure and long term footing that would include mines plants, railway and port connectivity and other logistics. He said the emphasis would also be on new technology which because of high costs of it would have to be sought if necessary through joint ventures with foreign enterprises,” said Mr Deo Sai.
 
The minister admitted that the expectations from the Minerals Mines Development and Regulation Act (MMDR Act) and the National Mineral Policy (NMP) had not been realised. The problems faced by the sector had prevented the inflow of foreign direct investment into this sector. At the same time, the sector was facing allegations of large scale illegal mining, theft of royalty due to the state and lack of technology up gradation.
 
“In addition local community resistance to mining and the judiciary’s orders for investigation into various allegations and concerns also depressed investment sentiment.  At the same time mineral prices globally had risen steeply affecting other projects in industry and construction within the country,” said the minister.

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