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State objects to Ordinance clauses For mine auctions

Statesman News Service |

 Odisha raised objections to certain aspects of the Ordinance which paves the way for auction of mines at the meeting convened by Union Mines Minister at New Delhi today, said Minister for Steel and Mines Prafulla Kumar Mallik.

Mallik who attended the meeting told reporters at Delhi that Odisha does not agree to the ‘grace’ period provided to mine owners, both captive and non-captive.

We want all mining leases awaiting second or subsequent renewal to be auctioned, but the Ordinance states that such mines will not be put to auction for the next five to 15 years, noted Mallik.

Those who are having the mining lease for the last five decades have earned super normal profits and there is no reason why a grace period should be given to them, he remarked.

“Similarly, several metal based industries have come up in Odisha with the hope and promise that they would get captive mines. Unless provisions are made to safeguard the interest of such industries, the investments will turn bad and it will be a wrong signal to the investors, he said.