Ahead of Goa assembly polls, BJP Govt approves policy to allow export of low-grade iron ore

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Mumbai: Keeping in mind the contentious issue of mining in the state, the Bharatiya Janata Party (BJP) government in Goa on Wednesday approved a policy that will allow mining companies to export low-grade iron ore, thus paving the way for the resumption of mining activity that has been stalled in the poll-bound coastal state since 2018.  

The approval of the Goa cabinet to the policy comes ahead of the assembly elections slated to be held early next year. Resumption of mining activity has been a key poll promise of Arvind Kejriwal’s Aam Aadmi Party (AAP) as well as the Congress. 

Disclosing this to newspersons after the cabinet meeting, Chief Minister Pramod Sawant said that an estimated 10 to 20 million metric tonnes of low-grade iron ore was lying at different locations outside the mining leases, and could sustain mining activity in Goa for the next four-five years. 

“The state government has formulated a policy for regularisation of mining dumps on government and private land,” Sawant. 

The Chief Minister further said that in the past, the State Land Revenue Code had allowed the state government to impose fines in cases where the land is used for dumping mining rejects or similar materials without the permission. 

Dr Pramod Sawant disclosed, “We have collected fines to the tune of Rs 200 crore in 2013-14 from people who had dumped the ore outside the mining leases. Those who have paid the fines will be allowed to move the dumps after taking due permission from the Indian Bureau of Mines and paying royalty payment as per the policy.” The Chief Minister added that the government would take over mining dumps where the penalty has not been paid and auction the ore. 

In March, the Supreme Court had deemed Goa’s mining lease renewals to be illegal and had cancelled 88 such leases that had been renewed by the State government in 2014-15. 

The BJP government under Dr Pramod Sawant has been looking at ways to kickstart the mining sector ahead of the polls. Goa’s mining sector, which contributed about 15-16% of the State’s GDP in 2011-12, but now accounts for barely 2%. 

Sawant said that the dumps are allowed to be exported through the recent amendment to Minerals (Other than Atomic and Hydro Carbons Energy Mineral) Concession (Amendment) Rules, 2021 that came into force from November 12, 2021 in the state. 

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