Centre announces revised minerals concession rules

11 Nov 2021 CW Team

Several revisions were made in the Mines and Minerals (Development and Amendment) Act, 1957 (MMDR Act) earlier this year. The modifications were aimed at boosting employment and investment in the mining sector, growing revenues to states, increasing the production and time-bound operationalisation of mines, among other goals.

As per an official statement released on Tuesday, the mines ministry has announced the Minerals (Other than Atomic and Hydro Carbons Energy Mineral) Concession (Fourth Amendment) Rules, 2021 to revise the Minerals (Other than Atomic and Hydro Carbons Energy Mineral) Concession Rules, 2016 (MCR, 2016).

The new rules have been composed after comprehensive consultations with state governments, miners, industry associations, other stakeholders and the general public.

With the revised rules, the government has paved the way for releasing additional minerals in the market by better utilisation of mining capacities of captive mines. It additionally renders for how 50% of the mineral generated from the captive mines can be sold. The allowance for sale of the prescribed quantity of mineral shall additionally motivate the lessees to improve the production from the captive mines, the statement said.

Additionally, additional premium amount, royalty and other statutory payments in respect of the quantity sold will enhance the revenue of the state governments.

Provisions have additionally been added to allow the disposal of overburden or waste rock or mineral below the threshold value, which is generated during mining or beneficiation of the mineral. The minimum area for the award of mining lease has been updated from 5 ha. to 4 ha.

For certain specific deposits, minimum 2 ha. is rendered. Part surrender of the mining lease area has been enabled in all cases. Till now, part surrender was enabled only in case of non-grant of forest clearance.

The amended rules additionally allow the transfer of composite license or mining lease of all types of mines. New rules included rendering for mutation of ML or CL in favour of legal heirs on the death of the lessee or licensee. Interest on delayed payments revised from existing 24% to 12%.

Rules concerning the period of mining lease awarded to government firms and their payments have been incorporated in the MCR, 2016, it added.

Image Source

Also read: Amendment in Mining Act: A step towards building self-reliant India

The government has declared the revised minerals concession rules that will pave the way for the sale of 50% of minerals generated from captive mines, transfer of mines without any costs and partial surrender of a lease. Several revisions were made in the Mines and Minerals (Development and Amendment) Act, 1957 (MMDR Act) earlier this year. The modifications were aimed at boosting employment and investment in the mining sector, growing revenues to states, increasing the production and time-bound operationalisation of mines, among other goals. As per an official statement released on Tuesday, the mines ministry has announced the Minerals (Other than Atomic and Hydro Carbons Energy Mineral) Concession (Fourth Amendment) Rules, 2021 to revise the Minerals (Other than Atomic and Hydro Carbons Energy Mineral) Concession Rules, 2016 (MCR, 2016). The new rules have been composed after comprehensive consultations with state governments, miners, industry associations, other stakeholders and the general public. With the revised rules, the government has paved the way for releasing additional minerals in the market by better utilisation of mining capacities of captive mines. It additionally renders for how 50% of the mineral generated from the captive mines can be sold. The allowance for sale of the prescribed quantity of mineral shall additionally motivate the lessees to improve the production from the captive mines, the statement said. Additionally, additional premium amount, royalty and other statutory payments in respect of the quantity sold will enhance the revenue of the state governments. Provisions have additionally been added to allow the disposal of overburden or waste rock or mineral below the threshold value, which is generated during mining or beneficiation of the mineral. The minimum area for the award of mining lease has been updated from 5 ha. to 4 ha. For certain specific deposits, minimum 2 ha. is rendered. Part surrender of the mining lease area has been enabled in all cases. Till now, part surrender was enabled only in case of non-grant of forest clearance. The amended rules additionally allow the transfer of composite license or mining lease of all types of mines. New rules included rendering for mutation of ML or CL in favour of legal heirs on the death of the lessee or licensee. Interest on delayed payments revised from existing 24% to 12%. Rules concerning the period of mining lease awarded to government firms and their payments have been incorporated in the MCR, 2016, it added. Image Source Also read: Amendment in Mining Act: A step towards building self-reliant India

Technology

28 Oct 2025

Building Faster, Smarter, and Greener!

Backed by ULCCS’s century-old legacy, U-Sphere combines technology, modular design and sustainable practices to deliver faster and more efficient projects. In an interaction with CW, Rohit Prabhakar, Director - Business Development, shares how the company’s integrated model of ‘Speed-Build’, ‘Smart-Build’ and ‘Sustain-Build’ is redefining construction efficiency, quality and environmental responsibility in India.U-Sphere positions itself at the intersection of speed, sustainability and smart design. How does this translate into measurable efficiency on the ground?At U..

Infrastructure Transport

28 Oct 2025

Smart Roads, Smarter India

India’s infrastructure boom is not only about laying more kilometres of highways – it’s about building them smarter, safer and more sustainably. From drones mapping fragile Himalayan slopes to 3D machine-controlled graders reducing human error, technology is steadily reshaping the way projects are planned and executed. Yet, the journey towards digitisation remains complex, demanding not just capital but also coordination, training and vision.Until recently, engineers largely depended on Survey of India toposheets and traditional survey methods like total stations or DGPS to prepare detai..

Real Estate

28 Oct 2025

What Does DCPR 2034 Mean?

The Maharashtra government has eased approval norms for high-rise buildings under DCPR 2034, enabling the municipal commissioner to sanction projects up to 180 m on large plots. This change is expected to streamline approvals, reduce procedural delays and accelerate redevelopment, drawing reactions from developers, planners and industry experts about its implications for Mumbai’s vertical growth.Under the revised DCPR 2034 rules, buildings on plots of 2,000 sq m or more can now be approved up to 180 m by the municipal commissioner, provided structural and geotechnical reports are certified b..