New Mines Act to Benefit Jharkhand and Nation, Says Ex-CM
COAL & MINING

New Mines Act to Benefit Jharkhand and Nation, Says Ex-CM

Former Jharkhand chief minister Raghubar Das defended the amended Mines and Minerals (Development and Regulation) Act as advancing the interests of the state and nation and criticised the JMM-Congress for creating confusion. At the BJP headquarters in Ranchi he said the legislation will promote legal mining with greater transparency and curb illegal extraction to ensure the state receives maximum benefit.

Das alleged illegal extraction of coal, sand and stone across districts such as Dhanbad, Bokaro, Chatra, Hazaribag, Sahebganj and Dumka. He said the Act will improve transparency in grants and licences and that Ninety per cent of tax revenue from mining goes to the state. He recalled the Centre introduced a district mineral fund for development of mining affected areas in 2015.

He noted that the Centre approved 34 coal blocks in the state but only four are operational and that the state had not begun operations in the remaining 30, which he said reflected a lack of seriousness. He added that out of 15 iron ore mines only six are active and 17 of 37 bauxite mines are producing, arguing that fuller operations would have generated substantial revenue. He blamed delays in operationalisation for constraining output.

Das criticised the government for highlighting a cess of Rs 110 billion (bn), contending that the levy had raised costs and reduced output and receipts. He cited government data showing coal production in Jharkhand at 44.78 million tonnes (mn t) in the first quarter, April to July, of the 2024-25 financial year, which he said fell to 37.25 mn t in the same period of 2025-26. He maintained that higher costs have weakened demand for state coal and iron.

He said coal of Grades eight to 12 in Jharkhand is priced at Rs 2,045 to Rs 3,212 per tonne, while the same grades cost Rs 1,514 to Rs 2,681 per tonne in Odisha and Chhattisgarh, affecting competitiveness. He called for a focus on operationalising blocks and mines to restore production and revenue potential.

Former Jharkhand chief minister Raghubar Das defended the amended Mines and Minerals (Development and Regulation) Act as advancing the interests of the state and nation and criticised the JMM-Congress for creating confusion. At the BJP headquarters in Ranchi he said the legislation will promote legal mining with greater transparency and curb illegal extraction to ensure the state receives maximum benefit. Das alleged illegal extraction of coal, sand and stone across districts such as Dhanbad, Bokaro, Chatra, Hazaribag, Sahebganj and Dumka. He said the Act will improve transparency in grants and licences and that Ninety per cent of tax revenue from mining goes to the state. He recalled the Centre introduced a district mineral fund for development of mining affected areas in 2015. He noted that the Centre approved 34 coal blocks in the state but only four are operational and that the state had not begun operations in the remaining 30, which he said reflected a lack of seriousness. He added that out of 15 iron ore mines only six are active and 17 of 37 bauxite mines are producing, arguing that fuller operations would have generated substantial revenue. He blamed delays in operationalisation for constraining output. Das criticised the government for highlighting a cess of Rs 110 billion (bn), contending that the levy had raised costs and reduced output and receipts. He cited government data showing coal production in Jharkhand at 44.78 million tonnes (mn t) in the first quarter, April to July, of the 2024-25 financial year, which he said fell to 37.25 mn t in the same period of 2025-26. He maintained that higher costs have weakened demand for state coal and iron. He said coal of Grades eight to 12 in Jharkhand is priced at Rs 2,045 to Rs 3,212 per tonne, while the same grades cost Rs 1,514 to Rs 2,681 per tonne in Odisha and Chhattisgarh, affecting competitiveness. He called for a focus on operationalising blocks and mines to restore production and revenue potential.

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