Economy

Jharkhand to Restart 111 Closed Mining Leases via Auction: 62 Coal, 49 Other Minerals

7 November 20263 min1 source4 questionsStory 3 of 23

For Prelims: Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act), Major vs Minor Minerals, Nodal Department, Total closed mining leases, Key Act referenced, State rule for minor minerals, Current context

For Mains: Mineral governance, Auction-based allocation, Sustainable mining, State revenue, Illegal mining

Source:HindustanHindustan

Why in the news?

Jharkhand CM Hemant Soren has directed the resumption of 111 closed mining leases (62 coal, 49 other major minerals) through auction. The move aims to restart stalled mineral extraction and curb illegal mining, with the MMDR Amendment Act 2015 referenced for cancelling pre-2015 inactive leases.

Summary

  • Jharkhand has 165 coal mining leases, of which 103 are operational and 62 are closed; 58 closed coal leases belong to BCCL, CCL and ECL.
  • Of 85 leases for other major minerals (iron ore, bauxite, limestone, graphite, copper, uranium), 36 are operational and 49 are closed.
  • The state also aims to auction 144 remaining Category-II sand ghats out of 444, with CCTV surveillance to prevent illegal sand mining.

Highlights

  • 111 Mining Leases to Restart

    Jharkhand government will auction 111 closed mining leases (62 coal, 49 other major minerals) to resume extraction and boost revenue.

  • MMDR Act Framework

    The resumption follows the Mines and Minerals (Development and Regulation) Amendment Act 2015, with inactive pre-2015 leases to be cancelled and re-auctioned.

  • Sand Ghats and Illegal Mining

    Of 444 Category-II sand ghats, 300 have been auctioned; the remaining 144 will be auctioned soon, with CCTV and check-posts to curb illegal sand lifting.

Background

Jharkhand, rich in coal and other minerals, has 165 coal mining leases of which 62 are closed. Additionally, 49 leases for major minerals like iron ore, bauxite, limestone, graphite, copper and uranium are non-operational out of 85. Many leases were stalled due to land acquisition issues or lack of environmental and forest clearances.

Key Analysis and Impact

The directive seeks to cancel inactive leases and re-auction them to restart mining; it emphasizes scientific and sustainable mining, speeding up exploration and auctioning (including gold blocks), and curbing illegal sand mining through CCTV, check-posts and district task forces.

Way Forward

Leaseholders must obtain land acquisition, environmental and forest approvals before mining. The state will expedite exploration and auction of gold blocks. The 144 remaining sand ghats will be auctioned at the district level, with LOIs issued soon. Regular meetings of district task forces will monitor illegal mining.

Jharkhand connection

Matters for these Jharkhand exams:JPSC 8/10JSSC 7/10

Background GK

Textbook concepts you need to understand this news

Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act)
The central law governing the mining sector in India. It regulates the exploration and production of minerals, and was amended in 2015 to introduce auction as the sole method for granting mineral concessions.
Major vs Minor Minerals
Major minerals include coal, iron ore, bauxite, limestone, etc., regulated by the central government. Minor minerals (sand, gravel, stone) are regulated by state governments under their own rules, such as the Jharkhand Minor Mineral Concession Rules 2004.

Facts to remember

Tap a card to see the answer. Try to recall it first.

How exams will ask this

  • Data: 111 closed mining leases (62 coal + 49 other major minerals) in Jharkhand
  • Nodal Body: Department of Mines and Geology, Government of Jharkhand
  • Legal Point: MMDR Amendment Act 2015 (for cancellation of pre-2015 inactive leases)

Don't make this mistake!

Do not confuse 'major minerals' (coal, iron ore, bauxite) with 'minor minerals' (sand, stone). The MMDR Act 1957 governs major minerals, while state rules govern minor minerals. Also, 111 is the total closed leases, not the number of operational ones.

Write these in mains answers

  • Mineral governance, Auction-based allocation, Sustainable mining, State revenue, Illegal mining

Stuck? Get it in one tap

Practice questions

Pick an answer, then read the explanation.

  1. Q1Easy

    Which department of the Jharkhand government is primarily responsible for implementing the directive to restart closed mining leases?

  2. Q2Hard

    Consider the following statements regarding the mining lease resumption in Jharkhand:

    1. 1.A total of 111 closed mining leases are to be restarted, including 62 coal leases and 49 leases for other major minerals.
    2. 2.The MMDR Amendment Act 2015 is used to cancel inactive leases granted before 2015 and re-auction them.
    3. 3.All 444 Category-II sand ghats in Jharkhand have already been auctioned.

    Which of the statements given above is/are correct?

  3. Q3Medium

    How many coal mining leases are currently operational in Jharkhand, according to the news?

  4. Q4Medium

    What is the primary objective of the Jharkhand government's directive to re-auction closed mining leases?

Frequently asked questions

1. How many closed mining leases will be restarted in Jharkhand?

111 closed mining leases will be restarted, including 62 coal leases and 49 leases for other major minerals.

2. Which department is implementing the resumption of mining leases in Jharkhand?

The Department of Mines and Geology, Government of Jharkhand, is implementing the directive.

3. What is the role of the MMDR Amendment Act 2015 in this decision?

The MMDR Amendment Act 2015 is used to cancel inactive leases granted before 2015 and re-auction them.

All sources

Stories from the last 30 days on the same topic, state or exams

PolityJharkhandJPSC: Very important

Jharkhand HC verdict on JSSC CGL exam cancellation

  • Nodal Body: Jharkhand Staff Selection Commission (JSSC)
  • Exam Cancelled: JSSC Combined Graduate Level (CGL) exam
Background GK: Jharkhand Staff Selection Commission (JSSC)Article 226Nodal: Jharkhand High CourtDon't make this mistake!
4 questions · 2 minDainik Bhaskar