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Lease extension likely for 26 mines

Updated: April 4th, 2015, 18:39 IST
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Bhubaneswar, April 4: In what may prove to be a blessing for the mining sector, an inter-departmental committee headed by development commissioner UN Behera Saturday recommended that the state government extend the lease period of 26 mines.
The extension has been recommended under the provisions of the new Mines and Minerals (Development & Regulation) Amendment Act, 2015. However, the state government would take a final call over the extension of the mines.
‘‘In accordance with the provisions of the amendments made in the MMDR Act, the committee has recommended extension of leases of 26 mines that had come up for consideration. All the mines have statutory clearances including forest and environmental nod,’’ mines director Deepak Mohanty told media persons after attending the meeting.
While the Supreme Court had closed down 26 mines last May 16, the government had issued express orders for eight mines to operate in the state. Out of the mines operating under express order, lease deeds have been executed for three mines belonging to SAIL (steel authority of India Limited) and one belonging to Orissa mining corporation has been given an extension.
But operations of 18 mines continue to be suspended since the government did not pass similar orders to facilitate the resumption of their operation.
The panel Saturday recommended extension of lease period of 18 closed mines, four mines of Tata Steel operating under express order and four non-iron and non-manganese mines including those belonging to Tatas, VK Lal and ACC Bargarh, pointed out Mohanty.
“We have recommended extension of lease period till 2030 for six captive mines and till 2020 for non-captive mines,” the director added.
Secretaries of steel and mines, forest and environment and law departments, director of mines, director of geology, principal chief conservator of forests (PCCF), officials of the State Pollution Control Board (SPCB) and officials of Orissa Remote Sensing Applications Centre (ORSAC) were present.
Notably, the apex court had ordered closure of 26 mines operating on the pretext of deemed extension and directed the state to operate them through express order within the next six months.
To decide on the fate of these mines, the state government had sought a three-month permission from the SC in November last but failed to reopen the mines. The state again sought two months’ time from the apex court in February.

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