Mines and Minerals (Development and Regulation) Amendment Act, 2015

 
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[Act No. 10 of 2015]

[26th March, 2015]

PREAMBLE

An Act further to amend the Mines and Minerals (Development and Regulation) Act, 1957.

Be it enacted by Parliament in the Sixty-sixth Year of the Republic of India as follows:--

Section 1 - Short title and commencement

(1) This Act may be called the Mines and Minerals (Development and Regulation) Amendment Act, 2015.

(2) It shall be deemed to have come into force on the 12th day of January, 2015.

Section 2 - Amendment of section 3

In the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957) (hereinafter referred to as the principal Act), in section 3,--

(i) after clause (e), the following clause shall be inserted, namely:--

'(ea) "notified minerals" means any mineral specified in the Fourth Schedule;';

(ii) after clause (g), the following clause shall be inserted, namely:--

'(ga) "prospecting licence-cum-mining lease" means a two stage concession granted for the purpose of undertaking prospecting operations followed by mining operations;';

(iii) in clause (hb), the word "and", occurring at the end, shall be omitted;

(iv) after clause (hb), the following clause shall be inserted, namely:--

'(hc) "Special Court" means a Court of Session designated as Special Court under sub-section (1) of section 30B; and'.

Section 3 - Amendment of section 4

Section 4 - Amendment of section 4A

In section 4A of the principal Act, in sub-section (4), for the provisos, the following provisos shall be substituted, namely:--

"Provided that the State Government may, on an application made by the holder of such lease before it lapses and on being satisfied that it will not be possible for the holder of the lease to undertake mining operations or to continue such operations for reasons beyond his control, make an order, within a period of three months from the date of receiving of such application, subject to such conditions as may be prescribed, to the effect that such lease shall not lapse:

Provided further that such lease shall lapse on failure to undertake mining operations or inability to continue the same before the end of a period of six months from the date of the order of the State Government:

Provided also that the State Government may, on an application made by the holder of a lease submitted within a period of six months from the date of its lapse and on being satisfied that such non-commencement or discontinuance was due to reasons beyond the control of the holder of the lease, revive the lease within a period of three months from the date of receiving the application from such prospective or retrospective date as it thinks fit but not earlier than the date of lapse of the lease:

Provided also that no lease shall be revived under the third proviso for more than twice during the entire period of the lease.".

Section 5 - Amendment of section 5

In section 5 of the principal Act,--

(A) in sub-section (1),--

(i) in clause (a), for the words, brackets and figures "sub-section (1) of section 3 of the Companies Act, 1956 (1 of 1956)", the words, brackets and figures "clause (20) of section 2 of the Companies Act, 2013 (18 of 2013)" shall be substituted;

(ii) for the proviso, the following proviso shall be substituted, namely:--

"Provided that in respect of any mineral specified in Part A and Part B of the First Schedule, no reconnaissance permit, prospecting licence or mining lease shall be granted except with the previous approval of the Central Government.";

(B) in sub-section (2),--

(i) for clause (a), the following clause shall be substituted, namely:--

"(a) there is evidence to show the existence of mineral contents in the area for which the application for a mining lease has been made in accordance with such parameters as may be prescribed for this purpose by the Central Government;";

(ii) after clause (b), the following proviso shall be inserted, namely:--

"Provided that a mining lease may be granted upon the filing of a mining plan in accordance with a system established by the State Government for preparation, certification, and monitoring of such plan, with the approval of the Central Government.".

Section 6 - Amendment of section 6

"Provided that if the Central Government is of the opinion that in the interest of the development of any mineral or industry, it is necessary so to do, it may, for reasons to be recorded in writing, increase the aforesaid area limits in respect of prospecting licence or mining lease, in so far as it pertains to any particular mineral, or to any specified category of deposits of such mineral, or to any particular mineral located in any particular area.".

Section 7 - Substitution of new section for section 8

"8. Periods for which mining leases may be granted or renewed.--

(1) The provisions of this section shall apply to minerals specified in Part A of the First Schedule.

(2) The maximum period for which a mining lease may be granted shall not exceed thirty years:

Provided that the minimum period for which any such mining lease may be granted shall not be less than twenty years.

(3) A mining lease may be renewed for a period not exceeding twenty years with the previous approval of the Central Government.".

Section 8 - Insertion of new section 8A

"8A. Period of grant of a mining lease for minerals other than coal, lignite and atomic minerals.--

(1) The provisions of this section shall apply to minerals other than those specified in Part A and Part B of the First Schedule.

(2) On and from the date of the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015, all mining leases shall be granted for the period of fifty years.

(3) All mining leases granted before the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 shall be deemed to have been granted for a period of fifty years.

(4) On the expiry of the lease period, the lease shall be put up for auction as per the procedure specified in this Act.

(5) Notwithstanding anything contained in sub-sections (2), (3) and sub-section (4), the period of lease granted before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015, where mineral is used for captive purpose, shall be extended and be deemed to have been extended up to a period ending on the 31st March, 2030 with effect from the date of expiry of the period of renewal last made or till the completion of renewal period, if any, or a period of fifty years from the date of grant of such lease, whichever is later, subject to the condition that all the terms and conditions of the lease have been complied with.

(6) Notwithstanding anything contained in sub-sections (2), (3) and sub-section (4), the period of lease granted before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015, where mineral is used for other than captive purpose, shall be extended and be deemed to have been extended up to a period ending on the 31st March, 2020 with effect from the date of expiry of the period of renewal last made or till the completion of renewal period, if any, or a period of fifty years from the date of grant of such lease, whichever is later, subject to the condition that all the terms and conditions of the lease have been complied with.

(7) Any holder of a lease granted, where mineral is used for captive purpose, shall have the right of first refusal at the time of auction held for such lease after the expiry of the lease period.

(8) Notwithstanding anything contained in this section, the period of mining leases, including existing mining leases, of Government companies or corporations shall be such as may be prescribed by the Central Government.

(9) The provisions of this section, notwithstanding anything contained therein, shall not apply to a mining lease granted before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015, for which renewal has been rejected, or which has been determined, or lapsed. ".

Section 9 - Insertion of new sections 9B and 9C

"9B. District Mineral Foundation.--

(1) In any district affected by mining related operations, the State Government shall, by notification, establish a trust, as a non-profit body, to be called the District Mineral Foundation.

(2) The object of...

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