Indian authorities "allow" illegal mining on payment of a pittance fine, refuse protection to affected communities

By A Representative
A recent estimate by the mines, minerals & People (mm&P), a national alliance of mining affected communities, has said that every year around 80,000-90,000 cases of illegal mining are reported by governments across India. While the MB Shah commission, which investigated into their operations, assessed that they cost a whopping Rs 60,000 crore to state coffers, the fine realized from them per year is just a pittance, about Rs 11 crore.
This was revealed at a workshop organized by the mm&P in Bhubaneshwar, Odisha, followed by another in Aasansol, West Bengal, early this month. Participants at the two workshops predicted, things are likely to get worse with the Mines and Minerals (Development and Regulation) (MMDR) Act, 1957, amended in March 2015.
The amended Act would not make things any better for the local communities, an mm&P note on the two workshops said. The new Act mining by auctioning mines for a period of 50 years. Further, new mining leases would also be given for 50 years, instead of the 20-year period till now. This, according to mm&P, would mean nothing but a “huge loss” of natural resources on which local communities depend.
The impact of this could be seen in Odisha’s eight tribal districts, which have more than 50 per cent tribal population, and another six districts having tribal population between 30 and 50 per cent, the mm&P said. There is complete lack of protection to forests, and the locals are feeling their livelihood options being taken away.
No doubt, it was suggested, a new section, 9b, has been added in the amended Act. It requires every mining affected district to form a District Mineral Foundation (DMF), which is supposed to receive some royalty from mining. Thus, while leases operational before January 12, 2015 would contribute 30 per cent equivalent of royalty and leases issued after January 12, 2015 would contribute 10 per cent equivalent of royalty to the DMF.
Meanwhile, the Pradhan Mantri Khanij Kshetra Kalyan Yojna (PMKKKY), passed in September 2015, has laid down guidelines for work to be undertaken by DMFs. However, all this does not ensure the mining affected communities to regain control over the natural resources surrounding them.
The workshops discussed the examples of the coalmining area of Raniganj, West Bengal, which has been declared a “critically polluted” area by the Central Pollution Control Board. At both the places, local people have faced massive displacement.
In Raniganj, the government floated a Rs 2,160 crore master plan for resettlement and rehabilitation for providing relief to the affected communities. Yet, six years later, work for it has not begun. Demanding its early implementation, participants at the workshops insisted that the government must also think of safeguarding the rights of the local people while allowing mining.
Meanwhile, illegal mining continues at several places, such as in Birbhum district, whose operations have been challenged in the Eastern Bench of the National Green Tribunal (NGT), Kolkata. Giving example of how illegal mining has affected state revenues, the workshops were told, the Government of West Bengal’s annual coal cess in 2012-13 was Rs 1,380 crore, “but it is nothing close to the value of minerals extracted.”
The workshops demanded that illegal mining should be eliminated completely to safeguard environmental and economic losses. Government is custodian of mineral resources and it is its duty to protect the rights of future generations and it should not tolerate any loss or wish away resources for meagre royalty in comparison to the value of resources.
Among those who participated in the two workshops included Ashok Shrimali, secretary general, mm&P; Ravi Rebbapragda, chairperson of mm&P; members of the executive committee of the mm&P; Shiekh Hakim, General Secretary, Integrated Coal Mines Ltd Shramik Union (ICMLSU); Rup Kumar Sadhu, President, ICMLSU; apart from other senior activists.

Comments

Gram sabha as reformer: Mandla’s quiet challenge to the liquor economy

By Raj Kumar Sinha* This year, the Union Ministry of Panchayati Raj is organising a two-day PESA Mahotsav in Visakhapatnam, Andhra Pradesh, on 23–24 December 2025. The event marks the passage of the Panchayats (Extension to Scheduled Areas) Act, 1996 (PESA), enacted by Parliament on 24 December 1996 to establish self-governance in Fifth Schedule areas. Scheduled Areas are those notified by the President of India under Article 244(1) read with the Fifth Schedule of the Constitution, which provides for a distinct framework of governance recognising the autonomy of tribal regions. At present, Fifth Schedule areas exist in ten states: Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Rajasthan and Telangana. The PESA Act, 1996 empowers Gram Sabhas—the village assemblies—as the foundation of self-rule in these areas. Among the many powers devolved to them is the authority to take decisions on local matters, including the regulation...

MG-NREGA: A global model still waiting to be fully implemented

By Bharat Dogra When the Mahatma Gandhi National Rural Employment Guarantee Act (MG-NREGA) was introduced in India nearly two decades ago, it drew worldwide attention. The reason was evident. At a time when states across much of the world were retreating from responsibility for livelihoods and welfare, the world’s second most populous country—with nearly two-thirds of its people living in rural or semi-rural areas—committed itself to guaranteeing 100 days of employment a year to its rural population.

When a city rebuilt forgets its builders: Migrant workers’ struggle for sanitation in Bhuj

Khasra Ground site By Aseem Mishra* Access to safe drinking water and sanitation is not a privilege—it is a fundamental human right. This principle has been unequivocally recognised by the United Nations and repeatedly affirmed by the Supreme Court of India as intrinsic to the right to life and dignity under Article 21 of the Constitution. Yet, for thousands of migrant workers living in Bhuj, this right remains elusive, exposing a troubling disconnect between constitutional guarantees, policy declarations, and lived reality.

Policy changes in rural employment scheme and the politics of nomenclature

By N.S. Venkataraman* The Government of India has introduced a revised rural employment programme by fine-tuning the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), which has been in operation for nearly two decades. The MGNREGA scheme guarantees 100 days of employment annually to rural households and has primarily benefited populations in rural areas. The revised programme has been named VB-G RAM–G (Viksit Bharat Guarantee for Rozgar and Ajeevika Mission – Gramin). The government has stated that the revised scheme incorporates several structural changes, including an increase in guaranteed employment from 100 to 125 days, modifications in the financing pattern, provisions to strengthen unemployment allowances, and penalties for delays in wage payments. Given the extent of these changes, the government has argued that a new name is required to distinguish the revised programme from the existing MGNREGA framework. As has been witnessed in recent years, the introdu...

Rollback of right to work? VB–GRAM G Bill 'dilutes' statutory employment guarantee

By A Representative The Right to Food Campaign has strongly condemned the passage of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB–GRAM G) Bill, 2025, describing it as a major rollback of workers’ rights and a fundamental dilution of the statutory Right to Work guaranteed under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). In a statement, the Campaign termed the repeal of MGNREGA a “dark day for workers’ rights” and accused the government of converting a legally enforceable, demand-based employment guarantee into a centralised, discretionary welfare scheme.

'Structural sabotage': Concern over sector-limited job guarantee in new employment law

By A Representative The advocacy group Centre for Financial Accountability (CFA) has raised concerns over the passage of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (VB–G RAM G), which was approved during the recently concluded session of Parliament amid protests by opposition members. The legislation is intended to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

Making rigid distinctions between Indian and foreign 'historically untenable'

By A Representative Oral historian, filmmaker and cultural conservationist Sohail Hashmi has said that everyday practices related to attire, food and architecture in India reflect long histories of interaction and adaptation rather than rigid or exclusionary ideas of identity. He was speaking at a webinar organised by the Indian History Forum (IHF).

'Festive cheer fades': India’s housing market hits 17‑quarter slump, sales drop 16% in Q4 2025

By A Representative Housing sales across India’s nine major real estate markets fell to a 17‑quarter low in the October–December period of 2025, with overall absorption dropping 16% year‑on‑year to 98,019 units, according to NSE‑listed analytics firm PropEquity. This marks the weakest quarter since Q3 2021, despite the festive season that usually drives demand. On a sequential basis, sales slipped 2%, while new launches contracted by 4%.

From jobless to ‘job-loss’ growth: Experts critique gig economy and fintech risks

By A Representative Leading economists and social activists gathered in the capital on Friday to launch the third edition of the State of Finance in India Report 2024-25 , issuing a stark warning that the rapid digitalization of the Indian economy is eroding welfare systems and entrenching "digital dystopia."

Search This Blog