Chief Minister Naveen Patnaik on Wednesday once again raised the issue of introducing mineral resource rent tax at the rate of 50 per cent of the surplus rent on super normal profits earned by mines owners.
Raising the issue at the Chief Ministers conference in New Delhi, Naveen said a handful of mining companies are making super normal profits while the affected tribal communities are not benefiting out of them at all. “The additional and very sizable revenue will enable the State to invest in infrastructure and jobs which would directly benefit the tribal community in the mining affected areas,” he said.
The Centre had rejected the State’s demand saying the Mines and Mineral Development and Regulation (MMDR) Bill has the provision that the mining lease holders will have to deposit an equal amount of royalty paid to the Government to district mineral foundations to be utilised for the development of mine areas and rehabilitation of displaced families.
Apart from raising the issue at the National Development Council meeting and Chief Ministers’ conference, Naveen had written several times to Prime Minister Manmohan Singh and Union Minister of Mines Dinsha J Patel on MRRT issue. Besides, State Cabinet last year resolved to request the Centre to pilot a legislation to levy tax on mine-owners making super profit.
The Chief Minister has been accusing the Centre of ignoring the State’s demand under pressure from the mining lobby.
He asked the Centre for early reimbursement under the security related expenditure scheme under which `135.41 crore has been spent between 2005-06 and 2011-12 in 19 earmarked districts.Naveen also sought the Centre’s approval for fortification of police stations and outposts in the troubled areas along with the creation of a few new police stations as per requirement.
While the Centre has sanctioned 70 new fortified police stations in the affected areas, the State Government has created 76 new stations in 2009 covering all extremist areas, he said.