BHUBANESWAR: In one of the major regulatory overhauls in recent times, the Odisha government has effected technology-driven reforms to curb illegal mining and plug revenue leakages.
Making automated access control systems, single-entry and single-exit stockyards, AI-based camera surveillance, AI edge processing and real-time video streaming mandatory, the Steel and Mines department has made some significant changes in the rules and regulations mandating how minerals will be traded, transported and stored.
As per the operational guidelines issued by the department for implementation of the Odisha Minerals (Prevention of Illegal Mining and Regulation of Trading, Transportation and Storage) Rules, 2025, a unified state-controlled digital platform will serve as the single source for mineral administration.
The platform will capture, transmit, store and monitor in real time all data related to mineral production, grade analysis, storage, transportation and dispatch. It will be seamlessly integrated with field-level devices such as online bulk analysers, weighbridges, radio frequency identification (RFID) systems and AI-enabled cameras, ensuring end-to-end digital oversight of mineral operations. A major reform introduced under the new rules is the compulsory adoption of direct bulk sampling and analysis, replacing traditional manual sampling methods. Mineral grade will now be determined continuously through online analysers installed on conveyor belts or dispatch systems.
Accordingly, the analyser-generated data will form the final and binding basis for calculation of royalty, District Mineral Foundation (DMF), National Mineral Exploration Trust (NMET) and other statutory dues.
A scientifically defined permissible tolerance limit has been prescribed to address variation between online analyser readings and government laboratory verification. Any excess deviation would trigger penalties and revenue recovery, the guidelines stated.
In the new rules, stockyard operations have been placed under stringent control. Establishment of intermediate stockyards within a 40-km radius of the mining source has been restricted. However, such stockyards can be used by state or central PSUs either for captive consumption or for sale outside, but not both. Storage limits have been capped at 0.1 million tonnes for captive use and 50,000 tonnes for sale purposes, with minerals allowed to be stored only after payment of all statutory dues.
Every stockyard will now have to follow a single-entry and single-exit design, even if multiple lanes exist, with distances validated through GIS-based shortest all-weather motorable routes. Entry and exit gates will be equipped with automated boom barriers interlocked with RFID readers and AI cameras featuring automatic number plate recognition.
For mining lessees, the state government has imposed a minimum 95 per cent uptime requirement for all critical digital systems, including analysers, AI cameras and weighbridges. To prevent mixing, diversion and manipulation, the guidelines mandate minimum separation distances between stockpiles, physical segregation through fencing and clear labelling.
Hundred per cent AI camera coverage of stacking areas, weighbridges and entry-exit points, ensuring zero blind spots have also been mandated. These cameras will detect ore size and type, flag discrepancies on the digital platform, disable e-pass generation in case of irregularities and detect unauthorised intrusion or material movement.