State govt eyes more revenue from mining dept

The officials observe that 15-20 per cent more revenue can be generated  by controlling illegal mining and transportation.

Published: 20th September 2021 08:29 AM  |   Last Updated: 20th September 2021 08:29 AM   |  A+A-

Odisha mines

For representational purposes

By Express News Service

VIJAYAWADA: The State government is focusing on increasing income from the mines department. After observing improper implementation of the guidelines and violations committed by leaseholders, officials of the department are pulling socks to arrest the irregularities, thereby ensuring more revenue.

An official of the AP Mineral Development Corporation (APMDC) said that the department is rolling out the reforms to check the loopholes and making necessary changes for the effective implementation of the existing mining norms. “The State has 24 per cent  potentiality in minor minerals at the national-level. So we are taking every initiative to make use of vast mining resources with twin objectives of giving the required hand-holding to the mining industries and contributing to the State revenue,” the official said. 

“Apart from streamlining the mining operations being taken up in Andhra Pradesh, we are expanding our base in other States by getting mines through auction and we are sure of enhancing the revenue to the State exchequer,” a senior official of the Mines department told TNIE.

He said that introduction of tonnage system instead of cubic metre system, collection of seigniorage through third-party were some of the initiatives taken to increase revenue. The officials said outsourcing the collection of seigniorage fee of all minor minerals will help the department to focus more on arresting illegal mining and transportation. 

The officials observe that 15-20 per cent more revenue can be generated  by controlling illegal mining and transportation.After generating a revenue of Rs 1,643 crore through seigniorage fee in 2020-21 fiscal, the officials are expecting to get 40 per cent more revenue after outsourcing the collection of seigniorage fee. 

Officials said they will take back mines from those leaseholders who have not started mining even after years and give them to new  leaseholders. “While taking measures for generation of revenue, we are also welcoming new entrepreneurs into the mining sector by simplifying the procedures for issuing permits within a month after getting the application,” he added.


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