Call for Mine Priority to End-use Plants

Published: 29th October 2014 06:03 AM  |   Last Updated: 29th October 2014 06:03 AM   |  A+A-

BHUBANESWAR: The All Odisha Steel Federation (AOSF) has urged the State Government to reject the applications of merchant miners for second and subsequent renewal of their iron ore mine leases and re-allocate the mines to the industries having end-use plants in the State.

The fate of 18 such lease renewal applications, most of which belong to stand-alone mines, is pending approval of the State Government.

“The State Government should refuse renewal of all mining leases awaiting second and subsequent renewal if they are not in the interest of mineral development. These mines should be allocated to steel companies operating in the State without captive mines,” AOSF president PL Kandoi wrote to Chief Minister Naveen Patnaik.

The federation has urged the Government to reject the applications for second and subsequent renewal as per the October 3, 2012 policy resolution of the Steel and Mines Department.

The State Government had then taken a decision of not renewing standalone mining leases after 20 years of first renewal in the interest of mineral development. Instead, it had decided to reserve the leases owned by miners without any end-use plants for OMC. The policy resolution stipulates that the raising may be limited to the captive consumption till a decision is taken for renewal of part of whole of mining lease depending upon the reserve assessed.  The Government should re-grant the non-renewed mining leases to the existing mineral-based industries in the State for meeting captive requirement, the letter stated.

More from Odisha.


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