The Centre has asked the Orissa government to expedite the process of granting the mining lease (ML) for Potangi bauxite mines in favour of the public sector National Aluminium Company Limited (Nalco) as this crucial for the company’s future expansion plans.
Though Potangi mines was reserved for Nalco by the Union mines ministry, the grant of mining lease is pending in the absence of required recommendation from the Orissa government.
The request to expedite the process of granting mining lease to Nalco came up during a meeting of Union mines secretary Santanu Consul with chief minister Naveen Patnaik in the state secretariat on Friday.
“We requested the Orissa government to expedite the process of grant of ML for Potangi mines in favour of Nalco. We hope the state government will consider the proposal in a positive way”, Consul told the media after the meeting.
He said, Nalco plans to set up a greenfield smelter and needs Potangi mines to carry on the expansion work.
Asked about the reported opposition of the state government about the seamless transition in the proposed minerals policy, Consul said, the Orissa government wants value addition of minerals. The mines ministry is working on the possible ways through which value addition of minerals can be given priority.
Referring to the proposed amendment to the MMDR Act, he said, the state government is being consulted in the matter and it has been requested to give its comment on the proposed amendment in two months time. Consul also held discussions with the chief secretary and senior officials of the steel and mines department in this regard.
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The State Level Single Window Clearance Authority (SLSWCA ) has already approved Nalco’s proposal for setting up a 0.5 mtpa aluminium smelter and 1260 Mw captive power plant (CPP) at an investment of Rs 16,345 crore. This proposal is awaiting the approval of the High Level Clearance Authority (HLCA) headed by the chief minister.
Sources said, the chief minister during his discussion with the Union mines secretary requested him to reserve the Sashu Bahumali bauxite mines in favour of the state owned Orissa Mining Corporation (OMC).
“The chief minister has requested the Union mines secretary to reserve the Sashu Bahumali bauxite mines for OMC”, Ashok Dalwai, secretary, steel and mines, Orissa government said.
The chief minister also drew the attention of the Union secretary about the non-revision of royalty on iron ore which is due since 2007, he said.