Gujarat government has collected Rs. 281.80 crore as mineral royalty from mining industry in the state for the nine months upto December 2008. However, the royalty income in 2008-09 is tad lower as compared to royalty collected in 2007-08.
"Gujarat government's income from mineral royalty stood at Rs 363.43 crore by the end of fiscal 2007-08. As on December 2008, Gujarat has registered royalty income of Rs. 281.80 crore", Gujarat government said in a written reply in the state assembly. Royalty income is likely to increase by the end of fiscal 2008-09.
Gujarat is a mineral rich state both in terms of reserves and production. The sector contributes 2.9 per cent of the State Gross Domestic Product (GSDP). Gujarat government has been constantly trying to control illegal mining of minerals in the state.
Data provided by the government show that the government officials have recovered Rs. 10.18 crore as on December 2009 by surprise checks and searches. In 2007-08, total 7,635 cases were filed agaist those indulging in illegal mining and Rs. 14.88 crore were collected from them.
Apart from a panel of chartered accountants to scrutinise mine leases and records to control royalty evasion, government has also set up a special cell to detect evasion of royalty.