The Cabinet Thursday approved National Mineral Policy 2019 which will "lead to sustainable mining sector development" in future, while addressing the issues of project affected persons, especially those residing in tribal areas, according to an official statement.
"The 2019 policy proposes to grant status of industry to mining activity to boost financing of mining for private sector and for acquisitions of mineral assets in other countries by private sector," said the release after the Cabinet meeting.
National Mineral Policy 2019 replaces the extant National Mineral Policy 2008 ("NMP 2008") which was announced in 2008.
The aim of National Mineral Policy 2019 is to have a more effective, meaningful and implementable policy that brings in further transparency, better regulation and enforcement, balanced social and economic growth as well as sustainable mining practices, it added.
The new policy includes provisions to encourage private sector to take up exploration, encouragement of merger/acquisition of mining entities and transfer of mining leases, besides creation of dedicated mineral corridors to boost private sector mining areas.
It also mentions that long-term import export policy for mineral will help private sector in better planning and stability in business.
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"The policy also mentions rationalise reserved areas given to PSUs which have not been used and to put these areas to auction, which will give more opportunity to private sector for participation," the release said.
The policy also mentions to make efforts to harmonise taxes, levies & royalty with world benchmarks to help private sector.
Changes introduced in the new policy include focus on Make-in-India initiative and gender sensitivity in terms of the vision.
It also introduces the concept of inter-generational equity that deals with the well-being not only of the present generation but also of the generations to come.
It also proposes to constitute an inter-ministerial body to institutionalise the mechanism for ensuring sustainable development in mining.