Secondary steel, pellet makers oppose plan to ease mining lease area cap

State had asked Union mines ministry to revise area limit to 58 sq km for iron ore and other minerals from 10 sq km currently; pellet makers move PMO, ministries of mines and steel

Secondary steel players and pellet makers most of which are running their units at depleted capacities have stoutly opposed a proposal by the Odisha government to the Centre for relaxing the ceiling on mining lease area.

Under Section 6 (1) (b) of Mines and Minerals- Development & Regulation (MMDR) Act, any leaseholder with 10 square kilometres (km) or more area in its control is debarred from acquiring any more mining lease in a state.

To overcome this restraining clause, the state government had shot off a missive to the Union mines ministry, to revise the area limit to 58 sq km for