The Mines Ministry in its presentation to Prime Minister Narendra Modi today highlighted the need for unlocking country's true potential in the mineral sector by enhancing exploration work through strengthening the GSI and the IBM.
Sources said Mines Secretary Anup Pujari also discussed the issue of raising royalty rates for minerals such as iron ore and bauxite and the likely content and contour of a new MMDR Bill.
Though India is blessed with ample resources of a number of minerals and has geological environment for various others, scientific and detailed prospecting had been below par. Pujari highlighted the need for enhancing exploration work in the mineral bearing areas.
The secretary pleaded for the strengthening of Geological Survey of India (GSI) and the Indian Bureau of Mines (IBM) with manpower, equipment and skill-sets during the meet in which both the senior and junior mines ministers were present.
A Working Group on mines for the 12th Plan had projected Rs 4,596 crore outlay for strengthening the GSI and Rs 300 crore each for IBM and state-run Mineral Exploration Corporation Ltd (MECL) for 2012-17.
On revising royalty rate for various minerals, Pujari has said that the matter has been pending for nearly two years now and a draft Cabinet note has already been circulated for inter -ministerial discussion. The move, if approved by the Cabinet, would swell the annual revenue collection of the states by 41 per cent to Rs 13,270 crore.
Pitching for an urgent passage of a new Mining Act, which would replace Mines and Mineral (Development and Regulation) Bill, 1957, the Mines Ministry sought Prime Minister's views on various issues like profit-sharing with the project-affected people.
To ensure transparency in mines allocation, the secretary also proposed creating an electronic platform for all matters related with the process, sources said.
