By Our Correspondent in Bhubaneswar, February 3, 2015 :

Eastern Zone Mining Association [EZMA] on Tuesday sought resumption of operation of closed mines in Odisha at the earliest to revive the sagging economy of the region and the state.

Twenty-six mining leases – under second and subsequent renewal having all statutory clearances were operating, had to stop operation following the Supreme Court order on May 16, last year. However, with Apex Court clearing the hurdles, the state government had ordered for resumption of activities in eight mines.

But the mining operation of 18 mines continued to be closed. The EZMA urged the state government to allow operation in these mines immediately post the Mines and Minerals (Development & Regulation) Amendment Ordinance, 2015 (Ordinance).

A delegation of EZMA led by its president, R L Mohanty met chief secretary, G C Pati and impressed upon his the need for normal operation of mines which will help in a considerable increase to the exchequer leading to over all development of the state.

“This will also be in the interest of all the stakeholders and addressing issue of raw materials availability. It is also pertinent to mention that any delay in resumption of mining operation of the closed mines will lead to curtailment of the tenure of effective working of the mines”, the EZMA’s representation to chief secretary said.

Welcoming the MMDR Amendment Ordinance, 2015 was has been promulgated by the President of India on 12^th January, 2015 amending certain provisions of the existing Mines and Minerals (Development & Regulation) Act, 1957, the EZMA said it has provided great relief to the mining industry.

EZMA has pointed out that under Section SA (5) and SA (6) of this Ordinance, the validity of the mining lease has been deemed to be extended for the period as applicable.

“Notwithstanding anything contained in sub-section (2), (3) and subsection (4), the period of lease granted before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Ordinance, 2015 where mineral is used for captive purpose, shall be extended and be deemed to have been extended upto a period ending on 31st March 2030 with effect from the date of expiry of the period of renewal last made or till the completion of renewal period, if any, or a period fifty years from the date of grant of such lease, whichever is later, subject to the condition that all the terms and conditions of the lease have been complied with”

Similarly, “8A(6) Notwithstanding anything contained in sub-section (2),(3) and sub-section (4), the period of lease granted before the date of commencement of the Ordinance where mineral is used for other than captive purpose, shall be extended and be deemed to have been extended upto a period ending on 31st March 2020 with effect from the date of expiry of the period of renewal last made or till the completion of renewal period, if any, or a period fifty years from the date of grant of such lease, whichever is later, subject to the condition that all the terms and conditions of the lease have been complied with.”

EZMA has pointed out that since the period of mining lease has been extended up to 31t March, 2020 in the case of mining leases where minerals are used for other than captive purposes and 31 March, 2030 in case of leases where minerals are used for captive purpose with effect from the date of expiry of the period of renewal last made or till the completion of renewal period if any or a period of 50 years from the date of grant of such leases, whichever is later, the state government should take steps to immediately lift the ban on the mining operations.

Some 102 mines were closed due to want of statutory clearances. “Once all necessary statutory clearance(s) are obtained by any of the mines they should be permitted to commence operation”, the EZMA said.

“It is our request that the Government may seek leave of the Supreme Court in these cases so that the operation of these mines can resume”, EZJMA president R L Mohanty told Bizodisha.