Business Standard reported that the Directorate of Mines on December 10th informed the Supreme Court appointed Centrally Empowered Committee that it has completed the process of lease renewal of 40 mines, which are working under deemed extension provision.
Mr Deepak Mohanty after his meeting with CEC officials said that “The CEC queried about the status of mines operating under deemed extension provision. We informed them that we have sent recommendation letters for 40 mines out of 50 working under deemed extension basis. Rest of the cases will be expedited soon.”
In its report in April 2010, the CEC said that at the misuse of deemed extension clause in Odisha under Rules 24-A (6) of Mineral Concession Rules (MCR)-1960 and had criticized the government for sitting over mining lease renewal applications for as long as 10 years.
As per MC Rules, if the state government does not process a lease renewal application filed one year before of date of lease expiry, then the miner can continue to operate the mine even after lease expiry, which will be considered as deemed extension of lease validity.
According to information given by Mr Rajanikant Singh minister for steel & mines in the state assembly, mine owners like TATA Steel, Jindal Steel & Power Ltd, Odisha Mining Corporation, Essel Mining & Industries Ltd, Mid East Integrated Steel Ltd, Ferro Alloys Corporation, Rungta Sons and KJS Ahluwalia are operating their leases under deemed extension.
Mr Mohanty said that “We told them about the committee formed by the state government to expedite the lease renewal cases.”
