Most states don’t have data related to mining operations: Report

New Delhi: Only Chhattisgarh and Odisha have started the system of collecting data related to mining operations, whereas other states have failed to detect production loss and verify the mineral output claimed by miners, according to a report. Besides, states like Gujarat, Kerala, Rajasthan, Uttar Pradesh and West Bengal could not furnish the extraction figures of major minerals, said the Natural Resource Accounting Report.

7 states do not have extraction figures for major minerals

The report prepared by the government accounting standards advisory board under the aegis of the Comptroller and Auditor General (CAG) of India said that states like Gujarat, Kerala, Meghalaya, Rajasthan, Tamil Nadu, Uttar Pradesh and West Bengal could not provide the extraction figures of major minerals. Further, Madhya Pradesh did not have extraction as well as production figures. Their asset accounts were solely based on dispatch figures. "Consequently, states remained unaware about the production loss depicted and claimed by the lessees," it said.

The royalty is collected on the minerals dispatched. Hence, more the production loss, the higher is the revenue leakage. Moreover, cases of irregular claims of production loss also remained undetected on account of such system lacunae.

Only Chhattisgarh could provide the detailed position of extraction, production and dispatch of resources along with the production loss, which was within five percent.

Most states don't have a comprehensive mineral map

Most states have not prepared a comprehensive mineral map of the state yet.

The report said, states should be encouraged to prepare mineral maps as it would be the first step towards effective management of these resources.

Besides, there are funds earmarked for this purpose under the National Mineral Exploration Trust (NMET) for carrying out the surveys.

There is no system for issuance of premits/transit passes for coal on advance payment of royalty, which is a pre-requisite as per the MMDR Act, 1957.

There is no control and monitoring of the mining officers on the production and dispatch of coal from the mine head. The lessees have their own system of issuing permits/passes and weighbridges for measurement, which has no involvement of mines department personnel, it said.

The department also does not have any weighbridges or check gates to monitor actual dispatch of coal.

System highly susceptible to illegal mining: Report

Assessment of revenue is done solely on the basis of returns furnished by the lessees.

"This system is highly susceptible to illegal mining, pilferage of minerals leading to windfall gains to the lessees and connected parties and commensurate loss to the state exchequer," it said.

The state government may take suitable action to establish control and monitoring system and may also look into any case of pilferage of resources leading to revenue loss to the state exchequer.

(With PTI inputs)

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