Cement, Energy and Environment

16 THE GAZETIE OF INDIA; EXTRAORDINARY CHAPTER II GRANT OF MINING LEASE (PART 11---SEC. 3(i)) 5. Prerequisites for auction of Mining Lease.- (I) The State Government may initiate an auction process for grant of a mining lease with respect to an area within the State if the mineral contents in such area has been established in accordance with the provisions of the MineraJs (Evidence ofMineraJ Contents) Rules, 2015. (2) The State Government shaJI, prior to issuance of the notice inviting tender with respect to mineral auction, identify and demarcate the area where a mining lease is proposed to be granted through auction by using total station and differential global positioning system and the area so demarcated shall be classified into forests land, land owned by the State Government and land not owned by the State Govern~rent. (3) The extent of area so demarcated shall include area required for all the activities falling under the definition of 'mine' as defined in clause G) of sub-section (I) of section 2 of the Mines Act 1952 (35 of 19.52). 6. Eligiblllty for Mining Lease.- (I) For the purpose of participating in the auction of mining lease, an applicant shall meet the requirements as specified in section 5 and the terms and conditions of eligibility as specified in ScheduJe I. (2) The State Government may having regard to article 244 and the Fifth Schedule and Sixth ScheduJe to the Constitution, the provisions of the Panchayats (Extension to the Scheduled Areas) Act, 1996 (40 of 1996); and the Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 (2 of 2007), make such amendments to Schedule I as it may deem necessary. (3} The powers of Central Government under the proviso to sub-section (6) of section lOB shaJI be exercised by the State Government for reservation of particular mine or mines for any particular end use including the end use as specified in Schedule U and the State Government may earmark certain percentage of mines for end use. (4) Where the State Government reserves a mine or mines for any particular specified end use, the minerals extracted under the mining lease shaJI,- (i) be utilised solely for the specified end use; and (ii) not be sold or transferred or otherwise disposed of, either directly or indirectly. (5) The eligibility for participating in the auction shall be determined as per the terms and conditions of eligibility for participating in the auction and the Successful Bidder shall be decided solely on the basis of financial bids submitted by the eligible bidders. 7. Electronic Auctlon.- (I) An auction shaH be conducted only through an online electronic auction platform. (2) The State Government may utilise any online electronic auction platform which meets the minimum technical and security requirements as specified in the Guidelines for compliance to Quality requirements of e– Procurement Systems issued by the Standardisation Testing and Quality Certification Directorate, Department of Information Technology, Ministry of Communications and Information Technology, Government of India. 8. Bidding parameters.- (1) The State Government shall specify in the tender document the minimum percentage of the value of mineral despatched, which shaJI be known as the "reserve price". (2) The value of mineral despatched shall be an amount equaJ to the product of,- (i) mineral despatched in a month; and (ii) saJe price of the mineral (grade-wise and State-wise) as published by Indian Bureau of Mines for such month of despatch. (3) The bidders shaJI quote, as per the bidding parameter, for the purpose of payment to the State Government, a percentage of value of mineral despatched equal to or above the reserve price and the successful bidder shall pay to the State Government, an amount equal to the product of,- (i) percentage so quoted; and (ii) value of mineral despatched. (4) Where an area is being auctioned for more than one mineral, the percentage of value of mineral despatched as quoted by the successful bidder under sub-rule (3) shaJI be applicable for the purpose of pay ~rent to the State Government in respect ofeach such mineral. (5) If subsequent to grant of a mining lease, one or more new minerals are discovered, the percentage of value of mineral despatched as quoted by the successful bidder under sub-rule (3) shall be applicable for the purpose of payment to the State Government in respect of each such mireral. 21 LIBRA