Cement, Energy and Environment

minerals for regional and detailed explora on, the Trust shall give priority to the explora on of strategic and cri cal minerals. c. The explora on ac vi es of the Trust shall be taken up to a level where the grant of mineral concessions in respect of such minerals is possible through the procedures laid down in the Act. d. The Trust fund may also be used for taking up any such study as may be required for Exploita on of any mineral resources discovered. Such studies could cover areas of min development, sustainable mining, adop on of advanced scien fic and technological prac ces as well as mineral extrac on metallurgy. e. The Trust fund may also be used for funding special studies and projects designed to iden fy, explore, extract, beneficiate and refine deep- seated or concealed mineral deposits. f. The Trust fund may be used for any other purposes that the Trustees may decide to be desirable or expedient in the interest of development and exploita on of India's mineral resources. 4. Contribu ons to the Trust Fund - Every holder of mining lease, or a prospec ng-cum-mining lease which is in the stage of produc on through mining, shall pay a sum equivalent to 2% of the royalty paid in terms of the Second Schedule along with the periodical payments of royalty to the concerned State Governments. 2.2.4.2 District Mineral Fund Trust (DMFT) Ministry of Mines has amended the Mines and Minerals (Development and Regula on) (MMDR) Act, 1957 through the MMDR Amendment Act, 2015, one of the important provisions being the introduc on of sec on 9(B); for the establishment of District Mineral Founda on (DMF) in districts affected by mining related opera ons. The object of DMFs is to work for the interest and benefit of persons and areas affected by mining related opera ons, the DMFs will be funded by statutory contribu ons from holders of mining lease and in this regard, rules specifying rates of contribu on to DMFs has been no fied on 17.09.2015, which prescribes the rate of contribu on to DMF as follows: (a) 10% of royalty in respect of mining leases granted on or a er 12.1.2015; and (b) 30% of royalty in respect of mining leases granted before 12.1.2015 Contribu on will directly go to the District Mineral Founda on Trust (DMFT) of the respec ve district. The Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) has been conceived by the Central Government which will be implemented by the District Mineral Founda ons (DMFs) of the respec ve districts using the funds accruing to the DMFT. At least 60% of PMKKKY funds will be u lized for high priority areas like: (i) drinking water supply; (ii) environment preserva on and pollu on control measures; (iii) health care (iv) educa on; (v) welfare of women and children; (vi) welfare of aged and disabled people; (vii) skill development; and (viii) sanita on. The rest of the funds will be u lized for the following: (i) physical infrastructure; (ii) irriga on; (iii) energy and watershed development; and (iv) any other measures for enhancing environmental quality in mining district. Direc ons have been issued under sec on 20A of MMDR Act on 16.09.2015 to all States to incorporate the PMKKKY into the rules framed by them for the District Mineral Founda ons. 36

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