Union ministry slashes mining penalties, VED welcomes move Nagpur: The Union ministry of mines has significantly reduced penalties for mining lease holders who violate civil rules, according to a recent notification issued last week. The changes apply to infractions other than illegal mining, replacing earlier provisions that mandated imprisonment for minor offenses with civil penalties. The Vidarbha Economic Development (VED) Council, an NGO focused on regional development, had previously raised concerns with the government about easing these penalties. VED’s president, Rina Sinha, highlighted that the organization took the initiative to address widespread issues faced by mine owners and concessionaires. She noted that penalties of up to Rs50 lakh for procedural delays, such as late report filings, created severe operational strain. To address this, VED collaborated with the Indian Mines Managers’ Association and the Mining Engineers Association of India to hold a seminar on the issue. Their recommendations were forwarded to minister of state Ashish Jaiswal. The revised penalties have been widely welcomed as a relief for the mining sector. Previously, for a mining lease covering up to 50 acres, the maximum fine for violating rules or terms related to mineral concessions—such as delayed report submissions—was Rs50 lakh. This has been reduced to Rs1 lakh. For other violations, the fine has been lowered to Rs2 lakh instead of the previous Rs20 lakh. For larger leases exceeding 150 hectares, the penalty has been adjusted to Rs25,000 per hectare, down from Rs50 lakh. These changes were detailed in a note shared by VED’s vice president, B K Shukla. VED emphasized that the new measures aim to balance regulatory compliance with the operational realities of the mining industry.#ashish_jaiswal #ved_council #union_ministry_of_mines #rina_sinha #ved_vice_president_b_k_shukla
