Royalty on minerals to states saw steady increase: Centre in Parliament
Aug 09, 2023
New Delhi [India], August 9 : There has been a steady increase in royalty on minerals to states over the years, Parliament was told on Wednesday.
In a written reply in Lok Sabha today, Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi has put the year-wise details from 2016-17 to 2021-22 (Provisional).
Data showed the royalty which was Rs 9,695.88 crore in 2016-17 rose to Rs 38,840.48 crore in 2021-22.
As per the relevant Acts, every mining lease holder needs to pay a royalty for major minerals removed or consumed as per the royalty rates specified in the Second Schedule of the Mines and Minerals (Development and Regulation) Act, 1957.
Further, through an amendment in the MMDR Act on January 12, 2015
an auction regime was introduced for the grant of mineral concessions to improve transparency and to ensure that state governments get a fair share of revenue in terms of auction premium in addition to royalty revenue in the allocation of natural resources.
Due to the operationalisation of auctioned mines, the revenue to the state governments from the mineral sector has increased considerably, the minister said.
