Iron ore mining: Centre to ask for raise in Karnataka's cap to 40 mt

Conceding to the request of the Karnataka government and steel majors such as JSW Steel, the Centre has agreed to recommend to the Supreme Court-appointed central empowered committee (CEC) to increase the iron ore mining cap in the state from 30 million tonnes to 40 mt.

“We have a listened to the arguments of both the state and the companies working there. The Centre will (so) recommend to the CEC,” a senior official said. “However, the actual mining in Karnataka has been only 20-21 mt. So, the CEC would be informed that the actual production from the state would not rise beyond 30 mt.”

The apex court banned mining of ore in Karnataka in July 2011, following allegations of illegalities that had resulted in large scale abuse of the environment. In April 2013, the court allowed resumption in line with CEC recommendations, with the output cap of 30 mt annually.

“Each mining company in Karnataka has been given an upper limit by the government. As some companies are not utilising their limit, the production is lingering at 20-21 mt. We want this to increase up to 30 mt,” explained the official.

In July 2014, after meeting with Union mines minister Narendra Singh Tomar, state chief minister Siddaramaiah said, “Since the state is suffering due to lack of iron ore, we have sought the Centre’s help in our application before the Supreme Court.” If the CEC is satisfied with the central government’s presentation, it will have to recommend to the apex court to increase the cap. The final decision will then be taken by the court.

The CEC was first constituted in May 2002, by the SC, as an interim body until creation of the statutory agency contemplated under Section 3 (3) of the Environment Protection Act.