Will frame transparent mining system for lease approval, auctions: Narendra Singh Tomar

Interview with Union minister for labour, steel and mining

Somesh JhaJyoti Mukul New Delhi
Last Updated : Jul 03 2014 | 1:56 AM IST
Union Labour, Steel and Mining Minister Narendra Singh Tomar is going ahead with restructuring various laws in both the mining and labour sector within a month of taking charge of the office. In an interview to Somesh Jha & Jyoti Mukul, he says the government is committed to legal and responsible mining and that states can go ahead with changes in labour laws according to their needs. Edited excerpts:

Are you going to have a fresh look at the mining Bill, which lapsed with the last government?

The mining sector works with synergy between the Centre and states. The Mines and Minerals (Development and Regulation) (MMDR) Bill has lapsed. We would like to frame a transparent mining system for lease approval and auctions and efforts would be made in that direction. Illegal mining is another issue. We are concerned about that and we are going to hold dialogue with the states, too. We have written a letter to all chief ministers and asked their views on the MMDR Act, some issues related to the Shah Commission report and certain orders by the Supreme Court were also raised (in the letter). I am planning to visit states that are important in terms of mining activity. I am meeting Rajasthan Chief Minister Vasundhara Raje and Goa Chief Minister Manohar Parrikar here on Thursday and will discuss these issues. I will visit Karnataka on Friday and will take their views on this because before going ahead with any decision on mining, we need to bring all the states on board.

Mines are generally not auctioned elsewhere in the world. Does the new government favour auctioning of mines?

There has to be transparency and auctioning is one step in that direction but transparency could come through present provisions, too. I believe if intentions are good, results will be fruitful. This could be one of the problems in the past I think. We will try to put in a transparent system. There is also a view that auctions will lead to higher prices and we have held talks with FEMI, the Confederation of Indian Industry and other stakeholders in this regard. They all have different views.

So would the Bill be overhauled or would you work on the United Progressive Alliance (UPA) Bill?

We are having consultations. We are also discussing whether there could be a technical input when it comes to mining leases so that it is more transparent. Then, GPS (Global Positioning System), RFID (radio-frequency identification) to track iron ore movement, developing mining tenement system to e-enable the process, establishing computerised weigh bridges and transparent and speedy investigations into environment and forests matters.

Will the National Democratic Alliance (NDA) government continue with the benefit-sharing clause in the mining Bill, which mandates that an amount equivalent to royalty paid by coal companies be paid for local development?

The Bill introduced during the UPA tenure has lapsed. There will be a fresh discussion now. There will be different viewpoints of state governments, industry and social groups so we will take all the views and then take a decision. The decisions that are to be taken in public interest, we are closely looking into them.

What came out of your discussions with Union Environment Minister Prakash Javadekar?

There is unanimity among ministries that forests should not be touched. However, in forest areas, if permission can be granted, then the projects should be started without any delay.

Environment-related issues were taken up on a case-to-case basis. Also, most steel plants look for captive iron ore mines or at least some form of raw material security. Most iron ore mines are in forests for which environment clearance is an issue. We are working with the environment ministry to resolve these issues. Some of the issue of environmental clearance (EC) for mineral leases of area less than five hectares could be expedited and both the departments agreed on this.

There has been industrial unrest, especially in the automobile sector, in the recent past and the industry is seeking labour reforms. How will you arrive at a middle path?

Labour laws should be implemented properly and to ensure this is our responsibility. The NDA government under Narendra Modi works in the interest of the poor and is committed to fulfil their social security needs. But when it comes to industry and labour, then obviously, industry and labour are not always on the same page. As Union government, we are answerable. Industry should not be affected by labour unrest and industry does not harm workers' interests. If needed, we will hold tripartite talks and simplify laws.

Usually, minimum wages are set by the state and in some cases, the wages paid out for the MGNREGS (Mahatma Gandhi National Rural Employment Guarantee Scheme) is more than what the states allocate. So what reforms do you propose?

There should be a minimum wage. We want workers to get the wages they deserve, along with uniformity. If some state wants to give more than that, then it is welcome to as states can frame their own laws on this. But if a worker is getting underpaid, then her rights are being compromised. For industry, we have launched a web portal in which 16 central laws are covered. There are also changes related to inspection scheme to overcome the inspector raj. It is observed that there is no uniformity in inspection across industries. Through an online system, the inspector will file the details on that platform leading to transparency.

Will the changes proposed by the Rajasthan government in certain labour laws be reflected at the central level, too?

We have not received their proposed Bill. As labour is a concurrent subject, the state government can frame good laws. Our effort at the Centre would be to strike a balance between business and labour communities. We will consider the proposed amendments when we receive them. But if a state goes ahead with amendments apropos to their local, economic, political and social conditions, then it is a healthy practice.

Do you think it is a good move proposed by Rajasthan in terms of retrenchment of workers where permissions would not be required to retrench 300 workers instead of 100 now? Trade unions have labelled it as anti-labour.

As I have said, the Centre and states have the rights to bring amendments. States can frame laws according to local needs and our duty is to strike a balance between the needs of both the Centre and state, and also labour and industry. We discussed this in the meeting of the labour ministry. But we believe that the rights of the labour should be secured. It is true that there are compliance and transparency issues in certain laws and we will work in framing better laws.

What has been DIPP's proposal for changes in norms related to the National Manufacturing Zone (NIMZ) and how do you view this?

The DIPP has proposed that the special purpose vehicle of the NIMZ would play the role of redeploying the retrenched labour in other units in the same NIMZ. Hence, the units in NIMZ should be exempt from paying retrenchment compensation on the same analogy as mining units. This would need amendments in the Industrial Disputes Act and we are holding consultations. I consider this as a good suggestion from their end.

Prime Minister Narendra Modi talks of employment in his speeches. What is to be done for that?

Ours is a young country and the biggest issue is unemployment. The government's wish is to generate as much employment as we can and we are framing a National Employment Policy for that. The number of Industrial Technical Institutes will be raised, curriculum of these institutes will be revised and public-private partnership models will be developed in this domain, also the training of trainers will be taken up. Employment exchanges will be converted into National Career Centers so that youth is benefited with right counselling. More trades and industries are proposed to be added with amendments in the Apprenticeship Act.
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First Published: Jul 03 2014 | 12:47 AM IST

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