Auctioning leases the only way out: Goa govt on mining ban

A cabinet committee in Goa is of the view that auctioning the mining leases is the only way to resolve the crisis in the mining industry.

The cabinet advisory committee's members - Sudin Dhavalikar, Vijai Sardesai and Francis D'Souza - met yesterday to discuss what steps the state government needed to take to help the mining industry and its stakeholders.

The panel also resolved to file a review petition in the Supreme Court (SC) in connection with the mining issue.

The SC had last month quashed the second renewal of iron ore mining leases given to 88 companies in Goa in 2015.

The apex court said it was giving time till March 15 to mining lease holders, who have been granted a second renewal in violation of its previous directions, to manage their affairs.

They are directed to stop all mining operations with effect from March 16, until fresh mining leases (not fresh renewals or other renewals) are granted and fresh environmental clearances are granted, the court had said.

Goa's senior minister Dhavalikar said today that the state has no other option but to auction the mining leases.

"Nobody can stop the auction as there is a Supreme Court order...we cannot ignore it," he told reporters here.

Dhavalikar, however, said the state government will examine the implications of the auctioning process as the interest of people dependent on this industry needs to be protected.

Sardesai also agreed to Dhavalikar's view, but cautioned that the auctioning of leases "should not be done at the cost of people dependent on the mining industry."