Saturday, December 06, 2025 | 07:32 AM ISTहिंदी में पढें
Business Standard
Notification Icon
userprofile IconSearch

Govt to scrap prior approval clause in MMDR to speed up coal mining leases

Centre believes the clause results in duplicity and complexity of efforts; even after lease is granted, it takes time for lessee to start actual mining operations

Merchant mining leases lapsing by March 2020 may get three-year extension
premium

The amendment is expected to do away with the process of state governments obtaining the approval entirely and lessees will be required to obtain the F&E clearances and approach the state government directly for allotment

Avishek Rakshit Kolkata
Aiming to speed up coal mining leases and boost ease of doing business, the Centre is in the process of amending the Mines and Minerals (Development and Regulation) Act to do away with the “prior approval clause”. 

The Centre is of the view that the aforesaid clause results in duplicity and complexity of efforts due to which even after a lease has been granted, it takes time for the lessee to commence actual mining operations. The move comes in wake of the Centre adding another four coal mines to the existing 42 that will be put up for auctions and allocation