The government's failure to come up with a solution to the crisis indicates that the state administration has collapsed, it claimed.
The people dependent on the industry have been protesting across the state, demanding resumption of the iron ore extraction activity.
"The government's failure to come up with a comprehensive solution to the mining issue indicates that the state administration has collapsed," he said.
Also, the failure of the central government to find a solution is a reflection of its "non-serious approach" on the issue of resumption of sustainable mining in Goa, he said.
Naik claimed there was a complete breakdown of governance in the state with the cabinet advisory committee, formed by Chief Minister Manohar Parrikar to take decisions in his absence, being a "bundle of contradictions".
He said the advisory committee's members - Sudin Dhavalikar (of the Maharashtrawadi Gomantak Party) and Vijai Sardesai (of the Goa Forward Party) - were speaking in different tones on the mining issue.
The third member of the panel, Francis D'Souza (of the BJP), preferred travelling abroad on long leave, he quipped.
Before leaving for the US for a medical treatment, Parrikar had in March formed the cabinet advisory committee to guide the state administration on governance and other issues, in his absence.
The MGP and the Goa Forward Party are allies of the ruling BJP in the coastal state.
Naik said this has exposed the government's indecisiveness on the issue.
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