Yeddyurappa urges PM to ban export of iron ore, other minerals
From Our Special Correspondent
Daijiworld Media Network
Bangalore, Jul 3: In a bid to demonstrate his seriousness in curbing the large-scale extraction and export of iron ore and other precious natural resources like minerals, Karnataka Chief Minister B S Yeddyurappa has urged Prime Minister Man Mohan Singh to convene a meeting of all chief ministers of mineral rich states to evolve a national policy to curb unbridled exploitation of iron ore and other natural mineral resources.
In an official letter to Dr Singh, the copies of which were released to the press, the chief minster underscored the need for putting an end to the exploitation of iron ore and other natural resources in view of their non-renewable nature. ``Otherwise, in very few years, our country will exhaust all its mineral resources. Unless this is stopped, we will be doing a great dis-service to our future generations,” he said.
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``There is an urgent need to put in place a comprehensive policy to ban export of iron ore,” the chief minister said suggesting that it was necessary to ``make it mandatory that iron ore and other such precious minerals are utilised for value addition within the country itself.”
Yeddyurappa explained that over-exploitation of mines and illegal mining has been a major concern of all the mineral rich States of the country. Despite efforts by various State Governments, these problems are persisting across the States. A major reason is the indiscriminate export of iron ore and other such minerals.
Unless certain curbs are placed on export of iron ore, etc. undue exploitation and illegal mining are likely to continue, he said indicating that his Government took the initiative to bring out a Value Added Policy in the mining sector.
``You will be happy to know that Karnataka was the first Government to introduce such a Policy. As per this Policy, put in place in December 2008, the Government of Karnataka recommends mining leases only where the applicant demonstrates that there is value addition within Karnataka. In other words, the applicant has to either process the iron ore himself or has to tie up with another local manufacturing Processing Company in Karnataka.”
``This Policy was well received not only by the people of the State, but also the industrialists and entrepreneurs. In the recent Global Investors Meet held on June 3 and 4, 2010, several Steel Companies both multi-national Companies (like Arcelor Mittal & Posco) and national Companies (like Essar, Tata Metaliks, etc.) have signed MoUs with the Government of Karnataka.”
``Our Value Added Policy for the mining sector has contributed substantially for such an encouraging response. In addition to the Value Added Policy, the Government, has also taken several other measures in connection with the mining sector,” Yeddyurappa said.
The various measures taken by the BJP government in the state, including the constitution of a high-level Coordination-cum-Empowered Committee under the Chairmanship of the Chief Secretary to monitor the implementation of various measures and to resolve issues arising in the mining sector, as listed by the chief minister in his letter to the Prime Minister are:
1. The practice of issue of bulk permits which were being misused by the miners has now been stopped and specific permits are being issued for each load and trip;
2. Introduction of bar coding and hologram based trip sheets in order to improve the tracking of the consignments as well as to avoid permits being faked;
3. Introduction of integrated check-posts in several locations of the State to ensure better coordination of various Departments like Mining, Forest, Commercial Taxes, Transport and PWD;
4. Karnataka is one of the States which actively pursued with the Government of India to shift to advalorem mining royalty. With this, revenue from mining has substantially increased from Rs 80 crore per year to around Rs 320 crore per year;
5. Decision to put in place toll plazas in 10 places on the highways of the State with computerized weigh in motion facility so that there is proper accounting of ore mined and transported, to be operational during the current year;
6. In the last 2 years of 2008-09 and 2009-10, over 16.45 lakh vehicles were inspected and fines were levied on over 30,400 vehicles. 1,818 cases were booked. Over 6.5 lakh tonnes of iron ores also seized and auctioned;
7. Proposal to introduce e-Permits in order to ensure further transparency and accountability;
8. Use of high resolution satellite data to detect unauthorized encroachment of mining areas.