01 The ministry had put out a draft of the Bill in the public domain in June 2010.

The ministry had put out a draft of the Bill in the public domain in June 2010. A Group of Ministers (GoM) was
constituted under Pranab Mukherjee, the then minister of finance, to consider the draft Bill and give
recommendations on various issues -- including one on sharing profits from mining with the local community. The
GoM recommendations were included in a new draft in 2011 (see attached note on the new draft). The Bill has
not yet progressed from its draft stage.
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Mineral Concession Rules, 1960: The Mineral Concession Rules (MCR) outline the procedures and conditions
for obtaining a prospecting license and mining lease. These rules also stipulate that a ‘mining plan’ shall
41, Tughlakabad Institutional Area, New Delhi 110 062, INDIA

incorporate, among others, a plan of the area indicating water sources, limits of forest areas, density of tress, impact
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of mining activity on forest, land surface and environment including air and water pollution; scheme for restoration
of the area by afforestation, adoption of pollution control devices and such measures as may be directed by
Centre for Science and Environment

concerned Central and state government agencies. Environmental management plans, it follows, are part of the
mining plans.

Mineral Conservation and Development Rules, 1988: The Mineral Conservation and Development Rules
(MCDR) lay down guidelines for ensuring mining on a scientific basis, while conserving the environment at the same
time. The MCDR also govern the specifications in terms of submission and reporting in case of reconnaissance
operations, prospecting or applying for a mining plan. These rules also specify the operation and working of open-
cast and underground mines, procedures to follow in case of abandonment or temporary closure of mines, and
beneficiation studies.

Environmental legislation: Environmental legislation has to cover many areas, including comprehensive
environmental impact analysis to ensure that projects that are ecologically destructive are not allowed, identification
MINING IN INDIA

of ‘no-go’ areas, effective forest and wildlife acts to protect biodiversity, and regulations governing mine closure and
mine restoration. There are five main environmental acts that impact the mining industry in India:
• The Water (Prevention and Control of Pollution) Act, 1974 (amended in 1988)
• The Air (Prevention and Control of Pollution) Act, 1981 (amended in 1988)
• The Environment (Protection) Act, 1986 (with rules 1986 and 1987) (EPA)
• The Forest (Conservation) Act, 1980 (amended in 1988)
• The Wildlife (Protection) Act, 1972 (amended in 1991)

Impacts of mining
Almost all of India’s minerals are located in regions that also hold most of its forests, tribal population and major
river systems (see map). Forest land has constantly been getting diverted for the purpose of mining and for other
developmental projects. The average forest cover of the 50 major mineral-producing districts in the country stands
at 28 per cent. During 1980-2005, close to 0.1 million ha of land was diverted across India to make way for 1,200
mines. This diversion has destroyed ecosystems as well as livelihoods.

Most of India's iron ore reserves are along the courses and watersheds of rivers like Indravati, Baitarani,
Tungabhadra and Mandovi. Most of the coal reserves of the country are also located within river basins – Damodar,
Godavari, Son, Kanhan and Mahanadi-Brahmani. The mining sector gobbles up a lot of water, largely because of the
huge amounts of minerals that are extracted. In addition to using massive quantities of water, mining also depletes
groundwater. Mines release the pumped out water into nearby water-courses, causing flooding and water pollution.

Mine waste can cause multiple pollution problems such as acid mine drainage, heavy metal pollution, pollution
from processing chemicals and erosion and sedimentation. Tailings generated during beneficiation and processing
are toxic; in summers, these become air-borne while during monsoons, they could leach into water bodies. Mining
of some minerals like marble also generates specific wastes like marble slurry which if dumped on land, adversely
affects productivity. Mines, waste dumps and mineral transportation generate a lot of fugitive dust – mining dust can
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lead to health problems like silicosis, asbestosis, cataract and pneumoconiosis. Mine workers are also prone to
hearing impairment, skin and eye diseases, metal and radiation poisoning, etc.

Deaths and accidents occur during mining because of fire, blasting, drilling, flooding and land subsidence. In
underground mining, carbon monoxide (CO) poisoning is also a reason for a number of fatalities.