Sustainable mining
Friday, October 9, 2015
8:07 PM
Mining within a sustainable development framework
The Hoda Committee made important recommendations on
the need for a Sustainable Development Framework(SDF), as
follows:
""The Ministry of Mines and MOEF should jointly set up a
working group to prepare a SDF specially tailored to the
context of Indias mining environment, taking fully into
account the work done and being done in ICMM and the IUCN.
The Indian SDF comprising of principles, reporting initiatives,
and good practice guidelines unique to the three sectors in
Indian mining, i.e. SME, captive, and large stand alone, can
then be made applicable to mining operations in India and a
separate structure set up to ensure adherence to such
framework, drawing from both IBM and the field formations of
MOEF. The aspect of social infrastructure in the form of
schools, hospitals, drinking water arrangements, etc. needs to
be addressed within a formalised framework on the lines of
the ICMM model. The Samatha ruling requiring mining
companies to spend a set percentage of their profits on model
programmes for meeting local needs through a predetermined commitment, is one option for the country as a
whole. Another option could be to require the mining
companies to spend a percentage, say three per cent, of their
turnover on the social infrastructure in the villages around the
mining area. The working group mentioned in paragraph 3.11
may take this into consideration when preparing the Indian
SDF and determine the percentage that mining companies
could be advised to set aside. "
Based on on these recommendations, the National Mineral
Policy 2008 explicitly underlined the need for mining within a
sustainable development framework. The National Mineral
Policy 2008 states, ( para numbers in brackets are the para
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Policy 2008 states, ( para numbers in brackets are the para
numbers in the Policy): " (2.3) A framework of sustainable
development will be designed which takes care of biodiversity
issues and to ensure that mining activity takes place along with
suitable measures for restoration of the ecological balance"
In para 7.10 it states" Extraction of minerals closely impacts
other natural resources like land, water, air and forest. The
areas in which minerals occur often have other resources
presenting a choice of utilisation of the resources. Some such
areas are ecologically fragile and some are biologically rich. It
is necessary to take a comprehensive view to facilitate the
choice or order of land use keeping in view the needs of
development as well as the needs of protecting the forests,
environment and ecology.All mining shall be undertaken
within the parameters of a comprehensive Sustainable
Development Framework Mining operations shall not
ordinarily be taken up in identified ecologically fragile areas
and biologically rich areas.
Para 7.11 states that "..Appropriate compensation will form an
important aspect of the Sustainable Development Framework
mentioned in para 2.3 and 7.10.."
Para 7.12 states that..:"Once the process of economical
extraction of a mine is complete there is need for scientific
mine closure which will not only restore ecology and
regenerate biomass but also take into account the socioeconomic aspects of such closure."..
And not least, para 3.2 of the Policy states that "The Central
Govt in consultation with the State Govts shall formulate the
legal measures for giving effect to the NMP 2008..The MMDR
Act, MCR and MCDR will be amended in line with the policy"
In line with the Hoda Committee recommendations, the
Ministry of Mines commissioned ERM which prepared a
Sustainable Development Framework Report in November
2011, for which the new MMDR Bill 2011 will provide statutory
backing. The Ministry also set up a Steering Committee which
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backing. The Ministry also set up a Steering Committee which
comprised representatives from The Ministries of Mines,
Environment &Forest and Tribal Affairs and also FIMI and 3
State Govts. In the Framework, "mining within a Sustainable
Development Framework" is defined as mining that :
Is financially viable
Is socially responsible;
is environmentally, technically and scientifically sound
takes a long term view of development
uses mineral resources optimally
ensures sustainable post-closure land uses.
Also one based on creating long-term, genuine, mutually
beneficial partnerships between government, communities
and miners, based on integrity, cooperation and transparency.
Following the ICMM approach, the Framework recognises 7
Principles as defining the Framework:
Incorporate environmental and social sensitivities in
decisions on leases
Undertake strategic assessment of key Mining Regions at
periodic intervals
Manage impacts at the mine level through sound
management systems
Address land, R&R and other social impacts upfront
Promote community engagement, benefit sharing and
contribution to socio-economic development
Ensure orderly mine closure planning and implementation
and post-closure activities
Put in place systems for assurance and credible reporting
The MMDR Bill 2011 has the following provisions to provide
legal backing for the SDF:
The Bill specifies that the Mining Plan will be prepared within
the Sustainable Development Framework (SDF) and have
attached to it a Corporate Social Responsibility (CSR)
document giving the proposed annual expenditure on sociomines Page 3
document giving the proposed annual expenditure on socioeconomic activities in the Panchayats adjoining the lease area
(Section 26). While the CSR itself will remain voluntary, the Act
mandates that both the CSR plan and the actual CSR work
done should be probably disclosed in a standard manner.
Similarly, the Bill specifies that the Mine Closure Plans with be
prepared in terms of the SDF (Section 32). The Mine Closure
Plan consists of two components. The first is a progressive
mine closure plan, prepared for each five-year period, to
ensure that restoration work at the mine site takes place side
by side with mining activities in a planned and systematic way,
and everything is not left for the last. The progressive mine
closure plans have to be disclosed to the Panchayats of the
area and got approved after consultation with the Panchayats.
The second is the Final Mine Closure Plan, updated in draft
form through the life of the mine after deciding on the postmining land use in consultation with the Panchayats. The Plan
is finalized and approved for the last five years of the mine and
executed. The lessee has to obtain a certificate that the
protective, reclamation, restoration and rehabilitation work
has been completed in accordance with the approved plan
(Section 32 and 33).
The Bill also directly promotes more sustainable mining in the
following ways:-
1. Providing for systematic augmentation of mineral
resources through GSIs survey and exploration and
integration of data arising from private exploration work
(Section 4).
2. Allowing transfers and amalgamation of mines to promote
better utilization of the ore body (Section 7(4)).
3. Concessional royalty for mineral beneficiation at ore stage
(Section 41).
4. Mining Plan to include scientific methods of mining,
beneficiation and economic utilization (Section 26).
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