Rule rejig to make auctions easier, quicker: Mines secy

Upbeat about the proposed changes in auction rules that are likely to take shape soon, the mines ministry said this will make the process easier and quicker and close to 60 mineral blocks will be up for grabs next year.

“Next year, we will do (auction) for 50-60 (mineral blocks). Because of the new rules, which will be in place (by this month), it will be easier, bidding will be faster. We expect a fillip on that. That is why we are thinking of changing the rules,” Mines Secretary Arun Kumar told PTI.

Stating that states would earn a revenue to the tune of ~1.4 lakh crore from the auction of these mines, the secretary said the mineral blocks likely to go under the hammer will be from the mineral-rich states like Odisha, Jharkhand, Chhattisgarh and Karnataka.

About the proposed changes in the auction rules, he said the government is looking at relaxing financial eligibility parameters, which will ensure a larger participation of bidders.

“Today, you have to have a minimum of three bidders for three rounds of auction. Only thereafter, there would be a relaxation. We are looking at reducing the number of rounds of auctions before a relaxation can be thought of,” the secretary stressed.

The mines ministry, he said, is of the view that the upfront payment should be adjusted by states at the earliest so that load on miners is reduced.