Even after the Supreme Court allowed the resumption of iron ore mining in Karnataka’s 115 category A and B mines, about 36 mining leases falling under these categories and held by 22 firms face an uncertain future as the state government has decided to go slow on approvals.
This is because these 22 companies also hold permission to operate 51 category C mines, which now stand cancelled by the SC. State government sources said if not checked, mining operators may also begin operations in the banned category of mines due to their close proximity with category A and B mines. Karnataka-based mining companies have, however, contested this view.
Basant Poddar, MD, Mineral Enterprises, told FE that linking of different category of mines is not in sync with the apex court order. ?The mines and geology department is now linking category C mines to A and B categories. This is against the SC order and is likely to delay the renewal of mining leases indefinitely. As per the SC order, each mine had to be dealt with separately,? Poddar said.
According to Rahul Baldota, executive director, MSPL, it will take at least one and half years or more for getting approvals and restart mining activities. The lifting of the mining ban in Karnataka has failed to lift the spirit of state’s mineral industry that continues to face bureaucratic red tape, delaying start of stalled operations. Out of 115 mines that are eligible to start operations after the Supreme Court’s April verdict, only 15 have commenced operations while the remaining are still awaiting clearances from the state government.