New Delhi: Chhattisgarh’s request for a revision in royalty rates on coal to 30 per cent from the existing 14 per cent ad-valorem, will push up the cost of electricity by 7 per cent or 10-12paisa/kWh, India Ratings today said in a report.
The state government has constituted a study group to consider the revision in the royalty rates based on the request.
“Ind-Ra believes the royalty hike looks quite steep at 30 per cent, and if accepted, it will lead to coal attracting the highest ad-valorem duty compared to all other minerals,” the report said.
Assuming a pithead price of Rs 720 per tonne for coal, the royalty increase will also lead to a higher contribution towards district mineral foundation (DMF) at 30 per cent of royalty and National Mineral and Exploration Trust (NMET) at 2 per cent of royalty, which translates into a higher cost of electricity generation by 10-12paisa/kWh. Read more
Courtesy: Energy world
Nearly Rs 5,000 crore has been collected so far through District Mineral Foundation (DMF), which will be utilised by the states for the development of places and people affected by mining-related operations.
The Mines Ministry is monitoring the implementation of the DMF and the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY). “So far about Rs 5,000 crore has been collected in the fund (DMF),” an official said.
The official further said, except for Tamil Nadu, all the remaining major mineral-bearing states have instituted DMF and adopted guidelines in Pradhan Mantri Khanij Kshetra Kalyan Yojana, the official said.
As follow up of Committee of Secretaries’ (CoS) meetings, discussions were held with National Institute of Smart Government (NISG) for development of a national portal to monitor the implementation of projects/schemes being undertaken under this major welfare initiative of the Centre, the official added. Read more
Courtesy: Business Standard
Vigilance will probe into allegations of favouring a private bank by the then Project Director of DRDA cum Chief Executive Officer of DMFT, Jharsuguda violating norms in regard to deposit of huge sum of fund of District Mineral Foundation Trust (DMFT) in the district.
It is learnt that more than Rs 69 crore was deposited in the bank account without knowledge of the then district Collector Paramesaran B. After the mater became public, the Vigilance has directed for probe into the matter.
Sources said an amount of Rs 69,73,98,000 of DMFT was deposited in a private bank till May. As per circular of State Finance Department, State grant can be deposited only in 11 notified nationalized banks, two regional banks and one private bank. But violating all norms, the money was deposited in an un-notified private bank under savings account carrying less interest rate resulting in loss to the State exchequer to a tune of more than Rs 20 lakh per month. Read more
Courtesy: the pioneer
In a matter related to the levy of additional royalty under the amended Mines and Minerals (Development and Regulation) Act, 1957, the Supreme Court on Tuesday stayed proceedings before various high courts on the issue. It also transferred to itself a petition filed by the Federation of Indian Mineral Industries (FIMI) challenging the central government notification asking the miners to contribute to the District Mineral Foundation (DMF).
A bench headed by justice Dipak Misra said that the interested parties can approach it after transfer of the case from the Delhi High Court.
The Union mines ministry had come out with a notification in September 2015 asking the miners to pay their contribution to the DMF with retrospective effect from January 12, 2015, when the new MMDR Act was enforced. Read more
Courtesy: Financial Express
The Ministry of Petroleum and Natural Gas is open to let the State government schemes become part of the Pradhan Mantri Ujjwala Yojana. But, with a caveat that the State schemes will be subsumed under the Ujjwala brand.
Already, Chhattisgarh has decided to be part of the scheme which would mean Ujjwala beneficiaries can get LPG connections at only Rs.200.
“If they (state governments) can join the scheme, then I don’t have an issue. However, Ujjwala will remain the branding. It will be open for all but the Ujjwala brand will not be diluted,” Dharmendra Pradhan, Minister of State (Independent Charge) for Petroleum and Natural Gas told BusinessLine.
Under Ujjwala, the Centre has decided to bear Rs.1,600 out of the total cost of Rs.3,200 for LPG connections. This scheme is only for the women members of below poverty line families. Read more
Courtesy: Business Line