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Which of the following statements is/are correct about the Mines and Minerals (Development & Regulation) Amendment Act, 2015?
1. Under the act, it is mandatory to set up District Mineral Foundations (DMFs) in all districts in the country affected by mining related operations.
2. Contribution payable by miners to the DMFs is 30% of the royalty if mining leases executed before 12th January, 2015 or 10 % after 12th January, 2015
Code
1 only
2 only
Both 1 and 2
None of the above
DMFs are statutory authorities that a State Government sets up in districts affected by mining.
These bodies get their legality from Section 9B under the Mines and Minerals (Development and Regulation) Act, 1957 and its amendment in 2015. In fact, DMFs were instituted on 16th September, 2015.
The State Government can establish a DMF as a trust or non-profit body, and contributions from miners fund a DMF.
A DMF will comprise a Board of Trustees with the following members –
A DMF will also implement the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY). It will use the funds it has accrued to enact this scheme.
Some objectives of Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) are:
What contributions do mining leaseholders have to pay?
There are presently DMFs in 572 districts, according to the Ministry of Mines.
In total, these DMFs have accrued Rs. 40,000 crores.
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