The National Mineral Policy aims to increase mining’s contribution to the country’s GDP by initiating large-scale exploration, emphasising deep-sea resources. The current National Mineral Policy 2008 is replaced by the National Mineral Policy 2019. (“NMP 2008”). The new program aims to expand major mineral production by 200 percent in seven years and lower the mining sector’s trade imbalance by half in that time. To examine NMP 2008, the Ministry of Mines formed a committee chaired by Dr. K Rajeswara Rao, Additional Secretary, Ministry of Mines. The focus on the Make in India drive and gender sensitivity is also part of the new changes.

Background Of National Mineral Policy

For a long time, India’s mining sector has faced many issues, including illicit and unscientific mining, environmental and legislative procedure breaches, increased mortality at mine sites, and a lack of investment. Professionals in the mineral sector have also seen fewer job possibilities due to this.

So considering all this, in 2017, the Ministry of Mines formed a committee under Dr. K Rajeswara Rao to evaluate the NMP 2008 in accordance with the Supreme Court’s directives (Common Cause Vs. Union of India).

In 2017, the Supreme Court ordered the government to evaluate NMP 2008.

Major Highlights of the Policy

• The National Mineral Policy 2019 calls for the rationalisation of PSU-reserved regions that have not been utilised, and these territories will now be auctioned. 
• Exclusive mining zones with in-principle legislative approvals and inter-generational fairness are among the goals of the new strategy.
• The new policy encourages the merger and acquisition of mining companies and the transparent transfer of mining leases to ensure a continuous supply of ores and corporate expansion.
• E-Government, IT-enabled tools, and awareness and information campaigns will all be used to regulate the Minerals industry.
• Using beneficiation technologies to process both high and low-grade materials and following worldwide best practices in exploration, mining, smelting, and downstream processing.
• Implementing a right of first refusal for holders of reconnaissance permits (RPs) and scouting licences incentivizes the private sector to engage in development and the revenue-sharing auctioning of new lands.
• Putting together a group of small-scale mining enterprises for specific categories might assist them in gaining access to both cash and technology.
• The notion of ‘Exclusive Mining Zones’ is introduced. To “curtail delay in the initiation of mining activities,” these ‘zones’ will come with authorised, in-principle approvals.

Aim Of the National Mineral Policy

• The strategy aims to improve mining regulation and take a more sustainable approach while addressing people’s concerns who are touched by the industry.
• The goal of the National Mineral Policy 2019 is to create a more meaningful, implementable, and effective policy that promotes more openness, better regulation, enforcement, and balanced society along with economic growth and sustainable mining practices.
• Proposes the creation of an overarching inter-ministerial organisation under the Ministry of Mines to institutionalise sustainable mining procedures. The group will also advise the government on royalty rates, dead rent, and other matters.
• Demonstrates a clear desire to promote the development of the full value chain of new generation minerals and obtain intellectual property on their extraction and downstream product development while adhering to the highest global standards of sustainable development.
• The National Mineral Policy for 2019 emphasises the utilisation of coastal waterways and interior ships for mineral evacuation and transportation and the creation of designated mineral corridors.

Significance Of National Mineral Policy

• The 2019 National Mineral Policy attempts to entice private investment through incentives while maintaining a database of mineral resources and tenements undermining tenement systems.
• Ensuring environmental sustainability while raising performance standards is a significant development and policy concern for the mining industry.
• The National Mineral Policy 2019 recommends granting mining activity industrial status to enhance private sector mining finance and private sector acquisitions of mineral assets in other nations. The mining industry will benefit from the move.
• The strategy also emphasises aligning India’s tax, levy, and royalty rates with worldwide benchmarks to attract more private investment.
• A public online portal has been established, with the capability of creating triggers at a higher level in the case of state clearance delays.
• NMP 2019 recommends a long-term mineral export-import policy as an incentive to engage in large-scale commercial mining operations.
• In terms of the state’s participation in mineral development, an online public portal has been established, with the capability of triggering prompts at a higher level in the case of clearance lags.
• It also suggests the establishment of an inter-ministerial council to institutionalise the system for assuring mining’s long-term development.

Conclusion

The Mineral Policy of 2019 is a bold declaration of purpose to revitalise India’s minerals industry, which can help the country achieve long-term economic growth.

As a result, it is a sufficient, meaningful, and implementable policy that promotes more transparency, better regulation, and enforcement, as well as balanced social and economic growth and sustainable mining practices. The successful execution of this policy will be assured through gaining national agreement among many important stakeholders. They should also keep up their promises to uphold the program’s core values and objectives.