New Delhi
A Goa miners’ body on Monday took its concerns to the Prime Minister’s Office over the impact of a Supreme Court order that quashed the second renewal of 88 iron ore mining leases on the state’s economy and jobs.
Goa Mineral Ore Exporters’ Association (GMOEA) President Ambar Timblo said that they met “Principal Secretary to the Prime Minister Nripendra Misra”, and apprised the PMO about the impact of closure of mining operations from March 15 following the SC order.
Timblo said the secretary listened to their “problems patiently”, but did not elaborate whether the delegation was given any assurance.
In a letter submitted to the PMO, the miners’ body updated the top office about the adverse impact of closure of mining operations on those dependent on the industry and the loss of revenue for the state exchequer, Timblo said.
“This is the worst economic event in recent history,” he added.
The immediate impact would be a loss of about 60,000 direct and indirect jobs, about 3 lakh of those dependent on mining and about Rs 3,400 crore revenue loss. In the last ten years, Goa has contributed nearly Rs 30,000 crore, he said.
Goa miners and other stakeholders have been running from pillar to post to gather support after the apex court held as illegal the renewal given to companies for 88 iron ore mining leases in the state.
Earlier in the day, an all-party delegation from Goa also met Union ministers Nitin Gadkari and Piyush Goyal and urged them to help the iron ore mining industry, which is staring at a crisis.
“We extend our thanks to you for your much needed support for resumption mining in Goa in 2015 and subsequently reducing the export duty for low grade iron ore progressively in 2016,” the letter to the PMO said.
The body further said mining in state has existed for over 70 years. The sector has given employment to lakhs of people and generates huge amount of revenue.
Even before the District Mineral Fund came into effect in 2015, mining companies in state voluntarily contributed towards sustainable development through mineral foundation of Goa and have been responsible in societal development by setting up infrastructure such as bridges, educational institutions and medical facilities.
The impact will not be just confined to Goa but on entire India, the body said.
“It will impact India’s image as an investment destination. Send a negative message and shake investor confidence. It is also significantly impact India’s efforts for higher ranks in ease of doing business,” the body said.
The abrupt stoppage of mining will also increase the NPAs of financial institution from loans advanced to various entities for purchase of mining machinery, trucks and barges.
Timblo also said that it will also hit the iron ore supply for steel making and highlighted that India has set a target of 300 MT.
In its February 7 order, the apex court quashed the second renewal of 88 iron ore mining leases in Goa in 2015 by holding that the move was against the earlier decisions of the apex court.
It directed the Centre and the Goa government to grant fresh environmental clearances and to take necessary steps to grant fresh mining leases in accordance with the provisions of the Mines and Minerals (Development and Regulation) Act, 1957.
The court had given time till March 15 to mining lease holders to manage their affairs. (PTI)
