ଓଡ଼ିଆ | ENGLISH
ଓଡ଼ିଆ | ENGLISH

Dharmendra responds to Naveen, says MMDR Amendment Bill will protect Odisha’s mineral revenue

Published By : Chinmaya Dehury | August 29, 2026 8:11 PM
Dharmendra responds to Naveen, says MMDR Amendment Bill will protect Odisha’s mineral revenue

Bhubaneswar, Aug 29: Sambalpur MP and former Union Minister Dharmendra Pradhan today said the Mines and Minerals (Development and Regulation) Amendment Bill, 2026 would protect Odisha’s mineral revenue while supporting industrial growth, employment and the state’s broader economic interests.

 Responding to Leader of Opposition Naveen Patnaik’s letter to Odisha MPs, Pradhan said it was inappropriate to withhold facts and create fear among the people of Odisha through what he described as misinformation.

Addressing concerns over Odisha’s share of mining revenue, Pradhan said the apprehension that the state would lose its revenue was unfounded.

He said that under the new law, nearly 90% of the total revenue generated from the mining sector would go directly to the state treasury.

Odisha would also continue to receive 110% of its auction premium, 15% royalty and its entire share of District Mineral Foundation (DMF) funds, according to Pradhan.

He contrasted the current revenue position with the period before 2014, claiming that Odisha’s annual mining revenue was then around ₹5,000 crore.

According to Pradhan, the Narendra Modi government’s 2015 MMDR reforms introduced a transparent e-auction system and increased the royalty rate from 10% to 15%. He said these measures helped Odisha’s annual mining revenue increase nearly tenfold to around ₹50,000 crore.

A major point raised by Pradhan was Section 9D of the amended legislation. He said the provision would prevent the imposition of uncontrolled and arbitrary levies on mineral-bearing land.

Pradhan argued that excessive charges could have increased raw-material costs and affected mining and industrial operations in districts such as Keonjhar, Sundargarh, Jharsuguda, Angul and Jajpur.

He warned that higher costs could threaten industrial operations and employment opportunities for thousands of workers and young people.

He also said increased raw-material prices could raise the cost of steel, cement and electricity, potentially putting additional pressure on middle-class households.

Pradhan also raised concerns over the utilisation of District Mineral Foundation funds in Odisha.

He said that more than ₹37,000 crore had come to Odisha since 2015 through the DMF mechanism for development in mining areas.

Citing a CAG audit report, Pradhan alleged that during the previous BJD government, ₹983 crore was spent in 976 villages that were not directly affected by mining, while 584 directly affected villages allegedly did not receive funds.

He further claimed that 1,730 projects were implemented without obtaining Gram Sabha approval, referring to findings cited in the audit report.

Also read: MMDR Amendment Bill: Naveen Patnaik urge BJP MPs to reconsider support over new mining Bill