
Economic Times reported that differences have erupted between the Ministry of Mines and the state of Goa on how to manage the 700 million tonne of iron ore dumps in the state.
The Ministry of Mines' monitoring bureau has written to the state, which recently announced a new draft mining policy, that these dumps must not be touched without the approval of central agencies.
Goa largely exported its iron ore and has over the years accumulated large piles of low grade fines that didn't have a market. Today with newer processing technologies these dumps find buyers.
The mismanagement of these mountainous dumps though have been at the heart of the average Goan's growing angst against irresponsible mining, leading eventually to a ban on export of dumps in 2011.
The new Goan government, led by Chief Minister Manohar Parrikar, is in a hurry to rid itself of these dumps. "..Prices of low grade iron - ore or dumps are very volatile and often when markets are down, there is no demand for the dumps.
The current market situation may not last for long," says Goa's new draft mining policy (2012). Iron ore futures for 2012, 2013 and 2014 show a continually downward trend, making export of dumps unviable after 2015-2016.
To cash in on the opportunity, Goa is considering permitting 'clearing' of even those dumps "that are not current in compliance with laws" on a case to case basis.
The state claims most Goan dumps are outside of the forest areas, and clearing them will free land for farming, which the present Government claims is a priority. And to remove those dumps within forest areas or sanctuary, the Government is willing to seek special approval from the MoEF.
The Indian Bureau of Mines however has reminded the Goa government that dumps within lease areas need an IBM approved mining plans and transport and trade of this material must be reported, under mining rules.
The 24 August letter said that "In respect of removal or handling of dumps outside the lease, any policy decision of the state Government should need to have prior approval of the Ministry of Mines and other competent authorities in the Central Government considering that iron ore is a First Schedule mineral.”
This follow a letter from the Mines Ministry specifying that all handling or removal of dumps would require the same statutory applied to mines including IBM approved mining plans and environment clearances from the MoEF.
Source - Economic Times
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