By IANS
New Delhi : The new mining and metal policy is to be cleared by the Group of Ministers (GoM) on Friday for the cabinet approval within a week to 10 days, Minister of State for Mines T. Subbarami Reddy said here Wednesday.
This would enable discussion on the policy in the monsoon session of parliament before its implementation, he said.
Speaking at a seminar on "Unleashing India's potential in metals and mining", organised by the Assocham, he said the new policy aims at creating 500,000 jobs and minimum regulation for granting mining licences to multi-national corporations and other investors.
It would enhance the share of the sector in GDP from below 1.8 percent to over 2.5 percent.
"It also aims at enhancing the exploration of mining and metals to over 25 percent from less than 5 percent now out of its total reserved areas and would also empower all states having mines and metals reserves to impose royalty of their choice on mineral wealth value additions to help them generate higher revenues," the minister said.
Referring to the controversial mega project by South Korean steel major Posco, Reddy said that after the Orissa government honoured all legal issues relating to the deal, the mines ministry would give it necessary licence for commencement of operations.
Reddy said environmental clearances for mining projects would be made simpler in consultation with the ministry of environment and forests so that the mining sector can receive a large number of investment proposals.
However, a rehabilitation policy is under active consideration of the government and people displaced by such projects would be accorded handsome compensation, he said.
Reddy said the central government would not interfere on the issue of the renewal of mining licences, as once issued they would remain valid and the state's concurrence would be enough for their possessors to reclaim them.