In
exercise of the powers conferred by section 15 read with section 23C of the
Mines and Minerals (Development and Regulation) Act, 1957, (Central Act 67 of
1957), the Government of Jammu and Kashmir hereby makes the following rules for
regulating the grant of various forms of mineral concessions in respect of
minor minerals and storage, transportation of minerals and prevention of
illegal mining in the State. CHAPTER-I
PRELIMINARY (1) These rules may be
called the Jammu and Kashmir Minor Mineral Concession, Storage, Transportation
of Minerals and Prevention of Illegal Mining Rules, 2016. (2) These rules shall be
applicable throughout the State of Jammu and Kashmir and shall come into force
from the date of publication in the Government Gazette. (1) In these rules,
unless the context otherwise requires, (i) "Act" means
the Mines and Minerals (Development and Regulation) Act, 1957 (Central Act 67
of 1957); (ii) "Appellate
Authority" means the authority designated as such under rule 85 of these
rules; (iii) "Assessee"
means a person holding Mining lease, Quarry licence, a Short Term Permit or a
Disposal Permit and includes any other person who has excavated or removed or
used, or is excavating or removing or processing or using, minor
mineral/minerals; (iv) "Assessing
Authority" means Assessing Authority designated by Government as such; (v) "Assessment
Year" means the period of twelve months commencing from the first day of
April every year; (vi) "Authorized
Officer" means an officer authorized by the Government to exercise such
powers and to perform such functions as prescribed under these rules; (vii) "Brick
Earth" means earth used for making bricks and shall include all types of
earth used for construction of dams, canals, roads, rail embankments and other
identical purposes; (viii) "Building
Stone" means any rock or mineral used as building or construction
material; (ix) "Boundary
Pillar" means concrete pillar of size 100 x 50 x 50 centimeter painted
yellow and marked with lease/contract number and pillar number along with
coordinates; (x) "Carrier"
means any mode of transport or facility, by which mineral or its products are
transported either in raw or processed form from the place of raising or from
one place to another and includes any mechanized device, person, animal or
cart; (xi) "Competent
Authority" means the authority competent to grant of mining lease under
rule 42 of these rules; (xii) "Competitive
bid" means an amount offered by the participant in the open auction under
these rules; (xiii) "Concessionaire"
means a person holding a Mining Lease, Mining Licence, Quarry License, Short
Term Permit and Disposable Permit granted under these rules; (xiv) "Department"
means the Department of Geology and Mining, Government of Jammu and Kashmir; (xv) "Director"
means Director of Geology and Mining, Government of Jammu and Kashmir; (xvi) "District
Environment Committee" means the committee to be constituted by the
Ministry of Forest and Environment, Government of India to oversee the
environmental issues pertaining to the concerned district; (xvii) "District
Mineral Foundation" means a nonprofit Trust to be formed in each District
of the State by the Government which will work under the State mineral
foundation; (xviii) "Dead Rent"
means the minimum amount payable in a year by a person holding a Mining Lease
or Mining Licence under these rules notwithstanding such lessee/licensee
operating the area fully or partly; (xix) "Disposal
Permit" means a permit granted for removal of minor minerals from the
agricultural or horticulture land or State land or Kahcharai or Shamilat land
or Forest land where minor minerals have been deposited due to weathering.
However, the Kahcharai and Shamilat lands shall be governed by J&K Land
Revenue Act; (xx) "Environment
Committee" means the committee constituted by the Ministry of Forest and
Environment, Government of India to oversee the environmental issues in this
regard; (xxi) "Environment and
Environmental Pollution" shall have the same meanings as assigned to them
in the Environment (Protection) Act, 1986 (Central Act No. 29 of 1986); (xxii) "Environment
Management Plan (EMP)" means a plan submitted by Lessee or Licensee
falling in a cluster which is prepared by Recognized Qualified Person approved
by the Environment Committee of Government of Jammu and Kashmir for providing
environmental safeguards; (xxiii) "Excavation"
means extraction or digging and or collection/removal of minor minerals from
any land, river, nallah, canal or hillock; (xxiv) "Family"
means the applicant, his father and mother whether living jointly or
separately, his wife, sons and unmarried daughters; (xxv)"Form"
means form appended to these rules; (xxvi) "Fund"
means the Mines and Mineral Development, Restoration and Rehabilitation Fund; (xxvii) "Final Mine
Closure Plan" means a plan for the purpose of decommissioning, reclamation
and rehabilitation in the mine, cluster or part thereof after cessation of
mining and mineral processing operations that has been prepared in the manner
specified in the standard format as per the guidelines issued by the Indian
Bureau of Mines or the Government; (xxviii) "Financial
assurance" means the sureties furnished by the Concessionaire to the
Director so as to indemnify the authorities against the reclamation and
rehabilitation cost; (xxix) "Government"
means the Government of Jammu and Kashmir; (xxx)"Guarantee
Amount" means non-refundable amount payable for grant of concession in
addition to other dues payable under these rules through open auction; (xxxi) "Illegal
Mining" means and refers to the manner of undertaking mining which is
inconsistent with mining plan or scheme of mining, clearances given and
permissions granted under the Act and rules; (xxxii) "Lessee"
means a person holding a valid Mining Lease under these rules; (xxxiii) "Letter of
Intent (LOI)" means a letter of intent issued to the successful bidder on
acceptance of the bid/application for grant of a mining lease, quarry licence; (xxxiv) "Licensing
authority" means the Director or officer Incharge as defined in clause (xLvii); (xxxv) "Mineral dealer
licence" means holder of' a mineral license granted under these rules for
the purpose of storing, stocking, trading and dispatch of mineral/minor mineral
and their products; (xxxvi) "Minor Mineral
Block" means an area not less than 05 hectares and more than 50 hectares
in a continuous stretch of land/water body, having defined limits with the
evidence of one or more minor minerals that can be feasibly exploited; (xxxvii)
"Minor
Mineral Plot" means an area not less than 01 hectares and not more than 05
hectares in a continuous stretch of land/water body, having defined limits with
the evidence of one or more minor minerals that can be feasibly exploited; (xxxviii)
"Mineral
Concession" means a Mining Lease, Mining Licence, Quarry License, Short
Term Permit and Disposable Permit in respect of minor mineral permitting the
mining of minor mineral in accordance with these rules; (xxxix) "Mining
Dues" means and includes any of the dues on account of royalty, dead rent
amount payable towards the Mines and Mineral Development, Restoration and
Rehabilitation Fund, interest on delayed payments or any fee or amount payable
under these rules; (xl) "Mining
Lease" means a lease granted under these rules to undertake excavation and
to carry away any minor mineral specified therein; (xli) "Mining
Operations" means any operation undertaken for the purpose of mining any
minor mineral; (xlii) "Mining
Plan" means a plan prepared by a Recognized Qualified Person (RQP) on
behalf of mineral concession holder of minor mineral and includes progressive
and final mine closure plans duly approved under these rules and without which
mining activity cannot be undertaken; (xliii) "Mineral
Products" means minerals/minor minerals in any raw or processed form; (xliv) "Mineral Transit
Pass" means a document issued by the Director, Geology and Mining to the
Officer-in-charge of the concerned District to the Lessee/licensee/permit
holder/contractor for lawful dispatch and transportation of mineral(s) raised
for which Director, Geology & Mining shall maintain logbook/challan
issuance book which shall be audited annually; (xlv) "Mineral
Transport Permit" means a permit issued by the Director or an Officer
authorized by him to the carrier or machine owner to use such carrier or
machine for lawful mining and transportation of minerals raised in accordance
with the provisions of the Act; (xlvi) "Minor
Mineral" means minor mineral as defined in section 3(e) of the Act; (xlvii) "Officer-in-Charge"
means an officer of the Department from disciplines of Mining/Geology
possessing the qualification of a Degree or Diploma in Mining or M.Sc. Geology
and designated as Incharge of a particular district by the Government; (xlviii) "Open
Auction/e-auction" Open auction or e-auction means bidding by the
competitors online or through physical presence before the auction committee
for grant of mineral concessions; (xlix) "Processing"
means all physical processes such as pulverizing and/or grinding and/or
powdering or washing of minerals in such a way that no chemical change takes
place by that process and includes cutting and polishing process of slate,
granite blocks or marble blocks or blocks of any other types of rocks; (l) "Producer"
means any person carrying on the business of extracting, producing or
collecting minerals or mineral aggregates in raw or processed form including
the licensee of a registered metal mineral unit, as the case may be, in
accordance with the provisions of the Act or rules made there under; (li) "Progressive
Mine Closure Plan" means a Progressive Plan for the purpose of providing
protective, reclamation and rehabilitation measures in a mine or part thereof
that has been prepared in a manner specified in the standard format and
guidelines issued by the Indian Bureau of Mines or Department; (lii) "Prescribed"
means as may be prescribed from time to time under these rules by the
Government; (liii) "Quarry"
means any area declared as such by the Director or Officer Incharge as
authorized by the Government in this behalf; (liv) "Quarry
License" means a license granted under these rules to excavate minor
mineral from any specified mineral deposit or plot; (lv) "Royalty"
means the charge payable to the Department in respect of the minor minerals
excavated, removed or utilized under these rules from any land including river,
nallah, canal or hillock as prescribed in schedule-1; (lvi) "Recognized
Qualified Person (RQP)" means a person registered by the Director under
these rules as RQP having minimum qualification as detailed in Chapter-II, Rule
11 of these rules; (lvii) "Schedule"
means the schedule appended to these rules; (lviii) "Short Term
Permit" means a permit granted under these rules for excavation, removal
and sale of a specified quantity of mineral within a specified period and from
a specified area less than 01 hectare; (lix) "Scheme of
Mining" means a scheme prepared by a recognized qualified person (RQP) on
behalf of concessionary for systematic and scientific mining of minor
mineral(s) which would need the Government approval before making it
operational; (lx) "Scientific
Mining" means and refers to mining operations consistent with the approved
mining plan/scheme of mining, clearance/permissions granted by the
Director/Officer Incharge; (lxi) "Stock-yard' or
'Sale-depot" means any place where a mineral or its products are stored
and stocked in any raw or processed form for commercial purposes; (lxii) "Unscientific
Mining" means and refers to the manner of undertaking mining operations
not consistent with the mining plan/scheme of mining approved,
clearances/permissions granted by the Government Director/Officer Incharge as
the case may be; (lxiii) "Un-authorized
mining" means any mining operation undertaken without any valid mineral
concession granted under the Act and Rules made thereunder; (lxiv) "State Mineral
Foundation" There shall be a State Mineral Foundation which will have
District Mineral Foundation in every district as per the guidelines issued by
the Ministry of Mines, Government of India. Separate notification about
collection of resources and functioning of the foundation shall be issued by
the Government. Words
and expressions used but not defined in these rules shall have the meanings respectively
assigned to them in the Act. However, wherever word mineral is used in these
rules shall include minor minerals also, if otherwise not specified. (1) No person shall
undertake any mining operation or activity in respect of any minor mineral in
any part of the State except under and in accordance with the terms and
conditions of minor mineral concession rules in any form, which shall be
processed on the basis of no objection certificate issued by the following
within the stipulated period: (i) Deputy Commissioner
concerned; (ii) Conservator of
Forests concerned; (iii) Executive Engineer
(I&FC) Department or Executive Engineer (PHE) Department as the case may
be; (iv) Dy. Director,
Fisheries concerned; and (v) Jammu and Kashmir
State Pollution Control Board: Provided
that no minor mineral concession shall be granted on any land which is under
agriculture or horticulture production or which is kacharai land, shamalat
land, forest land, protected areas and eco-sensitive zones whether wholly or partly. (2) The mode and nature
of grant of minor mineral concession in different areas i. e. Lease, Licence,
Short Term Permit from time to time shall be as provided under these rules. (1) No minor mineral
concession shall be granted in respect of any land within a distance of: (i) 50 meters from the
outer periphery of the defined limits of a national highway, Railway line,
State Highway, major district roads (MDR) and other district roads (ODRs) where
excavation does not require use of explosives unless otherwise specifically
notified by the Government in this regard with due justification; (ii) 100 meters from the
outer periphery of the defined limits of a national highway, Railway line,
State Highway, major district roads (MDR) and other district road (ODRs) where
excavation require use of explosives unless otherwise specifically notified by
the Government in this regard with due justification; (iii) 50 meters from any
other public road; and (iv) 20 meters upstream as
well as downstream of water works, head works or hydraulic works and 25 meter
from any embankment' or 'flood embankment' as defined under the Jammu and
Kashmir Water Resources (Regulation and Management) Act, 2010. (3) No minor mineral
concession shall be granted in respect of such minor mineral or in such area,
as the Government may notify, from time to time. (4) No mining
activity/operation shall be carried out in any river bed below the depth of 3
meters or below the water level, whichever is lesser. The water level or the
depth of river bed shall be determined by the Chief Engineer, Irrigation &
Flood Control Department or by an officer authorized by the Government for this
purpose. (5) No minor mineral
concession shall be granted for a period more than 5 years in case of Bajri and
Sand. CHAPTER-II
GRANT
OF MINOR MINERAL CONCESSION The
grant of minor mineral concessions under this Chapter shall be initiated by
Director or Officer in-charge authorized by the Government: Provided
that, where mining of minor minerals below ground water table is proposed, the
Department shall conduct hydro-geological regime studies of the area before
grant of such concession. (1) No person shall be
granted any minor mineral concession in any area under these rules unless a
mining plan is submitted and approved by the Government: Provided
that no such plan shall be required for short term permit or disposal permit as
defined in these rules. (2) No person shall
commence mining operations for minor minerals in any area except and in
accordance with a mining plan approved under these rules. (3) Every minor mineral
concessionaire shall prepare a mining plan along with the mine closure plan
(progressive and final) and shall not commence mining operations in any area
except in accordance with such mining plan duly approved under these rules. The
mining plan shall contain the conceptual plan of the mining area taking into
consideration the following aspects: (i) level of production; (ii) level of
mechanization; (iii) type of machinery
used; (iv) quantity of
diesel/energy fuel consumption; (v) number of trees
uprooted due to proposed mining operations; (4) The mining plan shall
also incorporate the following details: (i) the plan of the area
under concession delineated on a map with boundaries duly marked along with the
positions of boundary pillar with GPS readings; (ii) the plan of the area
under concession showing the nature and extent of the mineral body/spot or
spots where the mining operations are proposed to be undertaken; (iii) the plan of the area
showing natural water courses, limits of reserved and other forest areas and
density of trees if any, assessment of impact of mining activity on forest,
land, surface and environment including air and water pollution i.e. the
environment management plan; (iv) details of the
Geology and lithology of the area including the estimated mineral reserves of
the area; (v) extent of manual
mining or mining with the use of machinery and mechanical devices; (vi) tentative scheme of
mining, annual programme and plan for excavation/production from year-to-year
for a period of five years as part of mining plan; (vii) proposed method of
mining/development of mines, use of explosives and blasting operations if any,
stocking and disposal of minerals, mine-drainage pattern, handling of the
overburden, location of weigh bridges, and mineral processing if any while
undertaking semi-mechanized open caste mining; (viii) progressive and final
mine closure plan; (ix) details of scheme of
restoration/rehabilitation of the area through aforestation, land reclamation,
use of pollution control devices and such other measures as may be directed by
the Government at time of approval to be executed by the lessee/Concessionaire
on monthly, quarterly or yearly basis. (5) Where the mining
operations have already been undertaken under an existing mineral concession
before the commencement of these rules, the holder of such mineral concession
shall also submit a mining plan along with mine closure plan within a period of
ninety days from the commencement of these rules for approval by the authorized
officer. (6) Every mining plan or
scheme of mining submitted for approval under these rules shall be accompanied
with a non-refundable fee of Rs. 1000/- for each hectare or part thereof in
respect of the mining area covered under the mining plan. (7) Every mining plan
shall contain all plans and sections serially numbered or suitably indexed. The
tracings or copies of such plans and sections duly certified for its correctness
by the owner, agent, Mining Engineer or Manager or Geologist appointed by the
concessionaire, shall be kept at the site office of the minor mineral
mine/concession area. (8) In addition to the
requirements stipulated under sub-rules (3) and (4) above, every mining plan
shall delineate the approach in respects of environmental safeguards and
restoration and rehabilitation measures of the area with regard to the
following: (i) precautions for the
protection of environment and control of pollution while undertaking mining
operations in the area granted on minor mineral concession; (ii) control of
air-pollution due to dust exhaust emissions or fumes during mining or
processing operations for minor mineral and related activities and containing
the same within permissible limits specified under any environmental law for
the time being in force; (iii) precautions to
prevent or reduce the discharge of toxic and objectionable liquid effluents
from minor mineral concession area, workshop or processing plant within the
permissible limits. No such toxic effluent shall be discharged in any water
body or in the sub soil through a bore hole. (iv) abatement of and
control over the noise arising out of mining and processing operations for
minor minerals so as to keep the same within the permissible limits; (v) prevention and
containment of any damage to the flora and fauna of the area held under
concession and the nearby area, scheme of undertaking plantation to compensate
for any unavoidable damage and maintenance of the same during the subsistence
of the concession period; (vi) removal and stacking
of any top soil or over burden or waste rock and non-saleable minor mineral
excavated/generated during the mining operations and utilization of the same
for restoration and rehabilitation of the area; (vii) plan for phased
restoration, reclamation and rehabilitation of land affected by mining
operations. (9) The mining plan shall
be approved in consultation with the Fisheries, Forest, Irrigation and Flood
Control Departments; (10) The mining plan once
approved shall be valid for the mineral concession period unless revised or
modified by the Government during the concession period. The
owner, agent, Mining Engineer or Manager or Geologist of every mine shall
review the mining plan after every five years and shall submit scheme of mining
for the next five years or the concession period, as the case may be, to the
authorized officer for its approval by the Government. (1) Where any
modification of the approved mining plan is required during the subsistence of
the minor mineral concession, the concessionaire shall get any such
modification approved from the officer authorized in this behalf: Provided
that in respect of river bed mining or mining near a water works, hydraulic
works embankment etc, the No Objection Certificate of the concerned Executive
Engineer, Irrigation and/or Flood Control Department shall be obtained before
any modification is made in the original mining plan by the officer authorized
in this behalf. (2) The authorized
officer may wherever needed require the minor mineral concessionaire to make
such modifications in the mining plan referred to above or impose such
conditions, as he may consider necessary, by an order in writing if such
modifications or imposition of condition are considered necessary in view of: (i) the experience of
operations of mines; (ii) the change in
technological development; (iii) of any change in
legal provisions or orders of any court. (3) A minor mineral
concessionaire desirous of seeking modifications in the approved mining plan as
are considered expedient in the interest of safe and scientific mining,
conservation of minerals, or for the protection of environment, shall apply to
the authorized officer in this behalf setting forth the intended modifications
and also explaining the reasons for the same. The
minor mineral concessionaire shall furnish financial assurance amounting to Rs.
25000/- per hectare or part of the area granted under the mineral concession
and put to use for mining and allied activities subject to minimum of rupees
one lac in the form and manner as may be prescribed. (1) A mining plan shall
be prepared by a Recognized Qualified Person (RQP) registered under these rules
or recognized under rule 22 B of the Mineral Concession Rules, 1960 (Central
Rules). (2) The Director shall
specify all such persons who are so registered/recognized by him under sub-rule
(1) above and keep a list of such persons updated. (1) No person shall be
registered as a Recognized Qualified Person by the Director, unless he
possesses: (i) a degree in Mining
Engineering or a post graduate degree in Geology granted by a University established
or incorporated by or under an Act of the Parliament or Act of State
Legislature or any institution recognized or incorporated by the University
Grants Commission established under section 4 of the University Grants
Commission Act, 1956 (3 of 1956) or any qualification equivalent thereto
granted by any University or Institution outside India and possessing a
professional experience of five years of working in a supervisory capacity in
the field of mining or mineral administration after obtaining degree; or (ii) a three year full
time diploma certificate in Mining Engineering awarded by a State Technical
Education Board or a University or Authority recognized by the Govt. of India
and possessing professional experience of 10 years of working in a supervisory
capacity in the field of Mining or mineral administration after obtaining the
diploma. (2) Any person possessing
the qualification and experience as prescribed under sub rule (1) may apply to
the Director, for registration as a Recognized Qualifying Person along with a
fee of Rs. 10,000/- (Rs. ten thousand only). (3) The Director may,
after making such enquiry as deemed appropriate, grant or refuse registration
and where registration is refused, the Director shall record the reasons
therefore in writing and communicate the same to the applicant. (4) The registration
granted under sub-rule (2) shall be valid for a period of 10 years. (5) The registration can
be renewed on filing of application and deposit of such fee as may be
prescribed, from time to time, for a further period of 10 years. (1) The Government or any
Officer authorized by the Government in this behalf shall approve the mining
plan or such modified mining plan or scheme of mining with or without any
modification within a period of forty-five days from the date of receipt or
submission of such application for approval of mining plan or modified mining
plan or scheme of mining, as the case may be and after consisting the Forest,
Fisheries and Irrigation & Flood Control Departments. (2) The officer
authorized by the Government for purposes of approving the mining plan/scheme
under sub-rule (1) shall possess the qualifications as prescribed under clause
(XLVII) of rule 2 of these rules. CHAPTER-III
ENVIRONMENTAL
SAFE GUARDS Every
holder of minor mineral concession shall take all possible precautions for the
protection of environment and control of pollution while conducting mining
operations in the minor mineral concession area: Provided
that the concessionaire shall submit the Environment Clearance from the
district environment committee in respect of his minor mineral concession area
as per the Notifications issued by Ministry of Environment & Forests (MoEF)
GOI from time to time. (1) The Director shall
club individual quarries falling in areas ancestrally occupied and certified by
the revenue authority in this regard, with area less than 05 hectares and
declare them as cluster of quarries provided that: (i) the sum total of such
quarries in a cluster shall not be more than 20; and (ii) the area of such
cluster quarries shall not exceed 50 hectares. (2) If the number of
quarries or sum total of the area exceeds 20 quarries and/or 50 hectares, the
powers in this regard shall be exercisable by the Government. (1) For a cluster,
Environmental Management Plan shall be collectively prepared by the minor
mineral concessionaire of the cluster through a recognized qualified person and
submitted to the District Environment Committee for final approval by the
Government or the authorized Officer of the Government in this behalf
separately. (2) Environment Clearance
is to be sought from the Ministry of Environment, Forest and Climate Change
(MoEFCC), Government of India in case of mining area/cluster is 50 hectares or
more and from the State Level Environment Impact Access Authority (SIEAAs) for
such areas/clusters less than 50 hectares, as per Impact Assessment
Notification, 2006 with amendment of 2009 and memorandum issued by MOEFCC, GoI
of May 18, 2012 for areas less than 5 hectares and such other amendments as may
be notified from time to time. Each
and all minor mineral concession holders in a cluster shall be individually and
jointly responsible for implementation of the environmental management plan. (1) Where top soil exists
and is to be excavated for mining operations for minor mineral, it should be
removed and stored separately. (2) The top soil so
removed shall be utilized for restoration and rehabilitation of the land which
is no longer required for mining operations or for stabilizing or landscaping
the external dump. (3) Where top soil cannot
be used concurrently, it shall be stored separately for future use, keeping in
view that the bacterial organism should not die and should be spread in a
nearby area. (1) The overburden, waste
rock and non-saleable minor mineral generated during mining operations for
minor mineral shall be stored separately in properly formed dumps on grounds
earmarked. (2) Such dumps shall be
properly secured to prevent the escape of material in harmful quantities which
may cause degradation of the surrounding land or silting of water courses. (3) Wherever possible,
such waste rock or overburden or other rejects, shall be backfilled into the
worked out minor mineral area, where minor mineral has been recovered upto the
optimum depth, with a view to restore the land to its original use or desired
alternate use, as far as possible and where the backfilling is not feasible,
the waste dumps shall be suitably terraced and stabilized by planting
vegetation or otherwise. Every
holder of mineral concession shall undertake the phased restoration,
reclamation and rehabilitation of land affected by mining operation and shall
complete this work before the conclusion of such operations and abandonment of mine. Where
large numbers of small mines are situated and worked out in clusters, at such
places the provisions of quarrying of minor minerals should be done in a
systematic and scientific manner. The programme of restoration and reclamation
of the mined out area and rehabilitation must be made jointly in phased manner
in the abandoned areas in an entire cluster of the minor minerals.
Environmental clearance may be obtained by corporate body or the concept of
Regional Environmental Assessment (REA) and Regional Environmental Management
Plan (REMP) prepared accordingly. Air
pollution due to dust, exhaust emissions or fumes during mining or processing
operations for minor mineral and related activities shall be controlled and
kept within permissible limits specified under any environmental laws for the
time being in force. Every
holder of a mineral concession shall take all possible precautions to prevent
or reduce to a minimum the discharge of toxic and objectionable liquid
effluents from minor mineral area, workshop or processing plant into surface or
ground water bodies and usable lands. These effluents shall confirm to the
standards laid down in this regard. Noise
arising out of mining and processing operations for minor mineral shall be
abated or controlled by the holder of mineral concession at the source so as to
keep it within the permissible limit as per the Noise Pollution (Regulation and
Control) Rules, 2000, with amendments made from time to time. The
standards and permissible limits of all pollutants, toxins and noise referred
to in rule 18,21, 22 and 23 shall be as prescribed under the Environment
(Protection Act) 1986. The standards for emissions or discharge of environment
pollutants shall be as per Rule 3(1) of the rules notified under the said Act. Every
holder of mineral concession shall: (i) carry out mining
operations in such a manner so as to cause least damage to the flora of the
area held under mineral concession; (ii) take immediate
measures for planting in the same area or any other area selected by concerned
authority or Regional Office of Ministry of Environment and Forest or the
authorized officer not less than twice the number of trees destroyed by reason
of any mining operation; (iii) look after them
during the subsistence of the mineral concession after which these trees shall
be handed over to the State Forest Department or any other authority as may be
nominated by Government; and (iv) restore, to the
extent possible, other flora destroyed by mining operation. CHAPTER-IV
GRANT
OF MINING LEASE (1) No mining lease shall
be granted by the competent authority unless the such authority is satisfied
that there is evidence to show that the area for which the lease is applied for
has occurrences of minor mineral. (2) No lease shall be
granted or renewed by the competent authority unless there is a mining plan
duly approved under these rules and environmental clearance has been obtained
by the applicant irrespective of the size of the mining area. Any
minor mineral deposits may be granted for a mining lease by the Government for
a period not less than 05 years but not exceeding 15 years depending upon the
nature of the mineral deposit: Provided
that where minerals are deposited in the State land, the lease shall be granted
after following an open auction process as provided under Chapter-VI of these
rules excluding (i) the quarry areas
ancestrally occupied and certified by the revenue authorities in this regard;
and (ii) areas earmarked for
operation by such public sector undertaking as the Government may direct: Provided
further that Director shall constitute one or more Committees for
identification of minor mineral blocks having an area not less than 05 hectares
but not more than 50 hectares which shall be put to open auction after approval
from the competent authority. (1) Every application for
grant of mining lease shall be made to the authorized officer in Form ML1. (2) Every application for
renewal of mining lease shall be made to the authorized officer at least 12
months before the date of expiry of such lease in Form ML2. (3) Every application
made under sub rules (1) and (2) above shall be accompanied by: (i) a non refundable fees
of Rs. 50,000/-; (ii) a plan of the area on
suitable scale connecting one or more of the corner pillars with a fixed
reference point in vicinity with accurate bearings and distances and
descriptions of the area applied for and incorporated with title verification
of the land; (iii) a copy of No Due
Certificate from officer authorized by the Government in this behalf: Provided
that where any injunction has been issued by the Court or any other authority
staying recovery of any dues, the non-payment thereof shall not be treated as a
disqualification for the purpose of granting or renewing the lease: Provided
further that No Due Certificate shall not be required where a person has
furnished an affidavit certified by a Civil Court to the satisfaction of the
Department stating that he or any member of his family does not or did not hold
a mining lease or any other type of mineral concession and no dues of the
Department are outstanding against him or any member of his family. (iv) an affidavit giving
particulars of mineral-wise areas already held under mining lease/prospecting
licence/quarry licence, (a) by the applicant; or (b) with any person
having joint interest; or (c) already granted but
not yet executed/registered; or (d) already applied but not
yet granted. (v) Income Tax Clearance
Certificate/Income tax return of the previous year; (vi) Copy of ADHAR Card
and PAN Card. Every
application under rule 28 shall be acknowledged in Form ML3 on the date of its receipt. (1) An application for
grant of mining lease shall be disposed of by the competent authority within a
period of 12 months from the date of its receipt. (2) An application for renewal
of mining lease made within the stipulated period shall be disposed of before
the expiry of lease by the competent authority. The
competent authority may refuse to grant or renew any mining lease subject to
reasons to be recorded and communicated to the applicant in writing. (1) A register of mining
lease applications shall be maintained in the office of the Director in Form ML4. (2) A register of mining
leases shall be maintained in the office of the Director in Form ML5. Area
for grant of mining lease shall not be less than 5 hectares and no mining lease
shall be granted over an area exceeding 50 hectares: Provided
that minimum area for grant of mining lease shall not be less than one hectare
in case of stray, isolated and deposits shallow in nature: Provided
further that no concessionaire shall acquire one or more minor concessions
covering total area of more than five hundred hectares in the State. (1) The maximum period
for which a mining lease may be granted shall not exceed 15 years depending upon
the nature of deposit. (2) The minimum period
for which any such mining lease may be granted shall not be less than five
years. (3) The period of mining
lease in respect of river born deposits shall not exceed 05 years. (4) A mining lease may be
renewed for a period not exceeding 10 years. (5) No renewal of mining
lease shall be done after a total period of 25 years of such mining lease. (1) The competent
authority may, while granting renewal of a mining lease impose conditions
relating to mechanized development of mines and establishment of mineral based
industry. (2) No application for
renewal of mining lease shall be accepted after the expiry of lease. The
lessee shall be required to deposit a sum of Rs. 1,00,000/- per hectare as
security in the shape of a fixed deposit in favour of Director or in any other
form/manner, as may be prescribed by the Government, for the due observance of
the terms and conditions of lease. (1) Except with the prior
approval in writing of the competent authority, the lessee shall not: (i) assign, sublet,
mortgage or in any other manner transfer the mining lease or any right, title
or interest therein; or (ii) enter into or make
any arrangement, contract or understanding whereby the lessee will or may be
directly or indirectly financed to a substantial extent by, or under, which the
lessee's operations or undertakings will or may be substantially controlled by
any person or body of persons other than lessee. (2) Any application for
transfer of mining lease shall be submitted to the competent authority along
with a processing fee of Rs. 50,000/-. The said application shall be considered
by the competent authority subject to the conditions that: (i) the lease has
remained in force for at least two years from the date of its grant; and (ii) no dues are
outstanding against the transferor or transferee. (3) An application for
transfer of mining lease shall be disposed of by the Government. (4) Transfer of mining
lease shall not be considered as a matter of right and the competent authority
may refuse such transfer for the reasons to be recorded and communicated in
writing to the lessee. (5) Where, on an
application for transfer of mining lease under these rules, the competent
authority has given consent for transfer of such lease, transfer deed in Form
ML6 shall be executed within three months from the date of consent after which
the consent given shall be deemed to have been withdrawn. (1) Every mining lease
shall be subject to the following conditions: (i) the holder of a
mining lease granted before the commencement of these rules, shall
notwithstanding anything contained in the instrument of lease or any law or
rules in force at such commencement, pay royalty in respect of any mineral
removed by lessee from the leased area or consumed after such commencement, at
the rates specified in Schedule-I in respect of that minor mineral and in the
manner as ordered by the competent authority; (ii) the holder of a
mining lease granted under these rules shall pay royalty in respect of any
minor mineral removed by him from and/or consumed, at the rate specified in the
Schedule-I in respect of that mineral in the manner as ordered by the competent
authority; (iii) the lessee shall pay
surface rent for surface area used by him for the purpose of mining to the
Revenue Department where such land is State land; (iv) the lessee shall pay
yearly dead rent, as per rates specified in Schedule-II, in quarterly installments
in advance: Provided
that the lessee shall be liable to pay either dead rent or royalty in respect
of each minor mineral whichever is higher but not both; (v) the lessee shall pay
all dues in the office of authorized officer in such manner as may be mentioned
in the lease agreement; (vi) the lessee shall not
cut or injure any tree in area of his lease without the previous sanction in
writing of an officer authorized in this behalf under law; (vii) the lessee shall, at
his own expenses, erect and at all times maintain and repair boundary pillars
and marks according to the plan and demarcation report annexed to the lease; (viii) the lessee shall not
erect, set-up or place any building or industrial unit in the leased out area: Provided
that shelter for labourers to rest or field office may be erected, which if not
removed before expiry of lease shall become the property of the Government; and (ix) the lessee shall
commence mining operations within three months from the date of execution of
the lease and thereafter carry on such operations effectively in a manner which
will ensure safety of labourers, conservation of mineral, removal of over
burden, and its proper dumping, storage, drainage of water and removal of all
valuable minerals from the mines in accordance with the rules. (2) The lessee shall as
per Environment Management Plan: (i) take immediate
measures for plantation, in the same area or any other area selected by the
Director or an officer authorized by him, of trees not less than twice the
number of trees destroyed by reasons of any mining operation and shall look
after them during the subsistence of the lease, after which these trees shall
be the property of the Government; (ii) restore to the extent
possible the mined out areas and other flora destroyed by the mining
operations; and (iii) properly stack the
top soil recovered during surface operations and use the same for plantation or
as backfill. (3) The lessee shall keep
accurate and faithful accounts of all minor minerals excavated from the mines,
the quantity lying in stock at the mines and the quantity dispatched/utilized
therefrom as also the number of persons employed in Form ML7 which shall
contain particulars regarding the quantity of minor mineral sold/utilized, its
value and name of persons or firms to whom sold. The accounts shall be produced
before the assessing authority on such date as may be fixed in this behalf for
the purpose of assessment. The lessee shall maintain up to date plans of the
mines and shall also allow any officer of the Department as may be authorized
by the Director in this behalf to examine such accounts and plans at any time
and shall furnish him other information as he may require. (4) The lessee shall
furnish monthly returns in the Form ML8 to Director/Designated Authority by
15th of the following month to which the returns relate and Annual Returns in
the Form ML9 by or before 30th April of each year. (5) The lessee or any
other person shall not remove or dispatch the minor mineral from the lease hold
without proper challans in Form A. (6) The lessee shall
abide by all laws and rules for the time being in force in the State and all
such other laws or rules as may be enforced from time to time in respect of
working at the mines and other matters relating to safety, health and
convenience of the employees or of the public. (7) The lessee shall
allow existing and future lease holders of any land which is comprised in or is
reached by the land held by the lessee, reasonable facilities for access
thereto, (8) The lessee shall
allow any Officer of the Department to enter upon the premises comprised in the
lease for the purpose of inspecting the same and abide by instructions issued
by him from time to time regarding the conservation and development of minerals
and the matter related thereto. (9) The lessee shall make
good and pay such compensation as may be assessed by lawful authority in
accordance with the law or rules or order in force on the subject for all
damages, injuries or disturbances which may be caused by him and shall
indemnify, the Department against such damages, injury or disturbances and
expenses in connection therewith. (10) The lessee shall
forthwith report to the Department about any accident which may occur at or in
the said premises. (11) The lessee shall
report to the Department the discovery of any mineral not specified in the
lease within thirty days of such discovery and shall not dispose of such
mineral unless he is permitted to do so by grant of lease or otherwise. (12) If the lessee intends
to work such newly discovered mineral or minerals, he shall, within three
months of making such report as mentioned in Clause (11) intimate his intention
to the Director, apply for mining lease in respect thereof in accordance with
the rules regulating the grant of mining concessions for that mineral and he
may find preference over other applicants for grant of mineral concession for
that/these mineral(s) within his existing lease area. However, such mining
lease shall not be a matter of right. (13) If the lessee
intimates his intention not to work the newly discovered mineral or fails to
report about the same within stipulated period from the date of discovery of
new mineral, then it shall be open to the Department to grant a lease for the
working of the same to any other person. Any objection in this regard will be
disposed of after due consideration by the Government. (14) The lessee may apply
for surrender of whole or part of the lease on the ground that deposits of that
mineral have since exhausted or depleted to such an extent that it is no longer
economical to work the minor mineral. The Government may permit the lessee for
such surrender which shall be accepted subject to the following conditions: (i) the extent of
surrendered area shall not be less than the minimum prescribed size of the plot
fixed for the minor mineral for that area and shall be rectangular and
contiguous in shape and length being not more than 4 time the width; (ii) there shall be no
dues outstanding against the lessee; (iii) the lessee applies
for such surrender at least 03 months before the intended date of surrender; (iv) the lessee gives an undertaking
that he will not cause any hindrance in the working of mineral area so
surrendered, by any other person who is subsequently granted a mining lease in
respect of that minor mineral/area: Provided
that the security deposited by lessee shall be adjusted against outstanding
dues, if any. (15) The lease shall be
liable to be cancelled by the competent authority if the lessee ceases to work
the mine for a continuous period of six months. (16) In case of any breach
on the part of the lessee of any covenant or condition contained in the lease
the Government may determine the lease on the recommendation of the Director
who shall take possession of the said premises and forefeit the security
deposit or in the alternative may impose payment of a penalty not exceeding twice
the amount of annual dead rent of the lease. Such action shall not be taken
unless the lease has failed to remedy the breach after serving of 50 days
notice. (17) As soon as the lease
gets expired or is surrendered or is determined, the lessee shall deliver up
the said premises and all mines dug therein in a proper and workable state
(save in respect of any working as to which the Director might have sanctioned
abandonment) to the Director. (18) The minor mineral,
machinery or any structures left on expiry of lease or on determination of
lease or on surrender of lease as the case may be shall be removed by the
lessee within 30 days of the date of expiry or surrender or receipt of the
order of determination of lease and if the minor mineral, machinery or structures
is not removed within the aforesaid period, the same shall belong to the
Government and Director may dispose it off either by public auction, or by
direct sale at the rate prevalent in the adjacent area or by any other means or
in any other manner found fit: Provided
that the said condition shall also be applicable to the part of lease
surrendered. (19) The Director may by
six months prior notice in writing determine the lease, if it considers that
the area under the lease is required for public interest: Provided,
that such notice shall be dispensed within the event of war or any other
situation making it impracticable to give such notice. (20) Director may by an
order in writing prohibit further mining or quarrying in the leased area, if in
his opinion such operation is likely to cause premature collapse of any part of
the working or otherwise endanger the mine or quarry or the safety of persons
employed therein, or there is danger as regard to outbreak of fire or flooding
or such operation may cause damage to any property. (21) The lessee shall not
work or carry on or allow to be worked or carried on at any point within a
distance as specified in rule 4 from any railway line except with the previous
written permission of the Railway administration concerned, or from any
reservoir, canal or other public works or buildings or inhibited site except
with the previous permission of the Collector or any other officer authorized
by or under any law for the time being in force or by the Government in this
behalf and otherwise than in accordance with such instructions, restrictions
and conditions either general or special as may be attached to such
permissions. The said distance as specified in rule 4 shall be measured in the
case of railway, reservoir or canal horizontally from the outer toe of the bank
or the outer edge of the cutting as the case may be, and in case of a building
horizontally from the plinth thereof. Explanation:
For the purpose of this sub-rule: (a) The expression
"Railway Administration" shall have the same meaning as defined under
sub-section (4) of section 3 in the Indian Railway Act; and (b) "Public
Road" shall mean a road which has been constructed or artificially
surfaced by the Government as distinct from a track resulting from repeated
use. (22) If any area of the
leased area is declared as a protected area under the Ancient Monuments
Preservation Act, 1904, the lessee shall have to deliver the possession back to
the Department without claiming any compensation for the area. (23) The lessee shall
deliver to or permit sample or samples to be taken by the representative of the
Department of all rocks found on Mines or raised there from and all
intermediate and finished products sold or intended for sale by the lessee. (24) The lessee shall
abstain from entering upon the surface of any occupied Government land or on
any private land comprised within the leased area without obtaining in writing
the prior consent of the occupant. (25) The Director may with
the prior approval of the Government impose such special condition as deemed necessary,
in the interest of mineral development/protection. (1) Subject to the other
conditions of these rules, where mining operations are not commenced within six
months from execution of the lease deed or is discontinued for a continuous
period of six months after commencement of such operations, the Director shall,
by an order, declare the mining lease as lapsed and communicate the declaration
to the lessee. (2) Where a lessee is
unable to commence the mining operations within a period of six months from the
date of execution of the lease, or discontinues mining operations for period
exceeding six months for reasons beyond his control, he may submit an
application to Director explaining reasons of the same at least one month before
expiry of such period. (3) The Director may on
receipt of application made under sub rule (2) and on being satisfied about the
genuineness of reasons for the non-commencement of mining operation, or
discontinuance thereof, pass an order before the date on which the lease would
have otherwise lapsed, requesting the Government for extending or refusing to
the extension of the period of lease. (4) Every application
under sub rule (2) shall be entered in the register kept for this purpose and a
receipt shall be given to the applicant. (1) Where the lease has
been granted or renewed under these rules, the lessee shall pay demarcation
fee, deposit the security along with one quarterly installment of annual dead
rent and submit requisite stamps for execution of formal lease deed in Form
ML10 within 30 days from the date of issue of order of grant. (2) The lease deed shall
be executed within three months from the date of issue of order of grant and
the Director shall sign the lease. (3) The lease deed shall
be got registered by the lessee within a period of one month from the date of
execution of the lease deed and registered lease deed shall be submitted
immediately to the Director. (4) Where the grantee
fails to comply with the provisions of sub-rules (1), (2) & (3) above, the
order granting the lease shall be deemed to have been revoked and amount of
security and dead rent deposited by him shall stand forfeited: Provided
that if the grantee applies before expiry of 30 days specified in sub-rule (1)
for extension of time for completing the formalities mentioned therein, the
competent authority may allow further time not exceeding 30 days it is
satisfied that there are sufficient reasons to believe that the grantee is not
responsible for the delay in the execution/registration/submission of lease
deed. The competent authority may permit the execution/registration/submission
and return of the lease deed within a reasonable time after expiry of aforesaid
period subject to payment of penalty @ 10% of annual dead rent for every month
of delay or part thereof. (5) After the
registration of duly executed lease deed under sub rule (2) the Director or the
Officer authorized by the Government shall make arrangements at the expenses of
the lessee for demarcation of the granted area: Provided
that where the competent authority feels it necessary to demarcate the area
before issuing an order of grant for mining lease, it may ask the applicant to
deposit the demarcation charges as may be determined within time specified by
him and get the area demarcated: Provided
further that if the applicant fails to deposit demarcation charges within the
period specified in this regard by the competent authority, the order for grant
of lease shall stand cancelled. The
currency of lease shall begin from the date on which duly executed deed is
registered. The lessee shall have no right to continue work or accumulate stock
on or after the date of termination of lease or its earlier determination,
unless otherwise permitted by the competent authority. The
authority to grant mining lease shall be: (a) Director for an area
upto 25 hectares; and (b) Government for an
area exceeding 25 hectares. CHAPTER-V GRANT OF QUARRY
LICENCE No
quarry licence shall be granted or renewed unless a duly approved mining plan
or scheme of mining is submitted to the competent authority and approved by it: Provided
that the Environmental Management Plan shall be mandatory irrespective of the
size of the areas/plots. Any
minor mineral deposits which in the opinion of the Director are to be operated
under a Quarry Licence, he may grant such license for a minimum period of three
years which may extend upto five years. The lease/quarry license shall not be
renewed after expiry of five years and the area shall be put to auction after
expiry of the period of lease/license: Provided
that where minerals are deposited in the State land, the lease shall be granted
after following an open auction process as provided under Chapter-VI of these
rules excluding: (i) the quarry areas
ancestrally occupied and certified by the revenue authorities in this regard;
and (ii) areas earmarked for
operation by such public sector undertaking as the Government may direct: Provided
further that the Director shall constitute one or more Committee for
identification of Minor Mineral plots having a minimum area of 1 hectare and
not exceeding 05 hectares which shall be put to open auction after approval
from the Competent Authority. (1) No quarry license
shall be granted for a period exceeding 5 years and shall not be renewed. (2) No quarry license
shall be granted for an area exceeding 05 hectares. (1) Every application for
the grant/renewal of quarry license shall be submitted in Form QL1 to the
Officer Incharge and shall be accompanied by a non refundable fee of Rs.
5,000/-. (2) Every such
application made under sub rule (1) shall be accompanied by: (i) site plan of the
applied area along with coordinates; (ii) revenue extracts of
the applied area along with last Jamabandi position; (iii) No Demand Certificate
of the Department; (iv) the consent of owner
or occupier of the applied area; and (v) copy of PAN
Card/Adhaar Card. (1) Every application for
grant of quarry licensee shall be disposed off within a period of 6 months. (2) The application for
renewal of quarry licensee shall be disposed off within a period of 3 months
provided that application is made three months prior to the date of expiry of
the licence which is sought to be renewed. (1) The extraction of
minor minerals from any land shall be regulated by grant of quarry license by
Director or an Officer authorized by the Government in this behalf: Provided
that grant of quarry license for extraction of river bed material shall be
regulated as per the related provisions of the Jammu and Kashmir Water
Resources (Regulation and Management) Act, 2010 and Jammu and Kashmir Water
Resources (Regulation and Management) Rules, 2011. (2) The Director or an
Officer authorized by the Government within his jurisdiction shall issue/renew
the quarry license in the form QL2: Provided,
that in respect of quarrying of river bed material, the said license shall be
granted by the Director or an Officer authorized by the Government only after
seeking specific NOC from the concerned Executive Engineer of the Irrigation
and/or Flood Control Department in terms of the Jammu and Kashmir Water
Resource (Regulation and Management) Act, 2010: Provided
further that no license shall be issued in respect of Forest/Protected area and
Eco-sensitive Zones, whether partly or wholly, unless prior sanction is
obtained from the competent authority as per Jammu and Kashmir Forest
Conservation Act, 1997 and the Jammu and Kashmir Wildlife Protection Act, 1978
containing details of volume of minerals i.e. quantity to be extracted or
removed and validity of time period. The
licensee shall be required to deposit a sum of Rs. 50,000/- per hectare or part
thereof as security in the shape of a fixed deposit or in any other form or
manner as may be prescribed by the Director for the due observance of the terms
and conditions of license. (1) The licensee shall
pay advance royalty to the Department on monthly basis on the quantity of the
minor mineral intended to be dispatched from the quarry at the rates specified
in the Schedule-I after making such payment by the licencee, the officer authorized
in this behalf shall within his jurisdiction issue the authorization for
lifting/removal of the said quantity in Form QL3. (2) The licensee shall
remove the quarry waste dumped during excavation or pay such amount per year or
part thereof to the Department for removal of quarry waste dumped during the
extraction at such rate and at such time as may be fixed by Department from
time to time. (3) The licensee shall
start work in the quarry within ten days of the grant of license and shall
thereafter continue to work effectively in a proper skillful and workman like
manner with regard to conservation of mineral and safety of labourers and
surroundings. (4) The licensee shall
maintain and at all times keep intact boundary pillars at the corners of the
plot/area according to the approved site plan. (5) The licensee shall
abide by the instructions of the Department regarding the working of the
quarry, removal of waste, drainage and other matters concerned with the
systematic development and working of the area. (6) The licensee shall
make to the reasonable satisfaction and pay such compensation as may be
determined by lawful authority in accordance with the law or rules or order in
force on the subject for damages, injuries or disturbances which may be caused
by him and shall indemnify and keep indemnified the Department against all such
damages, injuries or disturbances and all costs and expenses incurred thereon
or therewith. (7) The licensee shall
without any delay report to the Department any accident which may occur at or
in the said premises and also the discovery in or around the license area of
any mineral not specified in the license. (8) The license may be
cancelled by the Director without giving any notice if the licensee fails to
start work at the said quarry or does not work it for a continuous period of
four months. (9) The minor mineral
left on the expiry of license period or cancellation of license shall be
removed by licensee within 15 days of the expiry of license or receipt of the
order of cancellation of license. (10) The licensee shall
confine his workings within the limits of the minor mineral plot allotted to
him and shall not undertake mining outside his plot. In case the licensee is
found working outside the boundary of his allotted plot/area, the license may
be cancelled. (11) The licensee shall
not obstruct approach to the adjoining licensees. In case of any dispute about
the approach road, directions of Director or officer Incharge shall be final
and binding. (12) The licensee shall
have to make the transportation of mineral removed from the plot/area under a
proper challan in Form A. If
the licensee commits breach of terms of license or any provision of the rules
or fails to comply with the directions given, within the period specified, the
Director or an Officer authorized by the Government may give a 15 days notice
to the licensee to remedy the breach or to comply with the directions. In case
the licencee fails to remedy the breach or to comply with the directions within
such period, the Director or an officer authorized in this behalf may impose a
penalty not exceeding Rs. 25,000/- or may cancel the license with forfeiture of
security deposits and license fee for the remaining period of the license. CHAPTER-VI GRANT OF MINING
LEASE/QUARRY LICENCE BY AUCTION Mining
leases and Quarry Licences shall be granted only through a process of open
auction by the authority competent to grant lease/licence. In
each district grant of Mineral Concessions shall be conducted through auction
by a Committee consisting of following Officers: (1) Dy. Commissioner
concerned or an (Chairman) Officer authorized by him not below the rank of
Additional Deputy Commissioner (2) Superintending
Engineer (R&B) or an (Member) officer authorized by him not below the rank
of Executive Engineer (3) District Treasury
Officer (Member) (4) Executive Engineer
(I&FC) (Member) (5) Officer of the
Department not below (Member) the rank of Deputy Director/Mining Engineer. (6) Officer Incharge of
the Department (Member Secretary) of the concerned District (1) The Director shall
fix the reserve price in each mining lease or quarry licence with the approval
of the Government. (2) The reserve price may
be fixed keeping in view the following: (i) actual physical
quantities of mineral produced and dispatched from the area concerned during
last three years; (ii) last three years
collection of royalty from such deposits in open market in the State and the
other States; (iii) expected increase in
revenue in the proposed contract period due to increased consumption of mineral
in coming times; and (iv) potential of mineral
reserves, feasibility, haulage facilities and other relevant matters about the
area. (1) The auction of
mineral concession area shall be conducted at the District headquarter of the
concerned district by the Chairman of the auction committee in presence of its
members. (2) The terms and conditions
and description of the Mineral Concession area shall be read out to the
intending bidders at the time of auction. (3) The participants in
the auction shall at the time of auction submit the following amount/documents
to the auction committee: (a) earnest money not
less than Rs. 1.50 lacs or 15% of the minimum bid amount whichever is higher in
the shape of CDR pledged to Officer Incharge of the District; (b) an affidavit stating
that no dues of the Department are outstanding against the bidder or partners
of the firm/Directors of the Company or their family members, as the case may
be; (c) power of attorney or
resolution passed by the Board of Directors in case intending bidder is a
Partnership Firm or Company or Society, as the case may be; (d) Income Tax Clearance
Certificate/Income Tax Return as provided in Income Tax Act, 1961. (4) No interest shall be
payable by the Department on the earnest money. (5) Any participant not
having the requisite earnest money, affidavit regarding no dues and power of
attorney shall not be allowed to participate in the auction. (6) The Chairman shall
conduct the auction in the peaceful manner and may direct any bidder to leave
the auction premises in the event of misbehavior during the course of auction
and shall reject his bid or, if necessary, debar him for a period of three
years from the date of misbehaving for grant of any Concession under these
rules including forfeiture of earnest money deposited by such bidder. (7) On completion of the
bid process i. e. fall of the hammer, the Chairman may provisionally accept or
reject the highest bid offered or received during the auction proceedings and
shall send his recommendations to the Director. The highest bidder shall have
to deposit 50% of the bid amount after completion of the auction process: Provided
that in case the auction proceedings are not conducted under the Chairmanship
of Deputy Commissioner, the recommendations as required under clause (6) above
shall be made with the approval of the Dy. Commissioner concerned. (8) No highest bid shall
be regarded as accepted unless approved by the Director in case the highest bid
is upto Rs. 150.00 lacs and by the Government in case the highest bid is above
Rs. 150.00 lacs. (9) Once a bid is
provisionally accepted, Director shall issue Letter of Intent (LoI) to the
concerned bidder to complete the formalities as required for the grant of
Mining Lease or Quarry License under these rules within a period of six months,
including deposition of remaining bid amount. The concerned bidder shall not
extract or allow any extraction till such mining lease or quarry license is
granted. (10) The bid amount
offered by the successful bidder shall be considered as guarantee amount for
grant of such Mineral Concession. (11) No person against
whom any dues of the Department are outstanding shall be considered for
acceptance of a bid under this rule: Provided
that where any injunction order has been issued by a court of law or other
competent authority staying the recovery of such dues, the non-payment thereof
shall not be treated as disqualification for the purpose of this rule. (12) The earnest money
deposited by participants, save in the cases where the earnest money has been
ordered to be forfeited by the Chairman on the ground of any misconduct during
the auction proceedings, shall be refunded immediately upon completion of the
auction proceedings. (13) The complete process
shall be video graphed and kept in safe custody for at least three years. CHAPTER-VII
GRANT
OF SHORT TERM PERMIT OR DISPOSAL PERMIT (1) Short Term Permit or
disposal permit shall be granted for: (i) disposal of minor
minerals encountered in the process of construction of tunnels, canals, roads,
bridges, buildings etc; (ii) disposal of minor
minerals excavated during the process of construction, maintenance and
operation of the tunnels, canals, roads, drainage system by Government
Departments; (iii) Government works of
emergent nature for public interest; (iv) extraction of brick
earth by the brick kiln owners possessing a valid license under the J&K
Brick Kiln (Regulation) Act, 2010; (v) an area less than one
hectares and not covered under any other mineral concession granted under these
rules for the excavation of specified quantity of minor minerals for a
specified period on advance payment of royalty and guarantee amount. However,
disposal permit may be given on an area exceeding one hectare. (2) The following shall
be the authorities for grant of short term or disposal permit under these
rules: (i) Officer Incharge of
the District concerned for minor minerals upto 5000 tonnes; (ii) Joint Director/Dy.
Director/Mining Engineer of the Department for minor minerals above 5,000 upto
50,000 tonnes; and (iii) Director for minor
minerals above 50,000 tonnes. (3) Short Term Permit or
Disposal Permit may be granted for a specified period not exceeding three
months at one time for a specified quantity only. (1) Application for short
term permit or disposal permit shall be made to Officer Incharge in the Form
STP1 and shall be accompanied by a fee of Rs. 2,000/- (rupees two thousand). (2) Every application
shall be accompanied by the description of the land giving location of the area
from where excavation of mineral shall be made and shall be accompanied by the
consent of owner of the land in case of proprietary land, consent of the
Department concerned in case of Departmental land and by the consent of Revenue
Department in case of State land or any other Officer of the Department duly
authorized by the said Department. (3) Copy of PAN Card or
Adhaar Card. Short
term permits or disposal permits shall be granted on first come first service
basis. Such permits shall be issued in Form STP2: Provided
that permits under this rules shall be granted only in cases where the Director
is satisfied that such areas are required to be operated for short periods
under special circumstances and with adequate environmental safeguards,
precautions and applicable statutory clearances from the concerned agencies. The
authority competent to grant permit under these rules may refuse the grant of
short term permit/disposal permit on the reasons to be recorded in writing. (1) A person in whose
favour short term permit or disposal permit is granted under these rules shall: (i) have to operate the
specified area by formation of safety benches for safe/scientific mining, the
width of the benches shall not be less than its height and the height of any
bench shall not be more than one meter; (ii) take all precautions
for the protection of environment and control of pollution; (iii) not transfer such
permit; (iv) be bound to record
the extracted material at the nearest Mineral Check Post; (v) surrender such permit
after the quantity specified therein is dispatched, to the Department within a
week after the last consignment of dispatch along with the particulars by
giving the details of the name of the consignee, the date and dispatch etc.; (vi) have to make the
transportation of mineral removed from the area under a duly authenticated
challan in Form A; (vii) allow the executive
staff and the officers of the Department of Geology and Mining to inspect,
check and measure the minor minerals at all stages including its
transportation; (viii) be responsible for
any third party claim/interference and department shall not be responsible for
such claims/interference within mineral concession area; and (ix) have to indemnify and
always keep indemnified department of all injuries/accidents/claims of third
party within area of mineral concession. (2) Failure to comply
with any of the above conditions shall be a ground for withdrawal of the permit
or cancellation of the same. (3) The department shall
have the right to claim additional royalty dues on the scrutiny of the sale documents
and the test checks, provided the excess quantity is not beyond 10% of the
quantity mentioned in the permit. In case the excess quantity is beyond 10%
permit holder shall be liable to pay back to the department the excess quantity
excavated/used as assessed by the Officer Incharge of the District concerned. (4) Guarantee amount
equal to double the amount of royalty shall also be paid by the short term
quarry permit holder in advance. CHAPTER VIII
STOCKING
AND TRADING OF MINERALS AND GRANT OF LICENCE THEREOF No
person other than a mineral concessionaire shall stock, sell or offer for sale
any mineral/mineral product in raw or processed form for commercial purpose or
trade without holding a license for the said purpose. (1) An application for
the grant, or renewal, of a license for storage and sale of minerals in any
form outside a mineral concession area shall be made to the Director through
the officer-in-charge of the District concerned in form MD1. (2) Every application
made under sub-rule(1)shall be accompanied by: (i) a demand draft or
treasury challan for Rs. 1000/- (Rupees one thousand) as application fee
remitted to the credit of the Department; (ii) location map showing
the exact location of the stock yard or otherwise, the survey number and other
details of the area proposed to be used as stockyard where the applicant
intends to store and conduct the sale of the minerals or its products; and (iii) proof of ownership or
lease agreement and possession of the property of land proposed to be used as
stockyard by the applicant. (3) The application duly
completed shall be submitted by the applicant in person. It shall be checked
and processed or returned for completion if found deficient along with the
deficiency report. The Officer Incharge of the District concerned may require
the applicant by notice to make good the deficiencies within thirty days from
the date of issue of such notice. (4) An acknowledgment or
the receipt of application for grant or renewal of license made under sub
rule(1) shall be issued in form MD2 on the same day where application is
delivered in person and its receipt shall be acknowledged within a period of
seven days where such application is received through registered post/any other
mode. (5) The application for
grant or renewal of a license shall be entered in a register in form MD3 by the
Officer Incharge of the District concerned. (6) Application for
renewal of license shall be submitted in the office of the Officer Incharge
concerned at least ninety days before the date on which the license granted
earlier is due to expire: Provided
that the licensing authority may condone the delay in submission of an
application for renewal of license for a maximum period up to 30 days if the
applicant is able to explain such delay to the satisfaction of the licensing
authority. (7) The Officer Incharge
concerned shall forward the application to the Director after verifying the
contents of the application and inspection of the site proposed for the
stockyard or otherwise along with his comments or recommendations for grant or
renewal of the license or refusal of the same within a period of fifteen days
of the receipt of application complete in all respects. (1) The application for
grant or renewal of a license shall be disposed by the licensing authority
within ninety days from the date of receipt of application complete in all
respects. (2) In granting or
refusing a license or its renewal under these rules the licensing authority,
shall take into consideration the following: (i) the location of the
area; (ii) the number of license
holders already operating in the vicinity of the area; (iii) availability of the
mineral to be stocked and sold; (iv) general demand or
market for the mineral; and (v) any other matter as
may be considered necessary from time to time (3) The Director may,
after making such enquires as he may deem necessary or appropriate issue Letter
of Intent (LoI) for grant or renew of such license or refuse to grant or renew
the same: Provided
that the licensing authority shall not refuse to grant or renew license for the
whole or part of the area applied for without giving an opportunity of
representation to the applicant. He shall record the reasons for such refusal
and communicate the same to the applicant. (4) Upon issue of the
Letter of Intent (LoI) for grant/renewal of a license the applicant shall have
to deposit the license fee as per Schedule-III of these rules within a period
of 30 days and on deposit of the prescribed fees, the licensing authority shall
issue or renew the said license in Form MD4. (5) Non submission of the
requisite details in the application or non compliance with the directions to
make good the deficiencies within the prescribed time would be enough reason
for the Licensing authority to treat the application as non- responsive and
reject the same. (6) The Licensing
authority may of its own discretion refuse to grant or renew a license to such
a person(s) who is/are convicted for any offence, under the Act or the rules
made thereunder. Licence
for storage and sale of minerals shall be valid for a period of two years: Provided
that such licence may be renewed for a further period of three years on an
application submitted by the licensee. The
fee for grant or renewal of a mineral dealer licence shall be Rs. 5,000/- for
two years and Rs. 10,000/- for five years. The
office of Director shall maintain a district-wise register containing the
details of all licenses granted or renewed in the state in Form MD5, Similarly
the officer incharge of the district concerned shall also maintain an identical
register containing the details of all licenses granted or renewed within the
district concerned in Form MD5. (1) Every licensee shall
display the particulars of the license granted to him at the place of his
business in the form and manner as may be directed by the licensing authority. (2) A licensee shall
maintain: (i) complete record
updated on a real time basis of' all purchases and sales affected by him of
each mineral containing the particulars of the source and quantity of mineral
purchased or procured and the persons to whom sold in Form MD6; (ii) a stock register in
Form MD7; and (iii) such other records,
if any, as the licensing authority or the officer authorized by him may specify. (3) The records referred
to in sub-rule (2) shall be open to inspection by the licensing authority or
the officer authorized by him in this behalf as and when required. (4) The mineral dealer
shall file a return in Form MD8 by the 10th day of the following month to the
officer in charge of the district concerned and the Director, giving details
and record of all the purchases and sale of the minerals and processed mineral
effected by him during the previous month. (5) Every dealer, who
possesses any mineral in any form as stock-in-trade or has sold any mineral,
shall, if so required, produce sufficient proof to the Director or to an
officer authorized by him in this behalf, to the effect that the mineral has
been purchased from a legal source or lease/licence holder. In case the dealer
fails to produce sufficient proof to the satisfaction of the Director or the
officer authorized by him, the Director or such authorized officer may take
action against the dealer under these rules. (6) The Director or the
officer authorized by him in this behalf' shall have right to enter upon any
premises, with or without any notice, where minerals are mined, stocked or
processed, to inspect, check and verify the stocks and records: Provided
that wherever an authorized officer carries out any such inspection he shall
make an entry of his visit or inspection in the register maintained by the
mineral concession holder or the licensee, as the case may be, and submit a
report to that effect to the Director within a period of 07 days. The Director
shall cause a copy of such inspection report to be sent to the concerned
concession holder or licensee, as the case may be. (7) Every licensee
granted a license under these rules shall extend full cooperation to the
Director or an officer authorized by him in this behalf' for checking of
accounts and verification of stock of minerals in raw or processed form, as the
case may be, and shall furnish full and correctly any or all information in his
possession, as may be required for the purpose of checking under the provisions
of the Act and the rules framed thereunder. (8) The licensee shall
have to make the transportation of mineral from the stock yard under a proper
challans. (1) A mineral dealer
shall be held to be committing a default or breech of the conditions of license
in the following events, namely: (i) Default (a) failure to display
the details of licence on a sign board; (b) failure to file the
monthly return of stocks; and (c) failure to maintain
the up-to-date registers (ii) Breach (a) accepting minerals in
raw or processed form from unauthorized and unexplained sources; (b) storing and stocking
minerals that do not tally with the entries in opening and closing balance of
stock register; (c) permitting the sale
of mineral, in raw or processed form without issuing a valid challan; (d) loading of mineral in
a carrier without a mineral transport permit; (e) operating the
stockyard without a valid license; and (f) repeatedly found
committing defaults. (2) Where a licensee is
found to be committing a default, he shall be liable to remedy or rectify such
default within a period of 15 days in the first instance. In case of a second
default, he shall be liable to rectify the default and shall also be liable to
a fine which may extend to Rs. 10,000/. A third time default or the
continuation of the first or second default inspite of opportunities given to
rectify-the same, would amount to a breach and dealt accordingly. (3) Where a licensee is
found to be in breach of the conditions of licence, the licensing authority may
take any or all the following actions: (i) suspension of the
license with stoppage of receipt or purchase or sale of any mineral in raw or
processed form in or from the stockyard. The dealer shall be holding the
inventory of stocks, duly accessed at the time of suspension of license till
such time the suspension order is revoked. The period of suspension, may
continue upto a period of three months or till such time the breach is
rectified, whichever is earlier; (ii) temporary seizure of
the stocks till such time the stocks are reconciled with the records and
established to have been accepted from legal sources; (iii) forfeiture of the
stocks and their disposal as per provisions of these rules and termination of
the dealer license; and (iv) cancellation of
licence with provision for a ban of 5 years to grant any fresh license to the
individual, firm or company. (4) An officer authorized
by the licensing authority shall be competent to take action in matters where
the licensee has committed default or breach. (5) Where the
officer-in-charge of the District concerned is of the view that license has
committed breach, he shall immediately report the matter to the Director along
with such supporting material as may be required. (6) The Director, either
on his own motion or on the report of a subordinate officer or on the complaint
of any person, shall be competent to take action in the breach cases, in cases
where the Director is satisfied that immediate interim action is required to
stop any eventuality of the continuity of any breach, he may pass such interim
orders as considered appropriate. A show cause notice would be issued to the
licensee in order to enable him to present his defense and an opportunity of
personal hearing granted, if so requested, before passing a final order. (7) Whenever any person
is found storing any mineral or its products in contravention of the provisions
of these rules, the authority under these rules may seize the mineral or its
products together with any carrier used in committing such offence and shall be
liable for punishment under these rules. (8) Any authority seizing
illegally extracted, transported or stored mineral or its products, tools,
equipments and carrier under these rules shall give a receipt of the same to
the person from whose possession such things are so seized and shall have the
authority to prefer complaints in courts having jurisdiction to try such
offence. (9) All properties seized
under these rules shall be liable to be confiscated by an order of the court
trying the offence, if the amount of fine and other sum imposed are not paid
within a period of one month from the date such order is issued. CHAPTER-IX
ESTABLISHMENT
OF MINERAL CHECK POSTS, STORAGE AND TRANSPORTATION OF MINERALS (1) If the Government
consider it necessary to do so, with a view to prevent illegal mining,
transportation and storage of minerals at any place or places within the State,
it may direct for setting up of check posts or erection of a barrier or both at
such place or places as it deem fit, by an order in writing. (2) The Director, or any
other officer authorized by the Government in this behalf may check any carrier
carrying the mineral at any place and the owner or the person in charge of the
vehicle shall furnish the prescribed form and other particulars as demanded by
the officer. (1) Every owner or person
in-charge of a vehicle shall carry with him a valid challan in triplicate with
date and time of dispatch containing necessary particulars in respect of the
mineral carried and shall produce the same before any in-charge of a check post
or barrier or other officer empowered in this behalf. (2) All vehicles
transporting mineral shall stop at the check post/barrier installed by the
department and shall present the authenticated challans in triplicate to
in-charge check post/barrier. (3) The in-charge of
every check post or the barrier shall after verification of challans put his
signatures with date and time and retain one copy of the challan and record the
details of the challan in the register maintained at the check post in Form B.
Duly authenticated challans in Form A shall only be retained at the 1st check
post falling on the route of transit. (4) If the in-charge of
the check post or any other officer mentioned in sub-rule (2) above has a
reason to believe that royalty has been evaded in respect of any mineral, such
officer/official may require the owner or person in-charge of the carrier to
pay an amount equal to 10 times the amount of royalty payable on the mineral in
accordance with Schedule-I. (5) Where on weighment or
by measurement it is found that the entire quantity of mineral is not covered
by the challans, the amount of royalty on such difference, shall be recovered
by the in-charge of the check post along with cost of the mineral on spot. (6) The in-charge of the
check post or the barrier or the officer empowered shall have the power to
seize and confiscate any mineral which is under transit by a carrier and
dispatch of which is not covered by a valid challan, if the owner or person
in-charge of the carrier refuses to make payment as required: (i) the in-charge of the
check post or the barrier or any officer empowered in this behalf shall give a
receipt of such mineral seized by him to the person from whose possession or
control it is seized; and (ii) the in-charge of the
check post or any officer empowered may direct the person in-charge of the
carrier to carry the mineral to the nearest police station or check post or
barrier of the department: Provided
that if the person in-charge of the carrier refuses to carry the carrier to the
nearest police station or check post/barrier of the Department, in-charge of
the police station or check post or the barrier may seize the carrier and take
the same in possession. (7) Whenever an order of
confiscation in respect of mineral seized is made by an officer empowered by
the Director in this behalf such officer/official shall give an option to the
owner or in-charge of the vehicle to pay an amount equal to 10 times of royalty
in view of such confiscation. In case of failure of the owner or person
in-charge of the carrier to exercise such option the confiscated material may
be disposed off by the confiscating officer/official or any other officer
authorized in this behalf by public auction or direct sale at the rate
prevalent in the market: Provided
that no such mineral confiscated shall be disposed off by the confiscating
officer/official or any other officer authorized in this behalf before 48 hours
of such confiscation and till that time option shall remain with the owner or
person in-charge of the carrier to carry the mineral after paying the cost of
the mineral. (1) No person shall
transport or cause to be transported any mineral, in whatever form, from one
place to another by any carrier under these rules without a proper challan in
Form A duly authenticated by concerned District Mineral Officer: Provided
that no mineral concession holder, as the case may be, shall transport or cause
to be transported any mineral from the river/nallah bed like sand, bajri and
boulder etc. to any other site without obtaining a specific NOC in this regard
from the concerned Executive Engineer Irrigation and/or Flood Control. (2) The mineral
concession holder either shall prepare in his name machine numbered
quadruplicate challan, at his expense as per Form A or shall apply for and
shall be issued the challan books containing such duly numbered challans by the
officer-in-charge of the district concerned. The challan book before being put
to use shall be got authenticated by the officer-in-charge of the District
Mineral Office, concerned. The mineral concession holder, as the case may be,
shall maintain a register of all receipts and dispatches along with the
challans issued by him and furnish such details in monthly production and
dispatch reports and shall maintain a complete account of challan books
utilized by him. (3) A mineral concession
holder shall give the proper challans issued to him to every purchaser of the
mineral for lawful dispatch and disposal of the mineral, in whatever form,
following a proper seriatim, from the concession area. (4) The officer-in-charge
of the district concerned shall not issue any further booklets to the mineral
concession holder as the case may be till such time the concession
holder/licensee submits a complete account of the booklets or challans issued
to him on the previous occasion and used by him, keeping a margin of not more
than such number of challans as may be required for a period not more than
seven days for the intervening period. (5) All relevant details
such as the source of dispatch, the registration number of the carrier, the
weight (in MT) or quantity of mineral dispatched from the source, the name of
the transporter and the destination of consignment shall necessarily be filled-
up in a legible manner in the proper challan, which shall be liable to be
presented at every mineral check post coming on the way of transit or on demand
by an authorized officer. (6) Subject to the
availability of infrastructure in the district offices, all above information
shall be computerized and put up on the web-site on weekly basis failing which
disciplinary action shall be initiated against the in-charge officer. Wherever
a carrier/machine is found to be transporting/excavating any mineral in
whatever form, without a proper challan as required under these rules, such
carrier/machine shall be liable to be dealt as under: (i) Where a carrier is
found to be indulging in violation of the rules for the first time, the said
mineral would be liable to be seized along with the carrier, which may be
released only upon realization of the payment of price of the mineral and the
applicable royalty for the mineral being transported and a fine not less than
Rs. 10,000/-; (ii) Wherever a carrier is
found to be indulging in such violation for the second time, the said mineral along
with carrier shall be seized and released after three days upon realization of
price of mineral and the applicable royalty and a fine which shall not be less
than Rs. 20,000/-; (iii) Wherever a carrier is
found to be indulging in such violation for the third time or more, the
in-charge officer shall proceed as per the section 21 of the Act. CHAPTER-X MINES
AND MINERALS DEVELOPMENT RESTORATION AND REHABILITATION FUND A
Fund known as the Mines and Minerals Development, Restoration and
Rehabilitation Fund (MMDRRF) shall be established under public account in the
State under the administrative control of the Department to which
rehabilitation charges payable under Section 15 A of the Act shall be credited
in order to meet the following objectives: (i) funding of the
restoration or rehabilitation works in the sites affected by mining operations; (ii) provision of common
facilities for the benefit of community in and around areas where mining
activities are undertaken; (iii) development of
infrastructure facilities for orderly growth of the mining operations and
allied activities; (iv) funding of the
studies commissioned or activities related to the mining sector e.g. survey,
exploration and prospecting of minerals, procurement of equipment and machinery
required to support such activities; (v) education, awareness
and training of the mineral concession holders and the staff of the Department
through field visits/excursions and exposure to the best mining practices; (vi) funding of
expenditure incurred on implementation of any scheme of incentives that the
Government may frame for recognition and awards for scientific mining
undertaken with highest regard to mineral conservation, rehabilitation measures
along with environmental safeguards and other measures; (vii) any other objectives
which the Government may consider expedient to support in the overall interest
of the mining sector. (1) An amount equal to
ten percent of the dead rent or royalty paid to the State shall be charged from
the mineral concession holder in the nature of other charges for restoration
and rehabilitation works and credited to the fund in addition to the amount payable
to the Government on account of such dead rent or royalty, as the case may be. (2) The said contribution
shall be remitted by the mineral concession holder in installments along with
the installments of dead rent or royalty as the case may be in addition to the
dead rent/royalty, such amount shall be reconciled at the closure of financial
year and any differential amount due shall be adjusted or paid on
reconciliation: (3) The Government shall
also set apart and contribute five percent of the amount received by it on
account of the dead rent or royalty as the case may be in a financial year to
the fund in the manner decided in consultation with the Finance Department of
the State. (4) The Department shall
maintain complete account of receipts to the fund and the expenditure made
therefrom and shall invest the progressive accumulated corpus in a manner so as
to earn secure returns therefrom. Proper
mechanism shall be worked out to meet the expenditure out of proposed Mines and
Minerals Development Restoration and Rehabilitation Fund with a very clear and
visible participation of the local residents. A separate detailed process shall
be devised in this regard with the concurrence of the Finance Department.
However, the expenditure will be made on the basis of Pardhan Mantri Khanij
Kshetra Kalyan Yogna (PMKKKY) issued by Ministry of Coal, Government of India
to be implemented by District Mineral Foundations. (1) The amount available
in the fund shall be utilized strictly for fulfillment of the objectives for
which the fund is set up and on the terms and conditions as may be stipulated
by the committee constituted for the said purpose under these rules. (2) The expenditure on
restoration and rehabilitation of the mining sites shall remain the first
charge on the fund. (3) Every mineral
concession holder before undertaking the restoration and rehabilitation works
as a part of his progressive mine closure plan shall get his estimates of
expenditure on such works duly approved from the Director or an officer
authorized by the Government in this regard and submit the utilization
certificate duly certified by a registered chartered accountant. This work
shall be executed under the supervision of the Forest Department. The mineral
concession holder shall be entitled to get the expended amount reimbursed being
limited to the amount contributed by him and any expenditure incurred over and
above this limit shall have to be borne by the mineral concession holder of his
own. Explanation:
Notwithstanding the expenditure incurred by a mineral concession holder on the
measures taken for the progressive mine closure plan the occasion for
undertaking the complete restoration and rehabilitation works in respect of any
mining area arises only when a mine reaches the closure stage or so declared by
the Department. It is likely that the mining operations would have been
undertaken by multiple concession holders before reaching the stage of closure
of a mine, making it imperative that the comprehensive measures for restoration
and rehabilitation of a mining site are taken up only upon closure of such
mine. The responsibility for execution of such plan shall rest with the mineral
concession holder operating such area at the time of its closure. Since the
contribution to the fund is also made by concession holders who have operated
the area during the intervening period, the financial burden of restoration and
rehabilitation measures shall not be borne by the last concession holder alone. (4) A mineral concession
holder operating the mine at the time of its final mine closure plan shall
prepare and submit the estimates for implementation of the final restoration
and rehabilitation plan prepared by RQP to the Director for approval of the
estimates. The Director would obtain necessary domain assistance from the
Forest, I&FC Departments before approval. (5) The Director shall
approve such estimates with or without any modifications as suggested by the
Forest Department and reimburse the expenditure actually incurred on the site
by the in phased manner out of the fund. The amount so reimbursed shall not
exceed the total amount received from the mineral concession holders in respect
of that site less the expenditure already incurred earlier. (6) The Director may
require the mineral concession holder to engage an independent agency for
implementation of the restoration and rehabilitation works and evolve a system
of monitoring the deliverables through an independent agency. (1) Any or all proposals
for expenditure from the fund shall be approved by a committee of officers
constituted by the Government. (2) The mode and method
of collection, remittance, and utilization of other charges shall be notified
separately by the Government. CHAPTER XI ASSESSMENT
OF ROYALTY (1) Assessment and
determination of royalty due from an assessee for an assessment year or as
required shall be made by such assessing authority as may be designated by the
Government from time to time after the returns in respect of that year have
been filed by the assessee as required under terms and conditions of the deed
or the statement of production, dispatches or consumption submitted by the
person concerned or upon checking the stock and other records of the assessee: Provided,
that the assessing authority may make provisional assessment for a particular
period during the assessment year after the receipt of statistical returns in
respect of that period. (2) For the purpose of
assessment of royalty as mentioned in sub-rule (1), the assessing authority may
fix a date and place at which the assessee shall produce such records as may be
required by it (assessing authority) in respect of production, removal,
consumption and stocks, bills of sales, labour attendance, payments and any
other account books connected with these matters. (3) For the purpose of
sub-rule (2), the assessing authority may serve a Fifteen days notice upon the
assessee requiring him to appear in person or by an agent duly authorized in
writing on a date and at place specified in the notice and to produce or cause
to be produced any evidence on which the assessee relies in support of the
correctness of the returns or statements and records furnished by him or
produce or cause to be produced such accounts or documents pertaining to the
assessment year and the last five years preceding the assessment year as the
assessing authority may require. (4) On the day specified
in the notice given under sub-rule (3) or on any other day thereafter which the
assessing authority may fix, the assessing authority, after hearing and
considering the evidence as may be produced by the assessee in this behalf and
such other evidence and documents as the assessing authority may require, shall
make an order in writing of assessment of royalty payable by the assessee. If
the assessee fails to furnish the details under these rules within the period
prescribed and the assessing authority has reasons to believe that the assessee
has evaded or avoided any royalty, the assessing authority may after giving
assessee a reasonable opportunity of being heard not beyond thirty days notice
and after making such inquiry, as considered necessary, assess the royalty for
the period to the best of its judgment. The amount so assessed shall be payable
by the assessee forthwith and in case of default in payment, the amount so
assessed shall be recovered as arrears of land revenue under the Jammu and
Kashmir Land Revenue Act and rules made thereunder: Provided,
that no such royalty assessment shall be made on best judgment basis without
obtaining prior approval of the next higher authority. (1) If for any reason,
the whole or any part of dispatches of mineral from the mineral concession area
or consumption of mineral within the area, escaped royalty or was assessed at a
low rate in any year, the assessing authority may serve a notice upon the assessee
in Form C and may proceed to assess or re-assess the correct amount of royalty: Provided
that nothing in this sub-rule shall be deemed to prevent the assessing
authority from making an assessment to the best of its judgment. (2) No notice under
sub-rule (1) shall be issued in respect of dispatch and consumption of mineral
for any year after expiry of five years from the date of relevant assessment: Provided
that this rule shall not apply for any assessment or reassessment made in
consequence of or to give effect to any finding or direction contained in an
order in appeal or revision or in an order of any competent court. CHAPTER XI ILLEGAL OR
UNAUTHORIZED MINING Any
person undertaking any mining operations without a valid mineral concession
granted under the Act and the rules framed thereunder in any area shall be
deemed to be indulging in illegal or un-authorized mining and shall be dealt in
accordance with the provisions contained in this Chapter. (1) Any act of illegal or
un-authorized mining shall be liable to the following: (i) for a first time
violation, the said mineral shall be liable to be seized along with the
impounding of all such tools, equipments, vehicles or any other things used for
such un-authorized operation, which may be released only after recovery of
price of mineral along with its royalty and a fine not less than Rupees ten
thousand. (ii) for a second time
violation, the said mineral shall be liable to be seized along with the
impounding of all such tools, equipments, vehicles or any other things used for
such unauthorized operation for a minimum period of seven days which may be
released only after recovery of price of mineral along with its royalty and a
fine not less than Rupees twenty thousand; (iii) Wherever a person is
found to be indulging in such offence for the third time or more, the officer
concerned shall lodge an FIR and handover all such tools, equipments, vehicles
or any other things used for such un-authorized operation to the police. Any
such offence shall entail (a) confiscation of all
such tools, equipments, vehicles or any other things used for such
un-authorized operation for a minimum period of thirty days or more; and (b) pecuniary penalty and
punishment for the offence as provided under section 21, section 23A &
section 23B of the Act. (1) If the person
committing an offence under these rules is a Company registered under the
companies Act, every person, who at the time when the offence was committed was
in-charge and was responsible to the company for the conduct of the business of
the company, shall be deemed to be guilty of the offence and shall be liable to
be proceeded against and punished accordingly: Provided
that nothing contained in this sub-rule shall render any such person liable to
any punishment if he proves that the offence was committed without his
knowledge or that he exercised due diligence to prevent the commission of such
offence. (2) Where an offence
under these rules has been committed with the consent or connivance of any
Director, Manager, Secretary or other authorized representative of the company,
such Director, Manager, Secretary or other authorized representative shall be
deemed to be guilty of that offence and shall be liable to be proceeded against
and punished accordingly. No
court shall take cognizance of any offence punishable under these rules except
upon a complaint in writing made by the Director or any other officer
authorized by the Government in this behalf not below the rank of Assistant
Mineral Officer within three months of the date on which said offence is
alleged to have been committed. CHAPTER XIII DELEGATION
OF POWERS, APPEAL AND REVISION (1) The Government may,
by notification in the Government Gazette direct that any or all the powers
exercisable by it under these rules may in relation to such matters and subject
to such conditions, if any, as may be specified in the notification be
exercisable also by such officer or authority subordinate to the Government. (2) Notwithstanding
anything contained contrary in these rules, the following powers are delegated
to the officers mentioned herein below: (i) Officer in-charge
District Mineral Officer shall exercise powers within his jurisdiction under
sub-sections (4) and (5) of section 21 of the Act; and (ii) Assistant Mining
Engineer/Mineral Officer/Geologist Grade-11&1/Mining Engineer/Dy.
Director/Joint Director shall exercise powers within the areas of their
jurisdiction under sections 22, 23A and 23B of the Act in addition to powers
under sub-section (4) and (5) of section 21 of the Act. (1) Any person aggrieved
by an order passed by any officer in-charge sub-ordinate to Director shall have
the right of appeal to the Director. (2) Any person aggrieved
by an order passed in appeal under sub-rule (1) or any other order passed by
the Director under these rules shall have the right of appeal to the
Government. (3) The order passed by
the Government in appeal shall be final. (1) An appeal under rule
85 shall be presented in the form of memorandum of appeal in duplicate numbered
in paragraphs stating concisely and precisely the grounds of appeal and relief
demanded. (2) The memorandum of
appeal shall be accompanied with a fee Rs. 2,000/- deposited in the Government
treasury under the relevant account head. An
appeal under rule 85 shall be filed within three months of the date of
communication of the order appealed against: Provided
that nothing shall prevent the appellate authority to entertain appeal after a
period of three months except if such authority is satisfied that the appellant
was prevented by a sufficient cause for filing the appeal within the stipulated
period. (1) Upon receipt of
memorandum of appeal satisfying requirement of rules 85 and 86, the appellate
authority shall fix a date for hearing, and if it finds fit, may call for the
relevant records and other information from the officer whose order is the
subject of appeal. (2) The appellate
authority may confirm/modify or set aside the order under appeal, after giving
the appellant an opportunity of being heard and considering any comments that
might be offered by the Officer whose order is under appeal. (1) The Government in
respect of any order, whether in appeal or otherwise passed under these rules
by the Director, may on an application by an aggrieved party made within three
months of communication of such order in this behalf or of its own motion call for
and examine the connected records for the purpose of satisfying itself as to
the correctness, legality or propriety of the order and may confirm, modify or
rescind such order: Provided
that an application for revision may be admitted by the Government after the
said period of three months, but not beyond six months, if the Government is
satisfied that the applicant had sufficient cause for not filing the revision
application in time. (2) Every application for
revision shall be made in Form-D in duplicate and shall be accompanied by a fee
of Rs. 2,000/- deposited in the Government treasury under the relevant account
head. CHAPTER XIV MISCELLANEOUS No
mineral concession shall be granted otherwise than in accordance with the
provisions of these rules and if granted shall be deemed to be null and void. Where
the Department proposes to undertake exploration/exploitation of any mineral,
Director shall reserve the area for prospecting or mining operations by
issuance of a notice, in at least three daily newspapers having maximum
circulation in the State. The notice shall give details of area and the period
for which such operations are proposed to be undertaken: Provided
that where an area is required for exploitation of minor minerals by centre or
state government agencies for developmental projects of national importance
such as authorities of National Highways on requisition being received from
such agencies the Director may reserve an area for such purpose which shall not
exceed five hectares. (1) Where an applicant
for grant or renewal of any mineral concession dies before the order of
grant/renewal as the case may be is passed, the application for the grant or
renewal of mineral concession shall be deemed to have been made by his legal
heir/representative. (2) In the case of an
applicant in respect of whom an order granting or renewing a mineral concession
is passed, but dies before execution of the deed, the order shall be deemed to
have been passed in the name of the legal heir/representative of the deceased. All
registers maintained by the Department under these Rules shall be open for
inspection by any person who holds or intends to acquire a mineral concession
on payment of a fee of Rs. 100/- for each inspection. (1) System of working in
minor minerals shall be performed as per the Mines Act, 1952 (35 of 1952) and
Metalliferous Mines Regulations, 1961. (2) In case of river bed
mining: (i) specific river
stretches shall be identified and mineral concessions shall be granted stretch
wise, so that the requisite safeguard measures are duly implemented and are
effectively monitored by the respective Regulatory Authorities; (ii) the depth of mining
shall be restricted to three mts. or water level, whichever is lesser. (iii) for carrying out
Mining in proximity to any bridge and/or embankment, appropriate safety zone
shall be worked out on case to case basis, taking into account the structural
parameters, locational aspects, flow rate etc and no mining shall be carried in
the safety zone so worked out. Simple
interest at the rate of 15% shall be charged on all dues in respect of dead
rent, royalty, and royalty collection after one month from the date it becomes
due. Notwithstanding
anything contained in these rules, Director or an officer authorized by the
Government may recover any dues in respect of dead rent, royalty, fee, royalty
collection contract amount, cost of mineral, penalties and any other dues
payable under these rules together with interest in the same manner as if it
were an arrears of land revenue under the law in force relating to such
recovery. (1) The assessing
authority, for the observance of these rules and for reasons to be recorded,
may summon any of the parties using and/or dealing with the mineral in the
State and may demand necessary information and sources from where the mineral
has been procured and the assessing authority may also depute any official by
an order in writing to collect such information and thereafter assess the
royalty or the cost of mineral recoverable as the case may be. (2) Any person who is
engaged in trading of minerals shall maintain a correct account of mineral
purchased stocked and sold by him and these records shall be produced for
inspection if required by assessing authority or a person authorized by
assessing authority in this behalf: Provided
that if such trader fails to produce record for mineral purchased by him, the
assessing authority may enter into any place where the mineral is stored and,
measure or count it and assess cost of mineral which shall be recovered from
the trader. (1) Every notice under
these rules required to be given to the mineral concessionary shall be given in
writing in person or by registered post addressed to him at the address
recorded in his application or such other address as the concessionary may from
time to time intimate in writing to the concerned authorities having
jurisdiction. (2) The service of such
notices on any adult male member of the family, his agent or any other person
purporting to be his agent or any other person maintaining his books of account
or issuing challans or filing monthly statistical returns shall be deemed to be
proper and valid service upon the concessionary and shall not be questioned or
challenged by him. An endorsement by postal employee that the concessionary or
any of the aforesaid persons refused to take the delivery or non-availability
of the person at the last known address may be deemed to be prima facie proof
of service. The
Government may, by notification in the Government Gazette, amend Schedules
appended to these rules so as to revise the rates of royalty/dead rent/fee
payable under these rules with effect from such date as may be specified: Provided
that enhancement of rate of royalty, dead rent in respect of any minor mineral
and fee payable under these rules shall not be enhanced more than once in three
years. The
authority empowered to take action under these rules may, if necessary, request
in writing for the help of the local police and the police authorities shall
render such assistance, as may be necessary to enable the officer to exercise
the power/powers conferred on him under these rules to stop un-authorized
mining and transportation of minerals. (1) Subject to such
conditions as may be specified the Director may authorize any officer of the
Department not below the rank of District Mineral Officer to investigate all or
any of the offences punishable under these rules. (2) Every Officer so
authorized shall in the conduct of such investigations, exercise the judicial
powers conferred by the Code of Criminal procedure upon an officer In-charge of
a Police station for the investigation of a cognizable offence. (1) The assessing
authority or investigating officer and the appellate authority shall for the
purpose of these rules have the same powers as are vested in a court under the
Code of Civil Procedure when trying a suit in respect of the following matters,
namely: (i) enforcing the
attendance of any person and examining him on oath or affirmation; (ii) compelling production
of documents; (iii) issuing commission
for examination of witnesses. (1) An assessing
authority or any other officer authorized by Director in this behalf may for
the purpose of these rules, require any concessionary to produce before him the
accounts, registers and other documents and to furnish any other information
relating to mining operations or business. (2) All accounts,
registers and other documents pertaining to the business of a concessionary,
the minerals in his possession or in the possession of his agent or broker for
the time being on his behalf and their office, godown, factory, vehicle or any
other place where the business is done or accounts are kept shall be open for
inspection and examination of any such authority or person at all reasonable
time. (3) If any such authority
or person has reason to suspect that any concessionary is attempting to evade
payment of royalty or other dues payable under these rules, he may, for the
reasons to be recorded in writing, seize such accounts, registers or other
documents of the concessionary as he may consider necessary and shall give its
receipt. The accounts, registers and documents so seized shall be retained by
such officer only for their examination or for any inquiry or proceedings under
these rules or for prosecution: Provided
that the accounts, registers and documents so seized shall not be retained by
such officer beyond a period of three months from the date of seizure without
the written order of the Director for reasons to be recorded in writing: Provided
further that before returning the accounts, registers and documents such
officer may require that the concessionary shall give a written undertaking
that the accounts, registers and documents, shall be presented whenever
required by any competent authority for proceedings under these rules. (4) For the purpose of sub-rule
(2) and (3) any such authority or person shall have powers to enter and search
at all reasonable times any office, godown, factory or vehicle or any other
place of business or any building or place where such authority or person has
reason to believe that the concessionary keeps or for the time being is keeping
any minerals, accounts, registers or other documents pertaining to his business
or mining operations and also to search the body of any other person found in
such office, godown, factory, vehicle, building or place about whom any such
authority or person has reason to suspect that he may have in his personal
possession any such books of accounts, registers or documents. (5) Such authority or
person may, when it is not practicable to seize any books or accounts,
registers, documents or mineral, serve upon the concessionary or the person who
is in immediate possession or control thereof, an order that he shall not
remove, part with or otherwise deal with them except with the previous
permission of such authority or person who may take such steps in accordance
with rules, as may be necessary for ensuring compliance of this sub-rule. (6) The power conferred
by sub-rules (4) and (5) shall include the power to break open any box or
receptacle in which any accounts, registers or documents of concessionary may
be contained or to break open the door of any premises where any such mineral,
accounts, registers or documents may be kept or to place marks of
identification on his books of accounts, registers or documents or to make or
cause to be made extracts or copies thereof: Provided
that the power to break open, the door shall be exercised only after the
concessionary or any other person in occupation of the premises is present
therein and fails or refuses to open the door on being called upon to do so. (7) Any such authority or
person shall have power to seize any mineral, the removal or sale of which is
liable to payment of royalty or cost and which are found in possession of a
concessionary or in the possession of his agent or broker or of any other
person for the time being on his behalf or in any office godown, factory,
vehicle or any other place of business or building of the concessionary or of
the agent, the broker or of any other person holding the said mineral on his
behalf but not accounted for by the concessionary in his accounts, registers
and other documents maintained in the course of his business or any mining
operations: Provided
that list of minerals/documents seized under this sub-rule shall be prepared by
such authority or person and signed by two respectable witnesses. (8) An officer/authority
as mentioned at sub-rule (1) above may after giving the concessionary an
opportunity of being heard and holding such further inquiry, as he may consider
fit, realize from him, for the possession or mineral not accounted for, the
cost of mineral as ten times of royalty. (9) Such Officer or
authority may release the mineral or documents seized under these rules on
payment of cost of mineral or on furnishing such security for payment thereof
as he may consider necessary. (10) Any such authority or
person may require any person: (i) who transports or
holds in custody for delivery to or on behalf of any concessionary, any mineral
to give any information likely to be in the possession in respect of such
mineral or to permit inspection thereof as the case may be; and (ii) who maintains or has
in his possession any accounts, books or documents relating to the
business/mining operations, to produce such accounts, books or documents for
inspection. (11) The provisions of
Code of Criminal procedure relating to searches shall apply, so far as may be,
to the searches made under these rules. A
licence or lease granted prior to commencement of these rules and subsisting on
the date of commencement of these rules shall remain valid till the expiry of
the remaining period of such licence or lease and shall terminate after such
expiry. The
applications for grant of minor mineral concession which are pending on the
date of commencement of these rules shall be dealt with as under: (a) where the applicant
has submitted an approved mining plan to the competent authority prior to the
commencement of these rules, he shall be eligible for grant of lease or licence
on production of Environment Clearance Certificate; and (b) where the applicant
has not submitted an approved mining plan to the competent authority prior to
commencement of these rules, his application shall be deemed to have been
rejected. In
every District of the State affected by mining related operations and at State
level, the Government shall by notification establish a trust as a non- profit
body to be called the District Mineral Foundation under the State Mineral
Foundation. The composition, functioning, contribution of the concession
holders and the manner in which the foundation work, shall be notified
separately by the Government. Notwithstanding
anything contained in these rules, no rent, royalty or fee shall be charged for
minor minerals extracted during: (i) excavation of Canals
and foundation of any other works of the State Irrigation Department and Public
Works Departments: Provided
that the Engineering Departments shall have to obtain requisite minor mineral
concession under these rules before its transportation and consumption for the
works/sites; (ii) execution of such
Development Project of State/National importance as may be notified by
Government provided that requisite minor mineral concession has been obtained
by agency executing such project. However, for the extraction and consumption
of minor minerals requisite concession has to be obtained as per these rules; (iii) extraction of minor
mineral by an agriculturist from his/her private land bona fide purpose of
agriculture; and (iv) search for and
obtaining the samples of minerals on the surface by chipping of outcrops
without involving any disturbance of the soil by way of pit, trench or
otherwise. (1) The Jammu and Kashmir
Minor Mineral Concession, Storage, Transportation of Minerals and Prevention of
Illegal Mining Rules, 2016 and Jammu and Kashmir Prevention of Illegal Mining,
Transportation and Storage of Minerals Rules, 2003 are hereby repealed. (2) Anything done or any
action taken under the provisions of the repealed rules shall be deemed to have
been done or taken under the provisions of these rules.JAMMU
AND KASHMIR MINOR MINERAL CONCESSION, STORAGE, TRANSPORTATION OF MINERALS AND
PREVENTION OF ILLEGAL MINING RULES, 2016
PREAMBLE