Press Release

Government aims to auction more mineral blocks in this current fiscal says Sanjay Lohiya, Additional Secretary, Ministry of Mines

In view of strengthening Atmanirbhar Bharat, the government intends to auction 500 mineral blocks by the end of 2024, Shri Sanjay Lohiya, IAS, Additional Secretary, Ministry of Mines at an ASSOCHAM Event on “Indian Mineral Reforms”

New Delhi, 28th July, 2022: The government is focusing on improving the coal and mining sectors as they are major contributors to making India the fastest growing economy. These reforms have resulted in notable improvement in domestic coal production, leading to considerable reduction in imports says, Shri Sanjay Lohiya, IAS, Additional Secretary, Ministry of Mines at an ASSOCHAM Event.

In view of strengthening Atmanirbhar Bharat, the government intends to auction 500 mineral blocks by the end of 2024, Shri Sanjay Lohiya, IAS, Additional Secretary, Ministry of Mines at an ASSOCHAM Event on “Indian Mineral Reforms” here at New Delhi today.

"Only half of the premium i.e. 50% will be used for coal gasification," said the Additional Secretary. He stated that the mining reform bill will allow private companies to mine lithium and will also allow firms to sell half of captive mine output without end-use restrictions. Policy reforms aimed at increasing transparency and removing roadblocks in the coal sector have taken environmental protection into account.

In his welcome address, Shri V R Sharma, Co-chairman, ASSOCHAM National Council on Mines & Minerals & Managing Director, Jindal Steel & Power Ltd., emphasised the significance of Atmanirbharta because India has the world's largest resource reserves. In India, 350 trillion tonnes of coal are available, of which 70 billion tonnes will go unused, with the emphasis on reducing coal consumption in the country. He stated that other alternative energy, such as wind energy and green energy, should be used to help the country become self-sufficient and carbon neutral.

When imports are reduced, the country's continued reliance will be significantly reduced. India is the world's largest carbon-capture-and-storage country, and there should be downstream industry to use co2 as a way to meet the challenge. He praised the Prime Minister's long-term vision for meeting increased demand for energy, coal, gas, copper, and how to make India Atmanirbhar. The ideal solution is to abandon coal in favor of non-conventional energies. "There is a need to convert coal in the most environmentally friendly manner, i.e. gas, to divide the usage of coal differently, with a focus on coal gasification to meet the PM's vision," he said. The country has a 37% electricity shortage, which must be addressed. There will come a time when gas thermal power plants will be used.

Shri Praveen Sharma, Senior Vice President and Chief- Centre of Excellence (Mines), Hindustan Zinc, shared his thoughts on iron ore utilisation. He predicted that "by 2030, there will be strong metal and mine demand." Adapting technology and skill enhancement and development with appropriate equipment to achieve the vision of Azadi ka Amrit Mahotsav. Strategic minerals will pave the way for the mineral industry, and necessary reforms should be supported. The entire country identified various types of coals and minerals, and policy advocacy is needed to ensure early identification and quality control. 

Dignitaries released the conference backgrounder in presence of guest of honour at the Conference on Indian Mineral Reforms ''Step Towards Atmanirbhar Mining''. The report is jointly prepared by ASSOCHAM-CareEdge Research.

Shri Gajendra P Singh, Senior Vice President and Group Head of Corporate Affairs at JSW, India and ASSOCHAM National Council on Mines and Minerals specified on Atmanirbhar mining and so many reforms have been made from past 5-6 years for which Ministry efforts should be praised.  He proposed to reduce imports and make our own coal. Coal is supplied to the power sector and the usage of 40 mn tonne is being passed, he noted. ''The rehabilitation work can be achieved by the private sector, but policy intervention is required in the mines and minerals industry''

'A proper balance between the private and public sectors should exist, and two aspects of ASP- captive consumption and merchant mining- should be monitored in the market scenario,' he added. The intention of government policies is perpetual and must be recognised. He believes that the guidelines for domestic raw materials should become more flexible.

During his vote of thanks, he asked the audience to support the Har Ghar Tiranga Initiative by the Government of India in honour of India's 75th Independence Day.