Goa dump mining policy tweaked, makes jobs for locals mandatory

Panaji: The state cabinet on Monday amended the e-auction policy for dump handling to make it mandatory for mining companies to provide employment to locals. The revised policy empowered the directorate of mines and geology (DMG) to re-auction dumps and blacklist the successful bidder if they fail to start the dump handling within 180 days.

TOI reported that state govt would amend the policy to tweak the procedure for the auction of low-grade iron ore dumps.

Bidders who wish to participate in the e-auction are to submit, along with other technical documents, a dump handling plan/detailed project report (DPR) with an estimation of the waste and handling plan thereof, cost of handling the waste, drainage pattern of the dumps, and reclamation plan.

“DMG reserves the right to direct the successful bidder to pay upfront payment if they fail to start the dump handling within 180 days, re-auction the dumps, and blacklist the successful bidder,” the policy stated.
The state cabinet granted approval to cancel the entire e-auction of dumps and initiate a fresh process for the e-auction of dumps.

The Supreme Court allowed state govt to carry out dump mining activity in accordance with the expert committee report, specifically paragraph 6 of the said report, which contains the recommendations of the expert committee.

State govt notified the policy for regulating iron ore dump handling in Goa on Sep 14, 2023. The policy specifies that dumps will be auctioned in accordance with the e-auction policy designed by state govt.

Accordingly, DMG framed the e-auction policy for dumps, specifying how the e-auction of the dumps is to be conducted. The policy was approved by the cabinet on March 15, 2024.

In the e-auction policy, certain important amendments were required related to the provision for bank guarantees, modalities for upfront payment, modalities of payment of pre-bid EMD, and net worth criteria for bidders. In accordance with the said e-auction policy, a model tender document was also required to be prepared.

The revised e-auction policy and model tender document were approved in 2024, and subsequently, a corrigendum for the e-auction policy was issued, introducing provisions for the submission of a proper plan for handling dump and waste material disposal plan and a bank guarantee equivalent to the estimated cost of handling the waste.