Will earn 52% revenue from ore dump sales outside lease areas: Govt

Panaji: Govt informed the Bombay high court that 52% revenue will come to the state from the sale of low-grade iron ore dumps outside lease areas lying in private property.

Govt fixed a premium of 22% on the Indian Bureau of Mines (IBM) price for erstwhile leaseholders who are permitted to handle dumps outside the lease areas. For instance, if the IBM price is Rs 100 per tonne for low-grade iron ore and mining companies purchase the ore at auction at the 22% reserve price, they must pay Rs 22 per tonne to govt.


During the hearing on the dump handling policy in the HC, advocate general Devidas Pangam said state govt allotted dumps on private properties to mining companies based on the Goa Mineral Policy, 2013. Pangam said that, as per the policy, mining companies must pay conversion fees and fines to handle the dumps. He said that even the expert committee of the Supreme Court had accepted the state govt dump handling policy and recommended its implementation.

“Besides the 22% premium price of low-grade iron ore, state govt will get 15% royalty, a fund for the department of mines and geology (DMG), and an iron ore permanent fund, which would be a total of 52%,” Pangam said.

According to the policy, dump-handling outside the leasehold area shall be allowed only in cases where the land was converted to non-agricultural use.