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Functions of the Department

Regulatory & Promotional

  • Receipt and processing of Applications for the grant of leases under Mineral Concession Rules.
  • Inspection of Applied areas to advice the Govt. for grant of Leases.
  • To monitor scientific exploitation of mineral wealth of the state.
  • To control illicit mining, quarrying and transportation of minerals.
  • Scanning and identification of Mineral Resources
  • Mineral Investigations, Exploration, Quantification and Analysis of Minerals
  • Guidance and Dissemination of Mineral Information
  • Promotion of Mineral Based Industries.

    Mineral Revenue and assessments

  • To monitor production and dispatches of various minerals.
  • To monitor collection of royalty and seigniorage fee based on grades/quantity.
  • Imposition of penalties on illicit mining, transportation and storage.

    Mineral Rights

    Under the federal constitution of the India, Mineral Rights are being vested with the state and state is wholly responsible for judicial exploration, exploitation, development, conservation, environment, safety and promotion of Mineral based Industries.

    Mineral Acts and Rules

    Mineral Regulations are being governed by the Mines and Minerals (Development and Regulation) Central Act 1957. Mineral Concession Rules 1960. Mineral Conservative & Development Rules 1988. Mines Act, Coal Act, Oil and Natural Gas Rules, Safety Rules, Forest Conservation Act 1980, Environment Protection Act 1986, Andhra Pradesh Minor Mineral Concession Rules 1966, Granite conservation and development rules 1999, Mineral dealer rules 2000 and the rules framed thereunder.

    National Mineral Policy

    In line with liberalisation and globalisation of India's economy, a new mineral policy was formulated in 1993. This policy marks a watershed in the history of development in the mineral sector in India. This policy recognises the need for encouraging private investment both domestic and foreign and the induction of state-of-the-art technology in the Mines and Mineral sector. Under this policy, all the 13 minerals (Iron Ore, Manganese Ore, Chrome ore, Sulphur, Diamond, Gold, Zinc, Copper, Lead, Molybdenum, Nickel, Platinum group, Tungsten ore) which were earlier reserved for public sector were open for exploration and exploitation by the private sector. Thus, the entire mining sector except for atomic minerals is now open for private investment including foreign investment.

    Liberalized National Mineral Policy 1993 was brought out to integrate the Indian Mineral Industry with the Global Mineral Industry and aims to encourage Inflow of Private investment both domestic and foreign Technology transfer/ Upgradation to improve productivity and Scientific working

    Policy on Foreign Direct Investment

    The mining sector was opened to foreign direct investment(FDI) in 1993, initially all proposals were considered on a case to case basis by Foreign Investment Promotion Board (FIPB), later FDI policy in the mining sector was further liberalized, which opened up an "Automatic approval" route for investments involving foreign equity participation upto 100 percent except for Diamonds and precious stones.

    State Mineral Policy

    State Mineral Policy aims at optimum exploitation, scientific development, value addition, marketing and exports under private and joint sectors. Mineral Sector, Cement & Jewellery Sectors are identified as Thrust areas in the New Industrial Policy; brought out simplified entrepreneur friendly structural changes in the State Mineral Policy, decentralized, deregulated & introduced Prefixed Time frame in the processing of Mineral Concessions at each level for faster implementation of projects. The Govt. has thrown the Mineral sector open for private investment and likes to withdraw from areas in which their presence is no longer required and disinvest from these public sectors. State Investment Promotion Board Created to facilitate the entrepreneurs to get single window clearance for all the mineral Projects under the Chairmanship of Chief Minister. Any Mineral Project filled under are circulate simultaneously to all the departments and decision is made within 4 weeks.

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