CPI urges CM to renew captive mining leases of RINL

Vijayawada: Seeking renewal/extension of captive mining leases of Rashtriya Ispat Nigam Limited (RINL) and other mines in the state, CPI state secretary K Ramakrishna wrote a letter to Chief Minister YS Jagan Mohan Reddy on Thursday.

He said that the RINL is facing severe financial hardship by purchasing major raw materials like coal and iron ore from outside at high prices and added that due to the delay in awarding extension/ renewal of mining lease periods, the mining operations were stopped in captive mines.

The RINL is forced to purchase required Manganese, Quartz and River Sand from outside at double price i.e., Rs 17,000 for Manganese, Rs 1,500 for Quartz lump and Rs 1,200 for Quartz fines (in place of River sand) which is an extra financial burden to the company, he added.

Garbham Manganese Mine located in Vizianagaram, Kintada Quart Mine located in Anakapalle and Sand Mine lease located at Saripalli of Nellimarla mandal in Vizianagaram district are also waiting for the extension.

In that letter he also informed that an application for an extension of the lease period of Garbham Manganese Mine located in Vizianagaram district as per Section 8A of MMDR Amendment Act 2015 up to 2032 is submitted to the Department of Mines and Geology in the year 2017.

The Department of Mines & Geology recommended the application to the Ministry of Mines, Government of AP, whereas no extension was accorded to date though it is deemed to extension as per the said Act and the mining operation was stopped in October 2022, he added. Similarly, another application for renewal of the Kintada Quartz Mine lease located in Anakapalle district is submitted in the year 2020, he said.

Though the application was submitted a year before the expiry of the lease and necessary payments are made, the mining lease is not renewed yet, he said. Also, the Saripalli Sand Mine lease located at Saripalli Village, Nellimarla Mandal, Vizianagaram district is not yet renewed, and operations were stopped from April 2023, he said.