Government to replace 1957 mining law with new comprehensive legislation

Key facts

• The Centre plans to overhaul the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act) into a comprehensive new mining law to incorporate ease of living and ease of doing business reforms.
• An inter-ministerial panel chaired by the mines additional secretary will draft the new bill, reviewing the MMDR Act in its entirety and examining international best practices.
• The panel will simplify the law's language, align it with related statutes and constitutional requirements, and suggest structural and substantive reforms to enhance clarity, enforceability and efficiency.
• The committee will consult stakeholders, including state governments, before preparing the draft bill.
• The MMDR Act, 1957 is the main central law governing mines and minerals; it distinguishes major minerals (regulated by the Centre) from minor minerals (regulated by states), with states granting mineral concessions while the Centre fixes royalty rates collected by states.