Tuesday, 3 June 2014

CM Naveen Patnaik urges PM to revise mineral royalty by at least 15%, impose super profit tax on miners [The Financial Express]

Odisha CM Naveen Patnaik on Monday urged PM Narendra Modi to revise mineral royalty which has been due since 2009 by a minimum of 15% and impose Mineral Resource Rent Tax on windfall profits made by mine owners. He also demanded that Odisha be accorded special category state status and that the Polavaram Project be kept on hold. "The PM was positive about the demands,” Patnaik said, while briefing mediapersons after meeting Modi along with all BJD MPs in Delhi on Monday. He added that the PM was also positive towards other demands of the state which included allocation of additional five lakh BPL cards, a budgetary provision of R3,100 crore in the railway budget and launch of international flights from Biju Patnaik airport. The Odisha government has set a three-month deadline to clear at least seven renewal mining lease applications of Tata Steel, SAIL and Odisha Mining Corporation (OMC). The mines are Joda East, Joda West, Bamebari and Katamati of Tata Steel, Barsuan, Kalta and Bolani of SAIL, and Kurmita of OMC. These mines are among the 26 mines that have been shut since May 16. State mines director Deepak Mohanty said the government has asked the three companies to obtain all statutory clearances in three months. Assocham has, meanwhile, urged the Centre to ensure iron ore availability to domestic steel and sponge iron manufacturers by augmenting the production of National Mineral Development Corporation and imposing 30% export duty on iron ore pellets. The Centre has convened a meeting on June 5 to take stock of the situation.

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