"SAIL Initiates Lease Renewal Process for Nine Mines; Clearances Secured for Two"

The Steel Authority of India Ltd. (SAIL) is actively engaged in the renewal process for leases of its 19 non-operating mines, primarily iron-ore mines, of which 13 have lapsed. The company has initiated efforts to restart operations at nine of these mines, with seven facing obstacles at different stages in three states. According to an internal note from the Steel Ministry accessed by Business Line, operations have commenced at one mine in Odisha earlier this year, and clearance for operationalizing another in Chhattisgarh was obtained in October.

The note reveals that four mines in Jharkhand, two in Odisha, and one in Tamil Nadu are awaiting clearances across various categories, including environmental impact assessment reports, wildlife management plans, and diversion or conversion of forest land for mining.

Although there is currently no direct impact on SAIL's operations, the continuity of these mining leases is crucial as the company aims to scale up capacities.

The note mentions that leases for 13 mines lapsed in March 2022, but as of now, the Ministry of Mines has not issued any notification. The matter concerning the extension of the period for starting mining operations by SAIL is pending with the Ministry of Mines, and the Steel Ministry has directed SAIL to pursue the matter with the state governments.

In Jharkhand, the four mines awaiting clearance include Kiriburu–Megathaburu, Jhillingburu–1, Jhillingburu–2, and Topailore. Discussions and meetings with officials have taken place to address concerns related to land-use plans, surrender plans, water conservation, soil erosion, and other environmental aspects.

For the Kiriburu–Megathaburu mine, discussions on land-use plans and surrender plans are ongoing, awaiting further clearances from the environment department. In Jhillingburu–1, a report from IIT-Kharagpur addressing water conservation, soil erosion, and other environmental concerns has been submitted, and discussions with officials are in progress.

For Jhillingburu–2, modifications to mining plans are underway, and for Topailore mines, additional documentation justifying the extension of the lease is being prepared.

During a meeting between the Union Steel Secretary and the Chief Secretary of Jharkhand, it was reported that the hearing procedure for three mines was completed, and SAIL requested expediting the process for the remaining mines to facilitate the pending extension of leases.

HBL