Business Standard / New Delhi Jun 25, 2010, 00:22 IST
For a year now, officials of the Ministry of Mines have been seeking the help of beat reporters to garner support for a more enlightened minerals policy. The Mines and Minerals (Development and Regulation) Bill which has gone through several drafts had pitted the Minister for Mines B K Handique against Steel Minister Virbhadra Singh in a rather public battle for turf. Officials appeared to be feeling the pressure from several sides, not least the mining lobby. Yesterday, the talk in Delhi’s Shastri Bhavan, where the ministry has its offices, turned to Australia where Prime Minister Kevin Rudd was forced to resign following some unpopular proposals. Chief among these was a proposal for a 40 per cent tax on mining profits from 2012 to allow “the people a greater share in mining profits”. This is similar to the controversial aspects of the Indian Bill which proposes a cess to create a mineral fund for local area development in mining areas along with an equity stake for the affected community. Officials mulling over the statement of the just sworn in Australian Premier Julia Gillard, who said she was “throwing open the government’s door to the mining industry”, seemed rather bemused.
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