By Our Correspondent
BHUBANESWAR:Yesterday, former Odisha Chief Minister and Leader of Opposition Naveen Patnaik issued a video message opposing the ‘Mines and Minerals (Development and Regulation) Amendment Bill, 2026’ (MMDR Amendment Bill-2026) and his statement that the Central Government is taking away the rights of Odisha, Sambalpur MP and former Union Minister Shri Dharmendra Pradhan has given a strong response to his statement. Releasing a video message, Shri Pradhan said that politics has its place, but misleading the people of Odisha by hiding the truth is completely unacceptable. The efforts that Naveen Babu is making to take opportunistic political benefits are not right.
Shri Pradhan explained that the new MMDA Bill brought by the Modi government is a historic step for the country’s mining security and the economic future of mining-rich states like Odisha. Earlier, states used to impose 14 different types of exorbitant taxes on mines. Section 9D of the MMDA Bill sets a clear upper limit to prevent multi-level tax burden without taking away the core revenue from the states. Many mining companies were likely to close due to the burden of old arrears of taxes. This Bill has averted the threat of closure of mines and factories in Keonjhar, Sundargarh, Jharsuguda, Angul, Jajpur and has secured the jobs, careers and livelihood of lakhs of youth working in the mining and industrial sectors.
If 70% to 80% preferential tax was imposed on mining, the prices of iron ore, coal, cement would have skyrocketed, hampering supply chain, industrial and infrastructure development. It would have been difficult for an average middle class family in Odisha to build a house and even buy a motorcycle, truck and tractor. This bill has saved the common people from this expensive blow. Odisha has not suffered any loss due to this bill. 100% of the auction premium, royalty and DMF that Odisha received will still go directly to the account of the Odisha government. If a uniform mining tax policy is implemented across the country, it will make business easier and improve the financial system of the states. That is why all our MPs have supported it.
However, what Naveen Babu said yesterday seems to have misled the people of Odisha. Prime Minister Shri Narendra Modi, starting from his 2014 Lalkilla speech till today, has been continuously thinking about the development of Odisha including Eastern India. Before raising questions about him, Naveen Babu should look at his 24-year report card and introspect.
Reminding Naveen Babu of his 24-year report card, Shri Pradhan said that when Naveen Babu was in power, Odisha’s annual mining revenue in 2004 was only Rs 1,000 crore. Till 2014 (until the Modi government reformed the mining policy), it was limited to only Rs 5,000 crore, because then mining companies were being allocated minerals at the price of fish and vegetables. Minerals were being given to certain families in Odisha on the basis of relatives. In 2015, the Modi government brought historic amendments to the MMDA Act, stopping arbitrary distribution of minerals and making a clean ‘auction’ process mandatory and bringing transparency. Along with this, the Ad Valorem royalty was also increased from 10% to 15%. DMF system was also made for public welfare schemes in the state. It is because of this clean policy that the mineral income, which was stuck at Rs 5,000 crore, has increased 10 times and today it has reached about Rs 50,000 crore and Odisha has received Rs 37,000 crore through DMF funds. This is not yours, but a reflection of the clean policies and reforms of the Modi government.
Shri Pradhan gave an example that if the average selling price of iron ore is Rs 3,000 per tonne, then the Odisha government gets Rs 3,300 more as premium (which is 110% of the selling price), Rs 450 as Ad Valorem royalty and Rs 45 as DMF. This total of Rs 3,795 comes to the Odisha exchequer. Whose revenue has increased due to the Modi government’s mining reform policy… the state’s or the center’s? Naveen Babu and his party BJD brought the mining tax law called Orissa Rural Infrastructure and Socio-Economic Development Act, which is being cried crocodile by saying, in 2004. After the Hon’ble High Court struck it down in 2005, the BJD government dragged the case in the Hon’ble Supreme Court for 18 years from 2006 to 2024 and took no action.
Shri Pradhan said that when Naveen Babu took charge in 2000, Odisha’s total debt was Rs 18,000 crore and the per capita debt was Rs 6,000. This increased to more than Rs 96,000 crore and per capita debt to Rs 26,000 by the end of Naveen Babu’s rule in 2024. He questioned whether this was Naveen Babu’s economic reforms.
Naveen Babu, you are trying to mislead the youth by talking about their future, such words do not befit your face. Shri Pradhan BJD leader Naveen Patnaik has been called upon to express his opinion on how Odisha will benefit from this bill, instead of misleading the people of Odisha by lying to them.
