By Anurjay Dhal
RAJKANIKA/KENDRAPARA(ODISHA): In a significant development, which will otherwise put the Naveen Patnaik led BJD Government in Odisha in a hurry, after the Union Mines Secretary Sushil Kumar writing to all Chief Secretaries of mineral bearing States including Odisha asking for one time relaxation of District Mineral Foundation (DMF) Funds, for purchase, installations of testing, screening, and other equipments in connection with COVID-19, highly placed sources in Ministry of Mines, in New Delhi, said on Sunday.As part of the Pradhan Mantri Garib Kalyan Yojana with Rs 1.7 lakh crore outlay, the Union Mines Ministry has decided to use DMF funds for COVID-19.
The Union Mines Secretary Kumar wrote in his letter to State Chief Secretaries that “The Central Government in excise of the powers conferred under section 20(A)of the Mines and Minerals (Development and Regulation Act) , 1957 , directed the concerned State Governments to incorporate the Pradhan Mantri Khanij Kalyan Yojana(PMKKKY) guidelines into the rules framed by respective State Governments for DMF. The guidelines for implementation of the PMKKKYwere circulated vide this Ministry order dated September 16, 2015,”
“Now , in excise of the powers conferred under section 20(A)of the Mines and Minerals (Development and Regulation Act) , 1957 , read with emergent national interest to combat the COVID-19 pandemic, the following additional instructions are here by issued for implementation of the project under PMKKKY by utilising the funds collected under DMF. These instructions will supplement the already issued guidelines dated December 16, 2015 by the Mines Ministry on this matter,” the Union Mines Secretary Kumar wrote, letter of which is available with The www.indianewsdiary.com.
“The State Government may utilise the funds available under DMF for supplementing and augmenting facilities of medical testing, screening and other requirements in connection with preventing the spread of COVID-19 pandemic subject to various instructions issued in this regard by the Ministry of Home Affairs and Health and Family Welfare,” the letter said.
“It is to be ensured that the expenditure related to COVID-19 does not exceed 30% of the balance funds available in DMF. Funds can be utilised for purchase of face masks, soaps, sanitizers, and food distribution for poor if other available funds are not sufficient as certified by the District Magistrate. In all the districts, funds can be utilised for purchase of face masks, soaps, sanitizers, and food distribution for poor if other available funds are not sufficient as certified by the District Magistrate. In all the districts,” it said.
Technical configuration and specification of the equipments for COVID-19 being purchased or installed shall be as per the laid down policies of Ministry of Health and Family Welfare for COVID-19 and other extant instructions, the letter said.
“Due process and procedure shall be followed by district administration while undertaking the purchase and installation of the equipments. It shall be the responsibility of the district authority to conduct the mandatory audit into the purchase and installations of the protective equipments in connection with COVID-19 under DMF as and when it deems appropriate and feasible. Extant rules , regulations, and codal provisions applicable for DMF are to be followed for any expenditure done to prevent the spread of COVID-19 pandemic. You are requested to direct the concerned authorities to take necessary measures for implementation of the above guidelines,” the Union Mines Secretary Kumar concluded.
On March 26, the www.indianewsdiary.com had carried a story questioning the silence of Naveen Patnaik Government on State’s DMF funds of around 9000 crore while the figure is around Rs 40,000 crore at National level.
As per the Mines and Minerals (Development and Regulation) Amendment Act, 2015, lease holders are to make between 10-30% of the royalty as statutory contributions towards DMF. The Act empowers States to prescribe benefits to project-affected persons. The compositions and functions of the DMF are also decided by the States. As per the amended Act, 60% of the proceed is to be utilised in priority areas and the remaining on ‘other priority areas’.
“Odisha, the first State to formulate the DMF rules, had accumulated Rs 8,257 crore under DMF and had approved Rs 7,065 crore. Total utilisation, however, was only Rs 1,134 crore till November 2019,” a report said.
Even as the district mineral foundations (DMF) in the state have flushed with funds worth Rs 8,729 crore by October, the spending remains only at 26 per cent. State Planning and Coordination Minister Padmanabha Behera had in November 2019,said Rs 2,281.74 crore has been spent for various development projects from the DMF fund, sources added.
“It was a calculated move of the State Government and fooling people during crisis,” a sources said questioning MLALADs and MPLADs used for COVID-19.“Since DMF money of near about Rs 9000 crore is there , there was no need of delay in implementing it in Odisha and it shall be used for fighting COVID-19,” a source said.It may be noted here that Odisha was among the State, which had demanded IT exemption for DMF.
In the recently concluded Mining auction, Odisha earned around Rs 4.87 Lakh Crore from the 23 out of 24 mines auctioned. These 23 Mines holds Iron Ore 1716.92 mt, Manganese 8.77 mt and Chrome Ore having 104.96 mt, which was worth Rs.4,87,082.55 Crore.
