Jharkhand's Minor Mineral Revenue Plummets: CAG Report Exposes Irregularities
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In a worrying trend, revenue generated from minor minerals in Jharkhand has seen a consistent decline from ₹1,082.44 crore in 2017-18 to ₹697.73 crore in 2021-22, according to a recent report by the Comptroller and Auditor General (CAG). The report, tabled in the state assembly, highlights several irregularities in the grant and management of mining leases, including non-payment of royalty, dead rent, and penalties. The CAG's performance audit, conducted between November 2022 and October 2023, identified areas that require improvement in the management of minor minerals in the state. The audit selected six district mining offices and the Jharkhand State Mineral Development Corporation Limited as part of the investigation. The report reveals that the share of minor mineral receipts in the state's total revenue has dropped sharply from 5.36% in 2017-18 to 2.23% in 2021-22. The CAG also observed instances of loss of revenue to the government exchequer due to non-payment of royalties, dead rent, and penalties. The audit found several irregularities, including the Sahibganj deputy commissioner granting a mining lease beyond his jurisdiction and district mining offices in Chatra and Palamu issuing leases on forest land. The report also highlights the slow progress of auctioning mineral blocks, with only 3.77% completed during 2018-23. Furthermore, the CAG's report reveals leakages in revenue, including the short levy of royalty and non-realisation of dead rent. The report also suggests that 26 leases extracted minor minerals beyond permissible limits, resulting in potential losses of ₹205.21 crore. Additionally, the state government suffered potential losses of ₹70.92 crore due to non-operative sand ghats. The CAG has recommended implementing an online system for mining lease applications and introducing a centralized royalty clearance certificate through the Jharkhand Integrated Mines and Minerals Management System to prevent such irregularities in the future.
