The News Minute | January 9, 2015 | 7:45 pm IST
The Central government on Monday has cleared an ordinance to facilitate the auction of minerals, including ores used to produce iron, manganese and aluminium.
According to a report in DowntoEarth, the government approved amendments to the 57-year old Mines and Mineral (Development and Regulation) Act in a cabinet meeting.
The amendments will allow MNC's to directly bid for mineral resources in India, which were earlier only allocated by the government.
The Union Ministry of Mines has also proposed to expand the area for mineral leases from 10 sq km up to 100 sq km. The lease period has been extended to 50 years.
An adverse effect of the amendments is that areas that fall under the ecologically sensitive zones may come under threat as a consequence of the expanded lease.
The report also brings up the example of Goa where most iron ore leases are situated within 10 km of wildlife sanctuaries, where the SC has banned mining for a year.
Read the full report here.