Gandhinagar, March 17: The Gujarat government has introduced a ‘Direct Allotment’ system, allowing small farmers and private landowners to obtain mining leases without e-auction. This initiative aims to simplify administrative processes in the mining sector, as stated by Minister Rishikesh Patel in the state assembly.
During discussions on budgetary demands for the mining and mineral sector, Patel explained that this reform, initiated through an amendment on October 12, 2022, enables landowners to apply directly for mining leases of up to four hectares.
He noted that under this system, 1,024 applications have been received, with 738 granted preliminary approval.
Patel emphasized that under the leadership of Chief Minister Bhupendra Patel and in alignment with Prime Minister Narendra Modi’s vision, the state government is managing Gujarat’s mineral resources in a ‘transparent and scientific manner.’
To enhance transparency in mineral allocation, the old procedures have been replaced by the ‘Mineral Auction Rules-2015’ and the ‘Gujarat Minor Mineral Concession Rules-2017,’ which now implement an e-auction system.
According to the minister, 2,622 blocks of minor minerals and 57 blocks of major minerals have been auctioned so far, generating a revenue of ₹668.4 million.
He added that the state expects to earn ₹470.447 billion in royalties and ₹1,008.843 billion in auction premiums over the next 30 years.
Patel also provided updates on ongoing and planned exploration activities, revealing that new deposits of vanadium and titanium minerals are being identified in the Valsad and Navsari districts.
To promote clean energy and high-tech sectors, exploration for significant minerals and rare earth elements has commenced in Ambadungar near Chhota Udaipur, as well as in Dahod and Panchmahal.
He further mentioned that a ‘Core Library’ is being constructed in Gandhinagar to securely store mineral samples obtained during drilling, and a specialized laboratory for separating rare earth elements is also underway.
The minister announced that 189 new mineral blocks, including eight major minerals, have been prepared for auction over the next five years.
A budget of ₹225.3 million has been approved for exploring bauxite, limestone, and lithium in Gir Somnath, Dwarka, Jamnagar, and Kutch. He noted that as of February this year, ₹127.8 million has been deposited under the Gujarat Mineral Exploration Trust for further exploration activities.
Regarding law enforcement, Patel stated that the government has adopted a ‘zero tolerance’ approach toward mineral theft. Fines for illegal transportation have been increased from ₹2,500 to ₹5,000 per metric ton, with compounding fees ranging from ₹25,000 to ₹200,000 based on the type of vehicle.
He reported that over 104,000 vehicles are being monitored through GPS tracking.
Additionally, 8,406 cases have been registered via the GeoMine app, resulting in recoveries of ₹10.789 billion.
Vehicles seized in serious irregularity cases will be held for 30 days before any immediate punitive action is taken.
Patel highlighted that recoveries from mineral theft have surged from ₹17.1 million in 2003-04 to ₹25.209 billion in 2026, attributing this increase to stringent law enforcement and enhanced transparency.
Following this, the assembly approved the department’s budgetary demands totaling ₹36.689 billion.
Arpit Soni has had a passion for journalism since the beginning. Now he has turned this hobby into his profession. Arpit, who is a resident of Udaipur, enjoys editing and writing news related to journalism. He has worked as a Senior Content Producer in several important roles at Bhaskar, Patrika, Pratahkal, Punjab Kesari, and Times. Arpit completed his schooling in Udaipur and Jaipur. He has been working in the media industry for more than 10 years, and his journey is still continuing. ✍️📚
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