Chennai, August 15: Lok Sabha MP and MDMK leader Durai Vaiko has raised alarms regarding the Mines and Minerals (Development and Regulation) Amendment Bill, 2026, stating it could severely impact Tamil Nadu’s revenue and undermine the financial autonomy of states.
In a statement, Vaiko mentioned that he met with Tamil Nadu’s Finance Minister, Mary Wilson, on Saturday morning to discuss provisions of the bill that could restrict the powers and financial resources of state governments. The bill was passed by the Lok Sabha on August 12 and by the Rajya Sabha on August 13.
Vaiko noted that opposition MPs personally approached Union Coal and Mines Minister G. Kishan Reddy, urging the central government to refer the bill to a parliamentary standing committee for thorough examination. They also demanded consultations with state governments before passing the bill.
Vaiko indicated that he had submitted an amendment to Lok Sabha Speaker Om Birla, requesting the removal of Section 9D to protect the taxation powers of states. However, the central government dismissed the opposition’s demands and passed the bill in both houses without extensive debate.
According to Vaiko, the newly added Section 9D prevents state governments from levying taxes on mineral rights and mineral-rich land. This provision could hinder state governments’ ability to recover revenues amounting to millions, posing a serious challenge to their financial autonomy.
He emphasized that this issue extends beyond revenue loss; it also concerns the constitutional powers of states, their financial independence, and India’s federal structure. Vaiko urged the Finance Minister to pressure the central government to safeguard Tamil Nadu’s financial rights and initiate appropriate legal action. Mary Wilson assured him that the government, led by Chief Minister C. Joseph Vijay, would take necessary steps.
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