Last month, the Centre appointed a commission to probe into illegal mining of iron and manganese ore. But it is strange that worse activities in the coal industry are going on unhindered

The Centre has appointed a commission to probe into the illegal mining of iron and manganese ore in various states, to curb these illegal activities. This is long overdue. But the question being asked already is why a similar investigation is not being undertaken on illegal coal mining?  

Last month, the Centre appointed MB Shah, retired judge of the Supreme Court, to probe into illegal mining of ore. Mr Shah has been asked to submit a report in 18 months and file an interim report, if required.
 
Like in iron and manganese ore mining, the coal industry is also affected by illegal mining, corruption, pilferage, environmental issues, the mafia and Maoists. It’s a chronic problem that haunts India’s energy dream and requires to be addressed without delay.

“We need such a commission to probe into illegal mining of coal. Today, illegal mining is becoming an industry and in with regard to illegal mining of coal, the mafia is working in vast areas of the country,” Jibon Roy, former member of parliament and a trade union leader, told Moneylife.
 
However, it is also said that the government’s decision to appoint the commission seems to be a politically motivated step as the decision was taken after Bharatiya Janata Party (BJP) members and powerful miners were accused of large-scale illegal mining in Bellary district in Karnataka, as well as in neighbouring Andhra Pradesh.
 
“I don’t want to comment whether it is a politically-motivated decision or not. It is a welcome decision that the government has appointed the commission to probe into illegal mining of iron and manganese ore even if it is a political-motivated step,” Mr Roy said.

As Moneylife reported earlier, billions of rupees worth of coal is taken away with the help of Maoists and the mafia every year in major coal-producing states of  Jharkhand and West Bengal. (http://www.moneylife.in/article/81/10378.html )
 
“The government should look into the whole issue of illegal mining in every state. It is all vested interests, the government should not fall prey to vested interests and inquire into all kinds of illegal mining,” BJP national spokesperson Prakash Javadekar told Moneylife.
 
The central government is eager to bridge the fiscal deficit by divesting its stake in state-owned mining companies, but when it comes to addressing crucial issues like illegal mining it is trying to settle political scores using such serious problems.
 
The commission may take the services of any investigating agency of the central government in order to effectively address its terms of reference, the mining ministry stated.

Following are the terms of reference of the commission set up to inquire into illegal mining of iron and manganese ore and why a similar inquiry is necessary into the coal problems.

• The commission will inquire into the nature and extent of illegal mining and trade and transportation of iron ore and manganese ore and to identify the persons, firms, companies and others responsible for this.

(According to a report, about 7,20,000 tonnes of coal is smuggled every year from Jharkhand by organised syndicates of the coal mafia, who are supported by local politicians.)
 
• The tampering of official records, including records relating to land and boundaries to facilitate illegal mining, etc. and the extent to which the management, regulatory and monitoring systems have failed to deter, prevent, detect and punish illegal mining, etc, and the persons responsible for the same.

(Coal India Limited (CIL), which accounts for more than 80% of the coal production in the country, is facing hundreds of legal proceedings against its employees and subsidiaries for corruption and other cases. The company has also been charged for alleged encroachment of land for carrying on mining activities and 236 service matters have been filed by its employees.)  

• The overall impact of such illegal mining, etc, in terms of destruction of forest wealth, damage to the environment and to the livelihood and other rights of tribal people, forest dwellers and other persons in the mined areas, and the financial losses caused to the central and state governments, etc.
 
(According to a media report citing unnamed sources, CIL has scaled down the production target by 6.5% to 486million tonnes (MT) from 520MT following delays in environment approvals for various projects. The environment ministry’s announcement of ‘no-go’ areas for mining for a few of CIL’s reserves, the company might have taken the decision to reduce production targets.) — Sharad Matade