Mineral Concession (Amendment) Rules, 2025 notified: Key Takeaways
The Ministry of Coal has introduced the Draft Mineral Concession (Amendment) Rules, 2025, aiming to modernize India’s coal mining regulations and enhance operational efficiency. These proposed amendments to the Mineral Concession Rules, 1960, reflect a strategic shift towards more flexible and sustainable mining practices.(
Key Proposed Amendments
1. Expanded Mining Plan Boundaries
The amendment to Rule 22B allows mining plans to extend beyond designated block boundaries, provided there is a No Objection Certificate (NOC) from the respective State Government. This extension must be supported by a certificate from the Central Mine Planning and Design Institute Limited (CMPDIL) for non-coal areas or demonstrate technical viability for coal-bearing regions. Project proponents are required to submit an undertaking to ensure timely re-handling of overburden.
2. Simplified Mining Plan Revisions
Under the revised Rule 22E, certain modifications to mining operations—such as changes in land type, infrastructure adjustments, production increases up to 50%, technology upgrades, and land repurposing—can be implemented without submitting a completely new mining plan. However, for allocated coal mines, any changes that affect agreement terms or efficiency parameters will still require prior approval.
3. Mandatory Mine Closure Compliance
The new Rule 29A stipulates that a mining lease cannot be terminated unless the approved final or temporary mine closure plan has been fully implemented. This includes obtaining a certificate from the relevant authority confirming the completion of protective, reclamation, and rehabilitation work.
Stakeholder Engagement
To ensure comprehensive stakeholder input, the Ministry had scheduled a consultative meeting on March 21, 2025, at 4:30 PM. This hybrid meeting will held in the Conference Room of the Ministry of Coal, Shastri Bhawan, New Delhi, inviting suggestions from coal or lignite-bearing States and Union Territories.
Implications for the Mining Sector
These proposed amendments are poised to:
- Enhance Operational Flexibility: Allowing mining plans to extend beyond traditional boundaries can lead to more efficient resource utilization.
- Streamline Regulatory Processes: Simplifying the approval process for minor modifications can reduce bureaucratic delays and encourage technological innovation.
- Ensure Environmental Responsibility: Mandating the completion of mine closure plans before lease termination underscores the commitment to sustainable mining practices.
By aligning regulatory frameworks with contemporary mining needs, these amendments aim to foster a more dynamic and responsible coal mining industry in India.
For a detailed overview of the proposed amendments, refer to the official notification: Draft Mineral Concession (Amendment) Rules, 2025.