Mines and Minerals (Development and Regulation) Act, 1957

The Mines and Minerals (Development and Regulation) Act, 1957 is Parliament's principal law for regulating mining and developing mineral resources in India. It creates an umbrella framework for mineral concessions, extraction, conservation, payments and welfare institutions, while distributing implementation responsibilities between the Union and states.

Constitutional division of authority

Under Article 246, State List Entry 23 covers regulation of mines and mineral development, subject to Union List Entry 54, which permits Parliament to assume control in the public interest. Section 2 makes this declaration of Union control to the extent provided by the Act.

• State List Entry 50 permits states to tax mineral rights, subject to limitations imposed by Parliament through a law relating to mineral development.

Regulatory framework

The Act regulates mineral operations from exploration to extraction through permits, licences and mining leases. Under Section 4, such operations generally require a concession granted according to the Act and its rules.

• The law provides an auction-based framework for allocating most mineral concessions while retaining specified statutory exceptions.
• Under Section 15, state governments make rules governing concessions for minor minerals within the central statutory framework.
• The Union may frame rules for mineral conservation and systematic development under Section 18, while states may regulate illegal mining, transport and storage under Section 23C.

Revenue and developmental purpose

The Act combines resource regulation with public revenue and local welfare. Sections 9 and 9A provide for royalty and dead rent payable to state governments.

• The District Mineral Foundation under Section 9B works for persons and areas affected by mining-related operations.
• The National Mineral Exploration Trust under Section 9C supports regional and detailed mineral exploration.
• The framework seeks orderly extraction, conservation of mineral resources, transparent allocation and benefit-sharing with mining-affected areas.