The Lok Sabha has announced to have passed the Mines and Minerals (Development and Regulation Amendment) Bill, 2023.
This seeks larger participation of the private sector in mineral exploration and production including that for sought-after lithium.
The Bill brings lithium out from the list of restrictive atomic minerals which require mining grants from the Centre.
“The mineral sector requires certain more reforms particularly for increasing exploration and mining of critical minerals that are essential for economic development and national security in the country,” the text of the new bill said.
The lack of availability of these minerals may lead to supply chain vulnerabilities and disruptions, according to the bill.
The latest modification seeks to remove lithium-bearing minerals, beryllium, titanium-bearing minerals, niobium, tantallium and zirconium from the list of atomic minerals and gives the federal government power to auction concessions for these items.
Previously only state-run companies could obtain licenses to mine atomic minerals.
The changes will be key for auctioning of recent lithium blocks identified in the country in the regions of Jammu & Kashmir and Karnataka.
Click Here to get the latest EV news and exclusive updates from EV Mechanica on WhatsApp!