While welcoming measures to instil confidence among the landlosers, the country's two biggest state-owned miners, Coal India and NMDC today expressed concern at lack of a holistic or comprehensive attitude to ensure the growth of mining sector. Top officials of both the companies felt that the MMDR Bill coupled with the forthcoming Land Acquisition and Rehabilitation Bill, if not moderated, will make mining completely unviable in the country.

Reacting to queries from Business Line , the CIL Chairman, Mr N.C. Jha, said that while measures to instil confidence among the landowners should ensure growth of the mining sector, the Government should make a “comprehensive” review of the combined impact of bills. “Else, the mining sector will be in the red,” he warned.

The combined cost impact of the two bills may be either “unbearable” for the economy in terms of prices of feedstock or it send the mining industry to red, he felt. “How can we offer both money as well as jobs,” he wondered.

Interestingly, he also urged the government to take a prudent yet quick decision as the landowners in the coal bearing areas would stop offering land till the Act comes in place. This is over and above the huge anticipated rise in market value of land.

Mr Rana Som, Chairman of NMDC, said that the company has reservation of mining assets for PSUs in national interest and continuity of the existing licences in the Bill. “I am not sure if they have found their place in the Bill, cleared today,” he said.

He was, however, critical on profit-sharing. “We are concerned if the funds will be properly used,” he said, adding that the company has earned confidence in the mining areas through its existing CSR works. “While the Government as an owner are rightfully eligible to take any decision on the (decline in) profitability of NMDC, the Bill(s) may not be good for the mining sector in totality,” he said.

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