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Union minister reviews Chhattisgarh’s mining sector; focus on coal production, mineral exploration

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Raipur, Nov 3 Union minister G Kishan Reddy and Chhattisgarh Chief Minister Vishnu Deo Sai on Tuesday reviewed the mining and coal sectors in the state, with a focus on mineral exploration, coal production, critical minerals and utilisation of District Mineral Foundation (DMF) funds, an official said.

The high-level meeting, held at the CM’s residential office here, also discussed mineral block auctions, the adoption of modern technology in mining operations and measures to ensure that the benefits of mineral wealth reach local communities, particularly those affected by mining.

Addressing the meeting, Sai said Chhattisgarh’s mineral resources play a significant role in the country’s industrial and economic development and that the state government was committed to their scientific, responsible and transparent utilisation in coordination with the Centre.

Mineral wealth should not be limited to industrial growth but must also generate employment, improve livelihoods and benefit mining-affected and tribal communities, he said.

The chief minister said the state was focusing on technology-driven reforms, environmental conservation and inclusive development while strengthening its contribution to the Centre’s vision of an Atmanirbhar Bharat.

He highlighted initiatives such as Khanij Online 2.0, drone-based surveillance and digital monitoring systems to improve transparency and curb illegal mining and transportation of minerals.

Sai also referred to the TIN (Tribal Incentives on Natural Resources) portal, developed by the Chhattisgarh Mineral Development Corporation in collaboration with Indian Overseas Bank, to ensure transparent procurement and better prices for tin ore collected by tribal communities in Bastar.

Union Coal and Mines Minister Reddy appreciated the state government’s technology-driven reforms, innovations and efforts to increase mineral revenue.

He particularly praised Khanij Online 2.0, drone-based monitoring, star ratings for mining activities and digital surveillance systems.

Emphasising the effective utilisation of DMF funds, he said the resources should primarily be used to improve the living conditions of people in mining-affected areas through investments in education, healthcare, drinking water, livelihood generation and basic infrastructure.

The minister said special relaxations had been provided under the DMF rules for Chhattisgarh’s previously Naxal-affected districts and urged the concerned authorities to make full use of these provisions to accelerate development works.

Reddy also stressed the need to expedite mineral exploration, particularly of critical and strategic minerals such as lithium, graphite, rare earth elements, vanadium, gallium, phosphorite and tin, to reduce the country’s dependence on imports.

He called for the faster operationalisation of auctioned mineral blocks by expediting statutory clearances and procedures, and emphasised the use of modern scientific technologies to identify new mineral deposits.

The minister also called for scientific mine closure, land restoration and the productive reuse of mined areas, with due attention to ecological balance and the interests of local communities.

According to a presentation made by the Directorate of Geology and Mining, Chhattisgarh generated mineral revenue of Rs 16,738 crore during the 2025-26 financial year.

Production of coal, iron ore, limestone and tin has also registered an increase, the official said.

The presentation highlighted progress in mineral block auctions, including lithium and tin blocks, and outlined plans for developing potential critical and strategic mineral resources in the state.

The meeting also reviewed the operational and non-operational coal blocks, production capacity, infrastructure requirements and statutory clearances.

Reddy stressed the need to increase coal output and improve coordination among departments to address operational bottlenecks.

A separate review was also held with South Eastern Coalfields Limited (SECL), a subsidiary of Coal India Limited, to assess coal production, operational performance and issues affecting mining projects. District collectors concerned participated through video conferencing.

The meeting was also informed about the progress of the TIN portal, launched by Sai on August 31, 2026. The platform digitises the procurement, transportation, pricing, sale and payment process for tin ore collected by tribal communities in Bastar.

Under the system, prices are linked to the London Metal Exchange, while payments are transferred directly to beneficiaries’ bank accounts through direct benefit transfer (DBT).

The state government procured more than 8,707 kilograms of tin ore for approximately Rs 90.82 lakh in 2024-25. In 2025-26, procurement increased to over 20,895 kg, with payments rising to around Rs 3.81 crore, representing more than a fourfold increase in the amount paid to tribal collectors.

Tin ore is currently procured through six centres in Dantewada and Sukma districts, while three additional centres are being established. The portal also provides digital registration, QR code-based verification, SMS alerts and real-time monitoring.

The meeting also discussed initiatives to develop columbite resources in Bastar and create sustainable livelihood opportunities for tribal communities through responsible mineral development.

(PTI News)

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