File picture of Shah Commission members arriving at Bhubaneswar airport to investigate the mining scam in Odisha on Wednesday.

Bhubaneswar, Oct. 4: The Odisha government announced a policy resolution to ensure the best possible use of its mineral resources even as the six-member Shah Commission team today declared its intention to go into the details of all the mining leases issued in the state since 1952.

The resolution of the steel and mines department made it clear that while renewing mining leases for captive use, the government would limit the area of the lessees to meet their requirement for 30 years and the balance area would be reserved for the state-run Odisha Mining Corporation.

“Allotment of more area than required for captive use to a lessee other than the state would not be serving the interest of mineral development,” said the resolution, which appears to have been inspired by mounting criticism of the state’s mineral policy. The policy was heavily tilted in favour of private industries.

The resolution also seeks to underscore the fact that any mine owner cannot claim second and subsequent renewal of his lease as a matter of right. “There must be sufficient reasons to say that such renewal is in the interest of mineral development. Captive mining and the principle of equitable distribution, among others, shall be considered as guiding factors for such renewal, except in cases of leases held by a company or corporation owned or controlled by Union or state government,” said the document. At present, pending renewal of a licence, the mine owners can continue their operation.

The government would now also require the mine owners to properly prospect the mines to assess the actual size of the ore reserves using scientific methods. They would similarly be expected to take definitive steps for comprehensive environmental management for the mining areas to reduce the extent of degradation caused by excavation of ore.

On the other hand, the leader of the Shah Commission team and Karnataka’s chief conservator of forests, U.V. Singh, asserted that they would examine the details of all the mining leases issued in the state since 1952 irrespective of whether they were still in operation or not. The team, according to sources, is likely to visit the Koida mining area in Sundergarh district shortly.