SYLLABSUS SECTION: GS III (GOVERNACE)
WHY IN THE NEWS?
Recently, Centre has tightens norms the criteria for use of district mineral funds to ensure,
They are use for the specify purpose, that is redevelopment of areas and people affect by mining activities.
MORE DETAILS:
- It will streamline the usage of funds for specify purpose and to ensure organize development.
- Mining and Minerals Development and Regulation (MMDR) Act, 2015, mandates every state to set up District mineral foundations (DMFs) in each mining-affected area.
- Under MMDR Act, combination and functions of DMF are prescribe by states and Centre has power to give directions regarding utilization of funds.
- Leaseholders are require to contribute to DMFs between 10 and 30% of the royalty, in addition to the royalty paid to state governments
- 60% of the fund needs to be use for high priority works such as drinking water supply, health, education etc.
- Rest 40% can be use in other priority work such as physical infrastructure, irrigation etc in centre tightens norms.
CHANGES INTRODUCED BY CENTRE
- Preparing a five-year perspective plan (based on a baseline survey through universities or renowned organizations) by DMF to ensure systematic development of the area affected by mining-related activities.
- Separate sections on all priority sectors, like drinking water, health, education, welfare of women and children, and other sectors like roads and irrigation.
ABOUT DMF
- It is a trust set up as a non-profit body, in those districts affect by the mining works.
- DMF funds are treats as extra-budgetary resources.
- Using the funds generate, DMFs are expect to implement the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY).
Read more:Â UPSC CURRENT AFFAIRS
SOURCE: FINANCIAL EXPRESS