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State of Haryana - Section

Section 56 in Haryana Minor Mineral Concession, Stocking, Transportation of Minerals and Prevention of Illegal Mining Rules, 2012

56. Conditions of the mining lease/ contract.

(1)The lessee/ contractor shall deposit the annual dead rent (in case of lease) or contract money, as the case may be, in respect of the minor minerals as per following table:
Serial Number Value of Annual dead rent/Contract money Periodicity of payment
(i) Up to Rs. 10.00 Lakh Entire annual amount in advance afteradjustment of the amount deposited along with the Security
(ii) Above Rs.10.00 lakh and up to Rs. 50.00 lakh In four quarterly instalments in advance on the1st of April, 1st of June, 1st of September and 1st of Decemberof the year
(iii) Above Rs. 50.00 lakh In monthly instalments in advance
(2)The advance amount paid on account of one instalment along with the fifteen percent amount of the bid security shall be required to be deposited/ adjusted in a manner that the subsequent instalments are payable for a full calendar month/ quarter/ year, as the case may be;
(3)In case of a mining lease, where the amount of royalty payable in respect of a month exceeds the amount of dead rent deposited in advance, the lessee shall deposit such amount of royalty on the mineral extracted and dispatched or consumed by the 7th day of the following month after adjusting the amount of advance dead rent already deposited;
(4)In cases where the lessee has paid the amount of royalty or dead rent during a part of the year, which is equal to or more than the annual dead rent payable for the year, he shall not be required to deposit the advance dead rent for the remaining period of the said year and the royalty for the balance part of the year shall be deposited by the 7th day of the following month;
(5)Where the lessee/ contractor is operating the area, he shall also deposit/ pay an additional amount equal to ten percent of the due dead rent /royalty/ contract money along with instalments towards the 'Mines and Minerals Development, Restoration and Rehabilitation Fund';
(6)In case of any default in payment of the instalments of dead rent/ contract money/ contribution to the 'Mines and Minerals Development, Restoration and Rehabilitation Fund' on the due date(s), the amount would be payable along with interest at the following rates:
SerialNumber Period of delay Rate of Interest applicable
(i) If paid within a period of 7 days from theduedate: A grace period of up to 7 days is allowedwithout any interest;
(ii) If paid after 7 days but up to 30 days of thedue date: 15% on the amount of default for the period ofdefault including the grace period;
(iii) If paid after 30 days but within 60 days of thedue date: 18% on the amount of default for the period ofdefault including the grace period;
(iv) Delay beyond 60 days of the due date Termination of the lease/ contract and theentire outstanding amount would berecoverable along withinterest calculated at the rate of twenty one percent for theentire period of default.
(7)Any default in payment of the due instalments of dead rent, royalty, contract money, contribution to the Fund beyond a period of seven days from the due date would entail:
(i)issue of a notice by the Mining Officer-in-charge requiring the mineral concession holder to clear the default immediately and stating that in case the due amount is not paid within a period of thirty days of the due date, his mining operations would be suspended;
(ii)If the concession holder fails to deposit the due amount within a period of thirty days of the due date along with interest applicable thereon, the Mining Officer-incharge shall direct the concession holder to suspend his mining operations and stop any despatch of mineral from the concession area till such time the default is cleared;
(iii)The order of suspension issued under (ii) above shall, inter alia, include a show cause notice for termination of the lease or contract or permit along with forfeiture of security in the event of continuation of default for a period of thirty days from the date of order of suspension. The concession holder shall also be liable to pay the dues for such suspension period;
(iv)The Director may revoke the suspension of mining operations in case the concession holder deposits at least fifty percent of the due amount with an undertaking to pay the balance amount within a period of three months along with interest, concurrent with the instalments payable during this period;
(v)If the concession holder fails to deposit the amount of default within a period of sixty days from the due date, the Mining Officer-in-charge shall recommend the matter to the Director for termination of the lease/ contract/ permit. The order of suspension of mining operations and the ban on despatch of mineral from the area would remain in force throughout such default period;
(vi)The Director may terminate the mineral concession, with or without forfeiture of the whole of the security deposit or part thereof, as deemed appropriate, in such cases without any further opportunity.
(8)The mineral concession holder shall erect boundary pillars around the mining area at his own expense as per his plan of mining, duly approved by the authorized officer, and shall at all times maintain and keep the same in good condition. Each of the boundary pillars shall also be numbered along with the GPS readings duly marked thereon. The plan annexed to the concession agreement shall clearly indicate the location of pillars along with their GPS readings.
(9)The mineral concession holder shall, at all times, carry out the mining operations subject to the following restrictions:
(i)maintain a distance of fifty meters from the outer periphery of the defined limits of any village abadi, National Highway, State Highway, Major District Roads (MDR) and Other District Roads (ODRs) where such excavation does not require use of explosives, unless specifically relaxed and permitted by the competent authority;
(ii)maintain a distance of two hundred fifty meters from the outer periphery of the defined limits of any village abadi, National Highway, State Highway, Major District Roads (MDR) and Other District Roads (ODRs) where use of explosives is required, unless specifically relaxed and permitted by the competent authority or any specific dispensation is obtained from the Director, Mines Safety;
(iii)maintain a distance of at least 10 meters from any other public roads;
(iv)mining operations in the river-beds shall be undertaken in accordance with the conditions prescribed under rule 58.
(10)The lessee/contractor shall at all times keep and maintain correct and true accounts of:
(i)the quantity and other particulars of all minerals obtained from the mines;
(ii)the number of persons employed in his mining operations;
(iii)an up-to-date complete plan and sections of the mine; and shall allow any officer authorised by the Central or the State Government in that behalf to examine at any time any accounts and records maintained by him, and shall furnish to the Central or the State Government with such information and returns, as it may require.
(11)Where the continuance of mining operations in any area, in the opinion of the State Government, is likely to endanger the safety of any national or state highway, road, bridge, drainage, reservoir, tank, canal or other public works, or public or private building, or any other public interest or in the interest of environment/ecology of the area, the Government may suspend the operations in the entire concession area or part thereof with immediate effect by communicating the reasons thereof in writing. The Government may, wherever so warranted, terminate such mining lease/ contract over entire area or part thereof after giving sixty days notice to the concession holder in this behalf and the grant of such mineral concession shall stand terminated from the date specified in the said notice.
(12)A mineral concession holder shall not stock any mineral outside the concession area granted on mining lease/ contract/ permit, without obtaining a valid license as per provisions contained in Chapter 14 of these rules. The total mineral excavated and stacked by the concession holder within the area granted on mining lease/ contract/ permit shall not exceed two times of the average monthly production as per approved mining plan at any point in time.
(13)In cases where access to and from any other mineral concession area granted under these rules is required to be provided through the land/ area of the lessee/ contractor, he shall allow the existing and future lessee/ contractor/ or any other mineral concession holder a reasonable access to pass through such land/ area which is comprised in or adjoins or is reached through the land held by such mineral concession holder.
(14)The mineral concession holder shall ensure unhindered access to any officer, authorised by the State or Central Government, to enter upon any building, excavation or land comprised in the concession area for the purpose of inspecting the mines. If the mineral concession holder creates any hindrance in peaceful inspection of the mines, the Director may take recourse to extreme measure of cancellation of the mineral concession and forfeit the security deposit in whole or part thereof.
(15)A mineral concession holder shall:
(i)submit by the 7th day of every month, a return in Form "MMP-1" containing the total quantity of minor mineral raised and dispatched from the area and other details prescribed in the said form during the preceding calendar month and its value, to the Director and also other officer(s) specified in the lease/contract deed; and
(ii)also furnish by the 30th April of every year, a statement containing information in Form 'MMP-2' regarding the quantity and value of minor mineral extracted, dispatched, stacked during the previous financial year, average number of regular labourers employed (men and women separately), number of accidents (if any), compensation paid and number of days worked and such other details as prescribed in the form to the Director and the other Officer specified in the agreement.
(16)The mineral concession holder shall at all times maintain and, if required, strengthen any railway line, bridge, national highway, reservoir, tank, canals, road any other public works or buildings in proper condition to the satisfaction of the Railway Administration or the Director or any officer authorised by him and shall ensure that no risk is caused to any such structure as a result of his mining operations.
(17)The mineral concession holder shall report the discovery of any such minor mineral which is not specified in the concession to the Director or an officer authorised by him without any delay and shall not win or dispose off the same without obtaining a separate mineral concession from the Director;
(18)If the concession holder fails to apply for such lease/ contract/ permission within three months from the discovery of said newly discovered minor mineral, the Government may grant the mining lease/ contract in respect of such mineral to any other person;
(19)Where the newly discovered minor mineral is not available in sufficient quantity and the grant of a separate mining lease/ contract is not found justified, the Director may allow the lessee/ contractor to excavate and dispose of such newly discovered mineral by issuing a separate permit in Form 'PIM-8' on payment of advance royalty at the rates prescribed in the First Schedule. The royalty payable for the newly discovered minor mineral and prorated contribution to the R & R Fund shall be in addition to the dead rent/ contract money/ contribution to the R & R Fund for the mineral already granted on mining lease/ contract/ permit. The mineral concession holder shall also be liable to pay all other sums as prescribed for disposal of the mineral as if the same had been allowed under a regular mineral concession;
(20)In case the mineral concession holder incidentally extracts any major mineral, in the process of extracting minor minerals granted through the mineral concession, which is not forming part of the concession, the same shall be the property of the Government and the mineral concession holder shall stack and store the same separately and maintain its proper record in accordance with the directions given by the Director or an officer authorised by him. The Director shall lay down a procedure for the disposal of the major mineral so detected, excavated and stacked;
(21)In case it is detected that the mineral concession holder has disposed of the incidentally extracted major mineral in whole or part there of or failed to maintain the record of the stored mineral in terms of sub-rule (20) above, he shall be liable to penalties as specified in sub section (1), (4) and (5) of section 21 of Act, and also termination of mining lease/ contract.
(22)In case the mineral concession holder does not commence mining operations within a period of one hundred and eighty days counted from the date of commencement of the mineral concession, notwithstanding the payment of dead rent/ contract money by him, the mineral concession shall be liable to be terminated unless specifically permitted by the Government on application for reasons to be recorded in writing.Explanation. - For the purpose of this sub-rule, mining operations shall include the erection of machinery, laying of tramway or construction of a road in connection with the working of mine and the steps taken to obtain requisite clearances.
(23)The mineral concession holder shall immediately inform in writing in Form 'MSE-1: (a) the working in the mines extend below the superjacent ground, or (b) the depth of any open cast excavation reaches six meters (measured from its highest to the lowest point); or (c) the number of persons employed on any day is more than 50, or (d) any explosives are used, to the following:—
(i)The Chief Inspector of Mines, Government of India, Dhanbad;
(ii)The Director, Mines Safety, Government of India, Gaziabad;
(iii)The Director, Mines & Geology, Haryana;
(iv)The District Magistrate of the District concerned; and
(v)The Mining Officer-in-charge of the District concerned.
(24)The Director or an officer authorised by him will make arrangements for the survey and demarcation of the area granted under the concession at the expense of the mineral concession holder. The mineral concession holder shall have to bear actual expenses of the staff deputed for the work, which shall include prorated salary of the staff, travelling allowance and daily allowance of the staff deployed and instrument usage charges which shall be equal to ten percent of the staff charges.
(25)A safety margin of two meters shall be maintained above the ground water table while undertaking mining and no mining operations shall be permissible below this level unless a specific permission is obtained from the competent authority in this behalf.
(26)A mineral concession may contain and provide for such additional conditions as the Government may deem necessary with regard to the following:-
(i)payment of dead rent, royalty, contract money, Mines and Mineral Development, Rehabilitation and Restoration Fund, and the interest payable on delayed payments or any other dues;
(ii)particulars of the receipt heads of the Government to which the payments are to be credited;
(iii)payment of rent for use of the surface area and compensation for damage to the landowner in respect of land covered under the lease/contact;
(iv)felling of trees, pumping of ground-water, if any;
(v)payment of water charges;
(vi)restriction of surface operations in any area prohibited by any authority;
(vii)notice by the mineral concession holder for surface occupation;
(viii)facilities to be given by the mineral concession holder to another mineral concession holder for working of other minor mineral(s) in the area or the adjacent area;
(ix)entering and working in any reserved or protected forest area;
(x)reclamation/ restoration and securing of the pits, shaft and other areas affected by mining, pumping of the ground water;
(xi)reporting of accidents and use of explosives;
(xii)indemnity to the Government against any third party claims;
(xiii)mineral to be stacked, weighed and dispatched;
(xiv)applicability of the provisions of all other statutes/ rules framed by the Central and the State Governments;
(xv)maintenance of sanitary conditions in the mining area;
(xvi)development & conservation of the minerals, and environment & ecology of the area;
(xvii)forfeiture of property left after termination/ expiry of the mineral concession;
(xviii)delivery of possession of lands and mines on surrender, expiration or premature termination of the mineral concession;
(xix)powers to take possession of plant, machinery, premises and mines in the event of war or emergency; and
(xx)termination of a mineral concession for non-compliance of terms and conditions of the grant and agreement;
(xxi)any other special conditions may be imposed in the interest of scientific mining, mineral conservation and mineral development, as may be found expedient by the Director or an officer authorised by him.
(27)Boundaries of the area covered by a mining lease/ contract/permit shall run vertically downwards below the surface towards the centre of the earth.