Section 29 in Orissa Minor Minerals Concession Rules, 2004
29. Conditions of quarry lease.
(1)The lessee shall pay to the State Government surface rent within a fortnight of the execution of the lease-deed for the remaining period of the year and thereafter pay such yearly rent on or before the 15th January of every year.(2)The lessee shall pay dead rent for the remaining period of the year within a fortnight of the execution of the lease-deed and thereafter pay yearly dead rent on or before the 15th January of every year. An account of the royalty payable by him shall be kept by the competent authority and as soon as the royalty payable by him becomes equal to or in excess of the dead rent already paid by him, he shall remove the minor minerals only after payment of the royalty. Advance dead rent paid by him shall be deemed to have been merged into the amount of royalty he was liable to pay.(3)The lessee shall pay to the government compensation for all damages, injuries or disturbance which has been caused by him in the course of operating the lease and shall indemnify government against all claims which may be made by third parties in respect of such damage, injury or disturbances.(4)Quarrying operations shall commence within three months from the date of execution of the lease agreement. The lessee shall thereafter carry on quarrying in a proper, skillful and workman-like manner.(5)If the lessee does not work upon the quarry for a continuous period of six months, the lease shall be liable to be cancelled, unless prior permission has been granted for such stoppage by the competent authority on reasonable grounds.(6)The lessee shall allow reasonable facilities of access to other bona fide concessionaires.(7)If any minor mineral not specified in the lease is discovered in the leased area, the lessee shall report it forthwith to the competent authority and the Director. The lessee shall not win or dispose of any such minor mineral without obtaining a proper lease or permit or permission of the competent authority in writing. If he fails to apply for a lease or permit to extract the newly discovered minor mineral within three months from the date of discovery or if he declares his intention not to work upon the minor mineral, the competent authority may grant lease or permit in respect of that minor mineral to any other person after observing the procedure prescribed in these rules for the purpose:Provided that if the mineral discovered is not a minor mineral, the lessee shall not be entitled to any preference for the purpose of obtaining a lease for the new mineral, by reason only of the lands being included in his earlier lease for extraction of minor mineral.(8)The lessee shall not carry on or allow to be carried on, any quarrying operation at any point within a distance of-(a)one hundred meters from any Railway line (except under and in accordance with the written permission of the Railway Administration concerned), National Highway, State Highway, monuments, heritage sites, or any reservoir; or(b)within a distance of fifty meters from any tank, canal, road (other than a National or State Highway or other public works or buildings or inhabited sites), except under and in accordance with the previous permission of the Collector. The Railway Administration or the Collector, as the case may be, may grant such permission on such conditions as it or he may specify.(9)The State or Central Government shall have right to construct any road, railway or canal, reservoir or to lay electric or telephone lines in or over the lands held under the lease:Provided that the lessee shall be given at least sixty days prior notice before the right is exercised and the area thus utilised shall be excluded from the area held under lease.(10)The lessee may erect on the area granted to him any building and structure required for the purpose of quarrying operations, provided he does not offend any lawful orders issued by the office or authority competent to issue such orders.(11)The lessee shall, at his own expense, erect and at all times maintain and keep in good condition boundary marks and pillars necessary to delineate the leased area.(12)The lessee shall obtain permission of the competent authorities of the Forest Department, Orissa to carry on any operation in forest area.(13)The lessee shall abide by the provisions of all laws for the time being in force, relating to the working of quarries and matters affecting the safety, health and convenience of the persons employed for quarrying and of the public. He shall also obey all existing law of way, water and other easements; and shall not use power cutters and other machinery in case of laterite quarries.(14)The lessee shall keep correct accounts of minor minerals quarried and dispatched and shall furnish a quarterly return in FORM-T and annual return in FORM-W to the competent authority and the Director.(15)The lessee shall afford reasonable facilities for inspection of the quarries in the leased land, accounts and records pertaining to working of lease, to the competent authority and Director or any other officer authorized by any of them. Such officer may issue directions to prevent wasteful extraction of minerals and to ensure observance of the provisions of rules and specify the time limit not exceeding thirty days within which the directions shall be complied with. If the lessee does not allow the inspecting officer reasonable facilities for inspection or fails to comply with the directions within the specified time limit, the competent authority may forfeit the whole or part of the security deposit paid by the lessee or impose penalty not exceeding rupees five thousand only and may cancel the lease and forfeit the security deposit.(16)All accidents involving injury or loss of life or loss or damage to property shall be reported forthwith to the Collector of the District.(17)If any Government dues payable under the lease agreement remain unpaid for one month beyond the date fixed in the lease agreement for such payment, the competent authority or any officer authorized by him may enter into the leased area and distrain all or any of the minor minerals or other movable property and may dispose of such of the distrained minor minerals or property as will be sufficient for satisfaction of the Government dues and all costs and expenses occasioned by the non-payment there. If any such government dues remain unpaid over two months beyond the date fixed in the lease agreement for such payment, the competent authority may determine the lease, and take possession of the leased area on re-entry without prejudice to such action as may be taken under the provisions of the Orissa Public Demands Recovery Act, 1962 for recovery of such dues.(18)The controlling authority shall have the right to pre-emption at current market rates over all minor minerals extracted or collected by the lessee and shall be indemnified by the lessee against the claims of any third party in respect of such minerals.(19)The lessee shall remove all minor minerals quarried before the end of the lease period or of its determination, if it is determined earlier, and all other materials and structures within such reasonable period not exceeding two months or as the competent authority may allow. All minor mineral materials, machineries, buildings and other structures, left in the leased area after the date-line fixed or time allowed by the competent authority shall be deemed to be the property of the government. The competent authority may dispose of such property by public auction and credit the sale-proceeds to government account with the approval of controlling authority.(20)If any major mineral is found in the area in course of quarrying of minor minerals the lessee shall intimate in writing the fact to the competent authority forthwith and the lease shall be terminated without payment of any compensation to the lessee.(21)The lessee shall ensure proper maintenance of hill slopes so as to prevent major erosion and observe all such safeguards as provided in the Mines Act, 1952 and the Rules and Regulations framed there under from time to time.(22)The quarry owner shall carry out mining activities with appropriate environmental safeguards and shall take such steps for reclamation and raising of plantations in the lease area as prescribed in Rules 29 to 37 of the Granite Conservation and Development Rules, 1999.(23)The lessee shall keep the government indemnified from any liability, compensation damage etc, arising out of his acts or omissions as a lessee during the subsistence of the lease.(24)No rejected/off grade major mineral shall be removed on payment of royalty as minor mineral, under this rule.(25)If the land leased out is a private land, the lessee shall pay such just and reasonable compensation as may be agreed upon between the lessee and the owner of the land.(26)The competent authority may include such other conditions in the lease agreement with the approval of the controlling authority.Chapter-V Grant of Quarry Permits
