The Mines and Minerals (Development and Regulation) Amendment Bill, 2025 was introduced in the Lok Sabha on August 11, 2025, Monday. Moving the Bill, Coal and Mines Minister G Kishan Reddy said, the bill will further amend the Mines and Minerals (Development and Regulation) Act, 1957.
What is the Mines and Minerals (Development and Regulation) Act, 1957?
The Mines and Minerals (Development and Regulation) Act, 1957, is a central act in India that regulates the mining sector. This act provides a framework for the development and regulation of mines and minerals. It aims to ensure their optimal utilization and conservation under the control of the Union. The Act has been amended several times, most notably in 2015. The objective of the 2015 amendment was to introduce reforms like auction-based mineral concession grants and the establishment of District Mineral Foundations.
According to an ET Energy World, the amendments to the mining laws will allow state funding for the acquisition of overseas critical mineral assets. The funding is proposed to be procured from the National Mineral Exploration Trust. NMET has a corpus of more than Rs 6,000 crore. This amount is collected from the mining lease holders who deposit 2 per cent of their applicable royalty with the trust.
What could be the impact of the Mines and Minerals Amendment Bill, 2025 on India?
The Mines and Minerals (Development & Regulation) Amendment Bill, 2025, is expected to increase India’s standing in the minerals sector by boosting the exploration and production of critical minerals. This bill could also attract foreign investment, and also streamline the auction process. This bill will also likely lead to greater self-reliance in critical minerals, and support the growth of key industries like space, electronics, and energy.
