Chief minister Hemant Soren and chief secretary R.S. Sharma of Jharkand have pulled out all stops to seek greater autonomy in matters related to Jharkhand’s top two concerns — mines and security — before the 14th Finance Commission (FC) team, while demanding central funds worth Rs 1.42 lakh crore for all-round development. Pointing to the threat of returning to the age when agitators and frustrated locals had forced the mining activities in some parts of Jharkhand to come to a grinding halt, Chief Minister Hemant Soren made some blunt submissions before the visiting team. The CM was particularly blunt that the State had to live with “irresponsible and arbitrary” ways of mining activities by PSUs and private companies. “Jharkhand, a state which feeds the entire nation is subjected to exploitation. The State has been turned into a cattle-field for the rest of the country,” said the fuming CM. He was referring to the resentments against mining activities in the mineral rich areas that, he said, had caused massive devastation to natural environment, agriculture, human health and local means of livelihood without giving much in return. The CM also counted this as one of the main reasons behind left-wing extremism growing leaps and bounds in the State.
Seeking to be taken seriously, the fledgling Hemant government set the tone of the meeting by pitching demands with long-term implications — more central royalties for minerals, an independent mines regulator and only a supporting role from CRPF to combat Naxalism.
It reiterated Jharkhand was the biggest depository and supplier of minerals, including iron ore, and coal but got short-changed by the Centre. “The state gets royalty of Rs 3,000 crore only against minerals annually whereas Rs 40,000 crore goes to the Centre’s kitty but it faces the brunt of environment pollution and degradation of rivers, forests and farmlands, ill health and displacement of its people,” the chief minister said. Cautioning the team against a possible revolt if no course correction was made, the CM also took on PSUs working in the mineral-rich State, adding Coal India Limited (CIL) subsidiaries like Central Coalfields Limited (CCL), Bharat Coking Coal Limited (BCCL) and Eastern Coalfields Limited (ECL) operating in Jharkhand did not perform their duties as they were supposed to. He pointed out the careless manner of the companies when it comes to comply with emission norms, compensatory steps and even paying compensation against land acquired. “God forbid, if any revolt takes place we won’t be able to do much. You would be shocked to see some pictures coming from mining areas. I invite you to take a helicopter ride and see those. The PSUs here are not ready to accept any of our directions. Huge chunk of land has been acquired but not a single penny has been paid as compensation to us. We know the mineral wealth is for the entire country but what about the people suffering out of it,” asked the vocal CM. “I request you to not stick to the parameters adopted for developed States while considering demands for Jharkhand. Formula (to share revenue between Center and State) seems a conspiracy.”
Chief Secretary Sharma asserted royalty on coal should be a bare minimum of 20 per cent and an independent regulator should monitor illegal mining work. “We have seen coal companies issuing permits to load coal three times more than the permitted limit on a truck. A DM acted against this in a district. As a state, we have been very, very polite and considerate, but not the coal companies, who don’t respect state and central laws,” Sharma said. “Coal is masking our poor people as rich. Royalty is very small in terms of negatives it has,” said the CS but at the same time clarified that the State did not want to be in confrontation with the Centre by taking steps to stop mining operations as it might affect power generation at many plants across the country, but “the buck stops at a point.”
Hemant did not mention the matter of paramilitary forces, but Sharma was candid. “Left-wing extremism, or LWE, is our problem. The central forces (read CRPF) should only act as our support, we need more local battalions to give a tough fight to the rebels,” Sharma said. Local battalions would lessen cost of security, as paramilitary forces pose heavy burden on the Centre.
The finance commission members were conciliatory. Sushma Nath, former Union finance secretary, said, “Everyone has said that Jharkhand has to bear a huge cost in mining. The state should be given its due share.”
Initially Rs 3,000 crore as compensation was pending with mining companies which has crossed Rs 10,000 crore. The State also pressed for an independent regulator to monitor the compliances of environmental norms and local regulations by the companies operating in the State, especially the PSUs. Provision of land for land under CAMPA was also sought to be relaxed like the PSUs for the State considering large area falls under some kind of forest cover making land available for developmental projects extremely difficult.
Seeking to be taken seriously, the fledgling Hemant government set the tone of the meeting by pitching demands with long-term implications — more central royalties for minerals, an independent mines regulator and only a supporting role from CRPF to combat Naxalism.
It reiterated Jharkhand was the biggest depository and supplier of minerals, including iron ore, and coal but got short-changed by the Centre. “The state gets royalty of Rs 3,000 crore only against minerals annually whereas Rs 40,000 crore goes to the Centre’s kitty but it faces the brunt of environment pollution and degradation of rivers, forests and farmlands, ill health and displacement of its people,” the chief minister said. Cautioning the team against a possible revolt if no course correction was made, the CM also took on PSUs working in the mineral-rich State, adding Coal India Limited (CIL) subsidiaries like Central Coalfields Limited (CCL), Bharat Coking Coal Limited (BCCL) and Eastern Coalfields Limited (ECL) operating in Jharkhand did not perform their duties as they were supposed to. He pointed out the careless manner of the companies when it comes to comply with emission norms, compensatory steps and even paying compensation against land acquired. “God forbid, if any revolt takes place we won’t be able to do much. You would be shocked to see some pictures coming from mining areas. I invite you to take a helicopter ride and see those. The PSUs here are not ready to accept any of our directions. Huge chunk of land has been acquired but not a single penny has been paid as compensation to us. We know the mineral wealth is for the entire country but what about the people suffering out of it,” asked the vocal CM. “I request you to not stick to the parameters adopted for developed States while considering demands for Jharkhand. Formula (to share revenue between Center and State) seems a conspiracy.”
Chief Secretary Sharma asserted royalty on coal should be a bare minimum of 20 per cent and an independent regulator should monitor illegal mining work. “We have seen coal companies issuing permits to load coal three times more than the permitted limit on a truck. A DM acted against this in a district. As a state, we have been very, very polite and considerate, but not the coal companies, who don’t respect state and central laws,” Sharma said. “Coal is masking our poor people as rich. Royalty is very small in terms of negatives it has,” said the CS but at the same time clarified that the State did not want to be in confrontation with the Centre by taking steps to stop mining operations as it might affect power generation at many plants across the country, but “the buck stops at a point.”
Hemant did not mention the matter of paramilitary forces, but Sharma was candid. “Left-wing extremism, or LWE, is our problem. The central forces (read CRPF) should only act as our support, we need more local battalions to give a tough fight to the rebels,” Sharma said. Local battalions would lessen cost of security, as paramilitary forces pose heavy burden on the Centre.
The finance commission members were conciliatory. Sushma Nath, former Union finance secretary, said, “Everyone has said that Jharkhand has to bear a huge cost in mining. The state should be given its due share.”
Initially Rs 3,000 crore as compensation was pending with mining companies which has crossed Rs 10,000 crore. The State also pressed for an independent regulator to monitor the compliances of environmental norms and local regulations by the companies operating in the State, especially the PSUs. Provision of land for land under CAMPA was also sought to be relaxed like the PSUs for the State considering large area falls under some kind of forest cover making land available for developmental projects extremely difficult.
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