MMDR Amendment Bill, 2026 Gets Parliament Approval
The Mines and Minerals (Development and Regulation) Amendment Bill, 2026, was passed by both Houses of Parliament on 13 August 2026. The Bill amends the Mines and Minerals (Development and Regulation) Act, 1957, which governs mineral regulation in India.
Parliamentary Procedure
The Lok Sabha passed the Bill on 12 August 2026 after its introduction by the Union Minister of Coal and Mines, G. Kishan Reddy, on 10 August 2026. The Rajya Sabha passed the Bill on 13 August 2026, and the legislation will become law after Presidential assent under Article 111 of the Constitution of India.
Mineral Rights and Taxation
The Bill places regulation of mineral-bearing lands under central control and restricts states from imposing independent taxes, cesses, or levies on mineral rights unless authorised under central guidelines. It also invalidates past, unrecovered, or undeposited mineral taxes levied by state governments before the amendment, while not requiring refund of taxes already collected.
Industry Provisions and Mineral Leasing
The Bill allows leaseholders to add multiple minerals, including lithium, cobalt, graphite, gold, and silver, to existing leases without additional payments. It also removes caps on the sale of minerals from captive mines, a category of mines that supply minerals for the owner’s own industrial use.
Important Facts for Exams
- The Mines and Minerals (Development and Regulation) Act, 1957 is the principal law for mineral development in India.
- Mineral rights are linked to the ownership and regulation of minerals found in land and subsoil.
- Article 111 of the Constitution of India deals with Presidential assent to Bills passed by Parliament.
- Captive mines are mines reserved for use by the leaseholder’s own industry or plant.
Federalism and Judicial Context
The Bill was opposed in Parliament on the ground that it affects the fiscal powers of states in mineral taxation. The issue is connected to the constitutional division of powers between the Union and the States under the Seventh Schedule.