Context
  • On August 19, 2025, the Rajya Sabha passed the Mines and Minerals (Development and Regulation) Amendment Bill, 2025.
  • The Lok Sabha had already passed it on August 12, 2025.
  • The bill was passed amidst a walkout by Opposition members, who demanded a discussion on unrelated issues (like Bihar’s voter list revision).

WHAT THE BILL DOES?

  • Amends the Mines and Minerals (Development and Regulation) Act, 1957.
  • Empowers mining leaseholders to mine critical minerals (e.g. lithium, cobalt, nickel) without paying additional royalty.
  • Facilitates creation of mineral exchanges to promote market development and trading of minerals.
  • Renames the National Mineral Exploration Trust as the: National Mineral Exploration and Development Trust.

SIGNIFICANCE OF THE BILL

  • Supports India’s strategic needs: critical minerals are vital for:
    • Electronics (phones, laptops)
    • Aerospace
    • Green energy (EV batteries)
    • Agriculture
    • Space technology
  • India currently depends heavily on imports for these minerals — the bill aims to reduce this reliance.
  • 24 critical minerals identified by the Centre for focused development.

INSTITUTIONAL & POLICY REFORMS

  • Launch of the National Critical Mineral Mission:
    • ₹34,000 crore outlay
    • Objective: Increase domestic production, including from offshore areas.
  • Push for transparency and accountability in the mining sector.
  • Emphasis on creating a market ecosystem (like stock exchanges) for minerals.

POLITICAL REACTIONS

  • Union Minister G. Kishan Reddy:
    • Called the bill part of "revolutionary reforms" under the Modi govt.
    • Blamed past UPA regime for corruption in mining.
  • Opposition:
    • Mallikarjun Kharge (Congress): Demanded unrelated discussion; led to walkout.
    • John Brittas (Left): Criticized the bill as “far-reaching”, asked it be sent to a select committee.
  • Parliamentary concern raised on:
    • Expunged remarks being shared on social media/Sansad TV — calls for stricter controls on House proceedings being leaked.

WHY THIS MATTERS?

  • Economic Security: Boosting domestic production of critical minerals will reduce import bills and dependency on foreign nations (notably China).
  • Geopolitical Angle: Control over critical minerals is key in global power play (example: lithium wars).
  • Energy Transition: These minerals are key to India's net-zero goals, battery storage, and EV development.
  • Ease of Doing Business: The bill reduces bureaucratic hurdles for leaseholders, encouraging private sector participation.