Progressive Reforms to Boost Transparency and Affordability in Punjab’s Mining Sector; Credit Goes to CM Mann

In a forward-looking move to bring transparency, affordability, and efficiency to the mining sector, the Punjab government, led by Chief Minister Bhagwant Singh Mann, has approved key amendments to the state’s Minor Mineral Policy. These reforms are designed to curb illegal mining, increase the availability of construction materials, reduce consumer prices, and strengthen state revenue—all while ensuring fair and legal mining practices.

Expanding Legal Access Through Inclusive Mining Models
One of the most commendable aspects of the revised policy is the introduction of Crusher Mining Sites (CRMS) and Landowner Mining Sites (LMS). These two models are set to revolutionize how mining leases are granted in Punjab.
The CRMS provision allows crusher owners with land containing gravel to obtain legal mining licenses. This will not only boost the legal supply of crushed sand and bajri in the market but also significantly reduce illegal transportation of materials from other states.
Meanwhile, the LMS framework empowers private landowners with sand-rich land to mine and sell sand at government-approved rates. This inclusive policy ensures that local citizens can directly benefit from the natural resources available on their property, fostering a sense of ownership and participation in economic development.

Making Mining More Accessible and Fair
The reforms are expected to address a long-standing issue—many potential mining sites remained unused due to the landowners’ unwillingness to let unknown parties access their land. With LMS, those very landowners now have the opportunity to apply for legal mining themselves, thereby expanding the number of operational sites. This step is a major stride towards decentralization and democratization of mining rights.

Simplifying Procedures and Ensuring Speedy Implementation
To make the process more efficient, Deputy Commissioners have been authorized to issue No Objection Certificates (NOCs) for mining on government and Panchayat lands. This change is poised to simplify the administrative process, reduce delays, and bring more mining sites into legal operation quickly—ensuring that the public has access to construction materials at reasonable prices.

Promoting Fair Pricing and Revenue Generation
As part of the policy overhaul, royalty rates have been rationalized to maintain affordability while increasing state revenues. Sand will now carry a royalty of ₹1.75 per cubic foot, with a pit-head price of ₹7 per cubic foot. For gravel (RBM), the royalty is ₹3.15 per cubic foot, and the pit-head price is ₹9 per cubic foot. These rates are aimed at reducing exploitation in the market and creating fairer conditions for buyers and sellers alike.

A Win-Win for Citizens and the Economy
These reforms underscore the Punjab government’s commitment to transparent governance and equitable growth. By removing monopolistic control, empowering local stakeholders, and making raw materials more accessible and affordable, the state is paving the way for a more robust construction and infrastructure ecosystem.

Additionally, these measures are expected to generate employment, enhance rural incomes, and fuel local economies, all while ensuring compliance with environmental norms and sustainability.

With these progressive changes, Punjab has taken a decisive step toward transforming its mining sector into a model of legal, people-centric, and environmentally responsible governance.