Himachal Pradesh government on 11 September 2016 notified the guidelines for transparent auction and scientific mining and hiked the penalty for offences under the mining act. The government has also decided that the mining lease would be granted through open auction. In order to curb illegal mining, the state government has notified the Himachal Pradesh Minor Minerals (Concession) and
Minerals (Prevention of Illegal Mining, Transportation and Storage) Rules, 2015 providing for stringent punishment for illegal mining. Imprisonment up to two years or fine up to 25000 rupees or both has been made for those involved in illegal mining of minerals, their transportation and holding. In compliance of orders of National Green Tribunal, the government had banned mining in the state but at the same time the government was concerned that the pace of development was not hamper for want of minerals and resorted to scientific mining.
As per the rules, no lease would be provided in respect of land within a distance of two kilometres from the immediate outer limits of Municipal Corporation/ Municipal Committee, one kilometer from the immediate outer limits of Nagar Panchayat.
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