New Delhi in a major development, Parliament passed the Mines and Minerals Development and Regulation Amendment Bill, 2026. The Lok Sabha approved the landmark bill on Wednesday, and the Rajya Sabha gave its final green light on Thursday. The new law will come into force after receiving assent from President Droupadi Murmu.
The main goal of this new legislation is to restrict state governments from imposing heavy, unpredictable local taxes and extra levies on mineral bearing lands. By doing so, the Union Government aims to create a uniform, fair, and stable tax system across the entire nation.
Union Mines Minister G.Kishan Reddy reassured the public that this law will not harm state revenues. Instead, it will protect key industries from sudden cost increases, help keep electricity prices stable, and make Indian mining globally competitive. Major minerals like coal, iron ore, copper, and limestone will follow central tax guidelines, while states will continue controlling 49 minor minerals like sand and building stones.
Additionally, the bill encourages companies to discover crucial minerals like lithium, gold, nickel, and graphite without extra payment fees. Captive mine owners can now also sell 100% of their extra minerals in the open market. Experts believe this historic move will boost industrial growth and create thousands of new jobs across India.
