BHUBANESWAR: Following an appeal from BJD president Naveen Patnaik addressed to BJP MPs concerning the MMDR amendment Bill, Sambalpur MP and former Union minister Dharmendra Pradhan strongly countered the opposition’s stance on the proposed changes. He accused Patnaik of misleading the public by omitting crucial facts.
Pradhan emphasized that the amendment represents a significant advancement, aimed at fostering economic development and enhancing infrastructure in Odisha while safeguarding state revenues, local businesses, and consumers from inflation. He dismissed Patnaik’s claim that Odisha would suffer a loss in mining revenue, asserting that 90 percent of the mining sector’s total revenue would still benefit the state’s finances. He stated, “Odisha will retain auction premiums, royalty, and district mineral foundation (DMF) fund collections under the revised framework.” Pradhan attributed the notable increase in the state’s mining revenues to the Narendra Modi government’s 2015 MMDR reforms, especially the implementation of mandatory e-auctions and higher ad-valorem royalties, contrasting it with the lack of transparency in mining concessions prior to 2014.
In defense of the amendment’s taxation provisions, Pradhan warned that imposing various levies on mineral-rich land could negatively impact mining and manufacturing activities in districts like Keonjhar, Sundargarh, Jharsuguda, Angul, and Jajpur. He explained that such taxes would raise the costs of steel, cement, power, and coal, ultimately affecting consumers. He pointed out that section 9D of the amended legislation establishes a cap on these levies while ensuring the protection of state revenues.
