How Did Rajasthan Become the Leading State in Major Mineral Block Auctions?

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How Did Rajasthan Become the Leading State in Major Mineral Block Auctions?

Synopsis

Rajasthan's unprecedented success in mineral block auctions marks a pivotal shift in the mining landscape. With over 20% of India's major mineral blocks auctioned in the state, this article explores how Rajasthan is leading with transparency, investment opportunities, and a commitment to responsible mining practices.

Key Takeaways

  • Rajasthan leads India in major mineral block auctions.
  • Over 20% of blocks auctioned in the state.
  • Zero-tolerance policy against illegal mining.
  • Significant increase in royalty revenue.
  • National recognition for transparency and efficiency.

Jaipur, July 24 (NationPress) Rajasthan has marked a remarkable achievement in the mining industry, becoming the leading state in the nation for the auction of major mineral blocks.

As per the auction guidelines issued by the Central government in 2016, a total of 500 major mineral blocks have been allocated across India to date, with an impressive 103 blocks—over 20 percent—assigned to Rajasthan alone.

Notably, 64 of these blocks have been auctioned within the last 18 months during the current administration’s period.

The state government is diligently working to operationalize these blocks to enhance investment, generate revenue, and create employment opportunities.

In alignment with the Chief Minister's vision, the state has enforced a zero-tolerance policy towards illegal mining activities. The Mines Department has established a transparent and efficient system for exploration, block delineation, and timely auctions.

Within three months of the new government taking office, 15 blocks were auctioned through the MSTC portal, followed by a record 34 blocks in 2024-25.

As of July 2025, an additional 15 blocks have been auctioned, with another 12 currently in progress.

Rajasthan has also seen a significant increase in royalty revenue, amassing Rs 9,228 crore in 2024-2025, which is 24 percent higher than the previous year, according to officials.

To expedite the operationalization of auctioned blocks, the Mines Department introduced a coordination platform in July that includes key departments such as Revenue, Forest and Environment, the Indian Bureau of Mines, and the State Environment Impact Assessment Authority (SEIAA).

A Post-Auction Facilitation Cell has been established to simplify the process of obtaining administrative approvals. The department aims to operationalize 10 new mines by November-December of this year.

Rajasthan’s auction model has gained national recognition for its transparency and effectiveness.

In January, the Union Ministry of Mines awarded Rajasthan the top prize for its exceptional performance in mineral block auctions during the Third Conference of State Mining Ministers in Konark, Odisha.

To date, 77 mining leases and 26 composite licenses have been issued, covering various minerals such as limestone (75 blocks), iron ore (11), base metals (5), manganese (3), gold (2), siliceous earth (4), potash (2), and garnet (1).

With these advancements, Rajasthan is rapidly establishing itself as a national frontrunner in responsible and impactful mining governance.

Point of View

Rajasthan's achievement in mineral block auctions exemplifies a model of governance that prioritizes transparency and responsible resource management. This sets a precedent for other states, showcasing how effective policies can lead to significant economic benefits and sustainable practices in the mining sector.
NationPress
26/07/2025

Frequently Asked Questions

What is the significance of Rajasthan's achievement in mineral auctions?
Rajasthan's achievement signifies its leadership in responsible and transparent mining, contributing to economic growth and sustainable practices.
How many mineral blocks have been auctioned in Rajasthan?
Rajasthan has auctioned 103 major mineral blocks, accounting for over 20% of the total blocks auctioned in India.
What measures has the Rajasthan government implemented to combat illegal mining?
The Rajasthan government has adopted a zero-tolerance policy against illegal mining, supported by efficient systems for exploration and block management.
What is the revenue impact of these auctions for Rajasthan?
Rajasthan collected Rs 9,228 crore in royalty revenue in 2024-2025, representing a 24% increase from the previous year.
How does Rajasthan's auction model compare nationally?
Rajasthan's auction model is recognized nationally for its transparency and effectiveness, earning accolades from the Union Ministry of Mines.