Mining Penalty Rules Raise Enforcement Concerns Amid Pro-Lessee Framework

New mining rules in India raise concerns over enforcement and penalties for violations, as experts and industry stakeholders say they weaken enforcement by capping civil penalties and allowing violations to be settled without inquiry. The rules were notified on July 30 and brought into force on August 1, and the Mines and Minerals (Development and Regulation, MMDR) Amendment Bill received Presidential assent on August 18. The new framework is described as "pro-lessee" and prescribes a defined ceiling or range on civil penalties, departing from the earlier approach of recovering the economic value of illegal extraction.