After limestone and bauxite guidelines, the state government on Friday announced new guidelines for lignite and manganese for mining and trading of these minerals.
Minister of state for industry and mines, Saurabh Patel, said: "At Vibrant Gujarat Global Investors Summit 2009, the Gujarat Mineral Development Corporation (GMDC), Gujarat Power Corporation, Gujarat Industries Power Corporation Ltd had signed MoUs to establish lignite-based power generation plants. Gujarat State Electricity Generation Corporation Ltd is already running lignite-based power plants. The government has decided to promote production of lignite-based power as it is cheap. It's also necessary that the small and medium industries also get the much-needed supply of lignite.''
According to him, the government has decided to keep lignite reserve of the state for its public sector units (PSUs) and for those plants which are coming up in joint venture. "The government has decided also to make long-term contracts with private companies for mining of limestone where it is available as the overburden of lignite in state. GMDC will also provide the lignite to small & medium units,'' the minister said.
About the new guidelines regarding manganese, Patel said that the manganese bearing area of 1153.44.99 hectare has been reserved for GMDC by the government notification of 01-06-2007. The remaining area may be granted to the captive users in joint venture with GMDC willing to establish unit for producing value-added products like manganese sulphate, manganese oxide, ferro alloys or EMD or any other product by which substantial value addition takes place. "This would not apply for manganese beneficiation plant. The government will give priority to high employment-based units more.''
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