Ranchi, Aug 13: Jharkhand Chief Minister Hemant Soren has stepped up his opposition to the Mines and Minerals (Development and Regulation) Amendment Bill, 2026, seeking support from the Prime Minister, the President and Leader of Opposition Rahul Gandhi over provisions that, he says, could affect the financial and constitutional rights of mineral-rich states.
In separate communications, Soren has raised concerns over the proposed Section 9D of the legislation, which seeks to restrict the power of state governments to impose taxes, cess or other levies on mineral rights and mineral-bearing lands, subject to conditions prescribed by the Centre.
The Jharkhand government has argued that the provision could significantly alter the existing balance between the Centre and states.The Chief Minister has particularly referred to the Supreme Court’s nine-judge Constitution Bench judgment in the Mineral Area Development Authority (MADA) case, which recognised the power of states to levy taxes on mineral-bearing land under Entry 49 of the State List. Jharkhand subsequently enacted the Jharkhand Mineral Bearing Land Cess Act, 2024, based on this constitutional position.
Soren has argued that the proposed amendment could effectively limit a power that was recognised by the Supreme Court and exercised through state legislation. He has urged that any such change should be examined carefully from the perspective of constitutional principles and Centre-State relations.
The issue also has a major economic dimension for Jharkhand, one of India’s leading mineral-producing states. According to the documents, mining-related receipts form a substantial part of the state’s own non-tax revenue.
The Chief Minister said mineral-related revenues help the state fund development programmes covering infrastructure, healthcare, education, drinking water, rural development and social welfare.Soren also highlighted the social and environmental costs associated with decades of mining in Jharkhand.
He pointed to displacement, loss of traditional livelihoods, environmental degradation and pressure on forests and water resources, particularly affecting mining-impacted communities and tribal populations.In his letter to Rahul Gandhi, Soren sought the Leader of Opposition’s intervention and support in raising the concerns of Jharkhand and other mineral-bearing states.
He emphasised that the issue was not limited to taxation but was connected with cooperative federalism, state autonomy and the equitable sharing of benefits from natural resources.
The Chief Minister also objected to the proposed retrospective effect of the legislation, arguing that it could affect outstanding claims and dues arising under state laws enacted under the constitutional position prevailing at the time.
Soren has maintained that mineral wealth should not be viewed only as an economic resource for national growth, but also in the context of the social and environmental burden borne by the people of mineral-producing regions.
The Jharkhand government has therefore called for a careful reconsideration of the contentious provisions, stressing that the interests of mineral-rich states and mining-affected communities should be taken into account before altering the existing fiscal and constitutional framework.
