A significant shift in policy now requires successful bidders to obtain their own environmental clearances.
Over INR 11 Crore Boost: Punjab CM’s New Mining Policy Clears First Phase
The Punjab Government has generated INR 11.61 crore in revenue through its first phase of fresh commercial mining auctions to curb illegal mining and boost the state exchequer. On Sunday, Barinder Kumar Goyal, Minister for Mining and Geology, announced that 29 new sites were put under the hammer through a transparent, competitive online bidding process.
The auctions were conducted during October and November 2025, resulting in 16 successful bids.
Goyal emphasised that these reforms, recently approved by the state cabinet, mark a "decisive break" from previous volume-based systems that often led to revenue losses and non-serious bidders.
Under the amended Punjab Minor Mineral Rules, the government has shifted to price-based bidding with mandatory upfront payments to ensure operator commitment.
A significant shift in policy now requires successful bidders to obtain their own environmental clearances, a responsibility previously held by the government that often caused operational delays.
Additionally, lease tenures have been extended from three to five years to provide better stability.
While 29 sites were covered in Phase I, the minister clarified that nearly 100 additional sites will be auctioned in staggered phases to expand the legal supply of raw materials and further strengthen regulatory clarity across the state.
Source: Times of India
