BJP MLA seeks clarity on Odisha’s gains & losses from MMDR Act

Bhubaneswar: Amid an ongoing political debate over the financial implications of the Mines and Minerals (Development and Regulation) Amendment Act, 2026, a BJP MLA has sought details from the Odisha government on whether the amended law will benefit or adversely affect the state.

Baripada MLA Prakash Soren raised the issue in the Odisha Assembly, asking the state government to clarify the nature and extent of any financial gains or losses arising from the amended MMDR law.

Soren sought details on the estimated financial impact of the legislation and asked what measures the government was taking to safeguard Odisha’s interests if the state stood to lose revenue.

In response, Commerce, Transport, Steel and Mines Minister Bibhuti Bhusan Jena said the government had not yet made any specific assessment of the financial gain or loss to Odisha under the amended provisions.

The minister said the financial impact would be monitored after the necessary rules and regulations related to the amended provisions are framed by the Centre.

Jena said the state government would take necessary steps under existing laws and established procedures to protect Odisha’s mineral resources and revenue interests.

The exchange assumes significance as the Opposition Biju Janata Dal (BJD) has been arguing that the amendment could adversely affect the state’s fiscal interests, while the Centre has maintained that the amendment will not reduce the revenue accruing to states.

The Centre has said states will continue to receive royalty, auction premium, District Mineral Foundation (DMF) payments and their share of GST. According to the Ministry of Mines, around 90% of mining-sector revenue currently accrues to states and this arrangement will continue under the amended law.

Under the 2026 amendment, states cannot impose fresh taxes, cess or other levies on mineral rights or mineral-bearing lands except under conditions or restrictions prescribed by the Central government. The Centre has described the provision as an attempt to establish a more predictable and uniform fiscal framework for the mining sector.

The government also provided data in the Assembly on revenue collected from mining over the past decade.

Raw Figures:

  • 2016-17: Rs 7,328 crore
  • 2017-18: Rs 7,898 crore
  • 2018-19: Rs 13,113 crore
  • 2019-20: Rs 14,115 crore
  • 2020-21: Rs 16,447 crore
  • 2021-22: Rs 55,221 crore
  • 2022-23: Rs 42,188 crore
  • 2023-24: Rs 50,980 crore
  • 2024-25: Rs 46,786 crore
  • 2025-26: Rs 51,127 crore

The government also stated that Rs 23,769 crore had been collected as mining revenue up to September 15 of the current financial year, according to the figures cited in the Assembly.

The data was provided by Mines and Steel Minister Bibhuti Bhusan Jena in a written reply to a question raised by BJD MLA Dhruba Charan Sahoo of Rajnagar.

The latest Assembly exchange has brought the focus back to the question of how the MMDR Amendment Act, 2026 will affect Odisha’s mining-dependent revenue, with the state government saying that a specific financial assessment will be possible after the Centre frames the relevant rules.