A panel of the Mines Ministry is to meet on Friday to take a decision on making upward revision in royalty rates of major minerals like iron ore, after they were last hiked in 2009.
According to official sources, a Study Group on Revision of Rates of Royal ty on major minerals which is headed by Special Secretary in the Mines Ministry Gauri Kumar would be meeting secretaries of all mineral-rich states on Friday afternoon to finalise the royalty rates. Once these are finalised in the meeting, the Union Cabinet's approval would be sought, most likely by end of May, 2013, they added.
With almost four years having passed since royalty rates of major minerals including iron ore, Friday's meeting holds significance as states have been clamouring for an upward revision in these rates. Royalty rates are those which the miners have to pay to states for extracting minerals from reserves falling under their jurisdiction.
As reported earlier, the 17-member study group has already submitted a draft report on the revised rates to the ministry, and as per information, around 5 per cent hike has been suggested in royalty rates of iron ore (which currently attracts a royalty of 10 per cent), while increment in case of other minerals are based on domestic prices as well as global rates of various indexes.