Jharkhand to move SC against MMDR law
State Govt puts Rs 1.36 lakh crore claim at stake
The Jharkhand government will approach the Supreme Court against the newly enacted Mines and Minerals (Development and Regulation) Amendment Act, 2026, Finance Minister Radhakrishna Kishore said on Monday, describing the legislation as a “black law” for the state and asserting that the government would continue its fight to recover revenue from mineral resources.
The legislation has come into force after receiving the President’s assent despite strong opposition from Jharkhand. The state government maintains that the amendment has dealt it a double financial blow by effectively extinguishing its long-standing claim of around Rs 1.36 lakh crore against the Centre towards coal royalty and land rent, besides restricting the state’s power to impose a cess on minerals.
Kishore said Chief Minister Hemant Soren had approved the decision to challenge the legislation in the Supreme Court and preparations for filing the case were underway.
“The government will fight this battle on both fronts — before the people and in the Supreme Court,” Kishore said, adding that Jharkhand would not give up its claim over the revenue it believes is legitimately due to it.
He said the amended law expressly bars states from imposing any cess on minerals and also provides that no payment would be made towards earlier dues under such levies. According to the minister, this would cause Jharkhand a loss of around Rs 14,000 crore.
“We had imposed the cess after getting it passed by the Jharkhand Assembly and in accordance with the directions of the Supreme Court. We will recover this loss under all circumstances,” Kishore said.
Taking a broader swipe at the Centre’s mineral policy, the Finance Minister questioned why Jharkhand should bear the social, environmental and infrastructure costs of mining while the Centre takes away the mineral wealth and the resulting revenue.
“The land is ours, the minerals are ours, but the Centre takes the income from them — this cannot continue,” he said.
Kishore pointed out that mining and transportation put pressure on the state’s infrastructure, particularly roads, while mining activity also creates health and environmental concerns for local communities. The state, he said, is left to address these consequences even as mineral revenues largely accrue elsewhere.
The minister said the government would also take the issue to the people and explain what it considers the financial and constitutional implications of the new legislation.
The Centre’s amendment comes against the backdrop of a long-running dispute between Jharkhand and the Union government over mineral revenue, particularly coal royalty, land rent and the state’s attempts to impose additional levies on mineral-bearing activities.
