Supreme Court lets Karnataka merge mining blocks for auction, forest safeguards intact
The Supreme Court approved Karnataka's plan to combine mining leases of different categories, including untouched forest land, for auction, while insisting that forest mining still requires separate statutory clearance.
A Supreme Court bench consisting of Chief Justice Surya Kant, Justice Joymalya Bagchi and Justice V Mohana ordered that Karnataka may amalgamate mining leases across Categories A, B and C, together with virgin forest land, into larger blocks for auction. The court framed this as a matter of operational rationalisation, conditional on preserving the environmental and other safeguards it has imposed over years of monitoring.
It stressed that virgin forest land retains a distinct status and cannot be mined without prior clearance under the Forest (Conservation) Act, 1980. Existing statutory approvals for the subdivided portions can be transferred to the successful bidder under Section 8B of the Mines and Minerals (Development and Regulation) Act, 1957, provided the buyer undertakes not to commence mining in forest areas until all required permits are secured.
The ruling marks a shift from the earlier regime that cancelled Category C leases while allowing Categories A and B to operate under strict conditions. Overall, the decision aims to create more commercially viable mining blocks while maintaining the court’s long-standing environmental oversight.
Why it matters
It could reshape Karnataka's mining sector, enabling larger auctions while ensuring forest protection remains enforced.
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