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Kerala CM Challenges Federal Mineral Bill Over State Fiscal Autonomy

Kerala Chief Minister VD Satheesan has formally petitioned Prime Minister Narendra Modi to reconsider the Mines and Minerals (Development and Regulation) Amendment Bill, warning that the legislation threatens to erode the constitutional and fiscal authority currently held by individual states regarding their natural resources.

Kerala CM Challenges Federal Mineral Bill Over State Fiscal Autonomy

The core of the dispute centers on Section 9D of the proposed bill. Satheesan contends that this provision grants the Central Government excessive oversight over the taxation of mineral-rich lands, effectively sidelining the rights of states to levy their own charges. By centralizing control, the bill risks nullifying established state tax obligations and undermining the autonomy of local self-governments.

For Kerala, which maintains significant mineral deposits, the consequences of these amendments are primarily financial. The Chief Minister emphasized that stripping the state of its authority to manage revenue streams from these resources will jeopardize local funding and broader economic stability. He has requested urgent intervention from the Prime Minister to protect these regional interests against federal overreach.

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