District Mineral Foundations
About District Mineral Foundations
- Legal Basis: Created under Section 9(B) of the Mines and Minerals Development and Regulation Amendment Act, 2015 (MMDR Act, 2015).
- Nature: Non-profit trusts set up in districts affected by mining activities.
- Objective: To work for the interest and benefit of persons and areas affected by mining operations.
- Coverage: As of 2023, DMFs have been established in 644 districts across 23 States/UTs.
Funding
- Source: Mining leaseholders contribute a percentage of their royalty payments to DMFs.
- Collection: By August 2023, DMFs had collected ₹82,370.79 crore, of which ₹45,150.21 crore had been utilized.
- Utilization: Funds are spent under the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY), focusing on welfare and development in mining-affected areas.
Key Areas of Expenditure
DMF funds are primarily directed toward:
- Health care: Hospitals, mobile health units, maternal and child health.
- Education: Schools, scholarships, skill development centers.
- Drinking water & sanitation: Safe water supply, toilets, hygiene programs.
- Livelihood & skill development: Training, self-employment schemes.
- Infrastructure: Roads, electrification, housing in mining-affected villages.
Challenges & Criticisms
- Underutilization of funds: Large sums remain unspent in several states.
- Transparency issues: Concerns about fund allocation and monitoring.
- Community participation: Limited involvement of local communities in decision-making.
- Capacity gaps: District administrations often lack expertise to plan and implement projects effectively.
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