India launches ₹16,300 Cr Critical Mineral Mission
India approves ₹16,300 Cr Critical Mineral Mission to boost self-reliance, mineral exploration, and green energy transition
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Briefing the media after the Cabinet meeting, information and broadcasting minister Ashwini Vaishnaw said that the mission aims to reduce the dependence on import of critical minerals and ensure self-reliance. “This mission is of Rs 16,300 crore and 24 critical minerals have been identified. The major objectives of this mission are to increase exploration, reduce import dependence, acquire mineral blocks overseas, develop technologies for processing of critical minerals and recycle the minerals".
According to the mines ministry, public sector enterprises are expected to contribute Rs 18,000 crore to the mission, which aims at promoting exploration of critical minerals within the country and at offshore locations. “Critical minerals such as copper, lithium, nickel, cobalt and rare earth are essential raw materials required to fuel the growth of rapidly-growing clean energy technologies and their expanding uses ranging from wind turbines and electricity networks to electric vehicles and battery manufacturing,” the ministry said.
The NCMM will encompass all stages of the value chain, including mineral exploration, mining, beneficiation, processing, and recovery from end-of-life products. The mission will intensify the exploration of critical minerals within the country and in its offshore areas. “It aims to create a fast-track regulatory approval process for critical mineral mining projects. Additionally, the mission will offer financial incentives for critical mineral exploration and promote the recovery of these resources from overburden and tailings,” the release said.
Adopting a whole-of-government approach, the mission will work closely with relevant ministries, PSUs, private companies, and research institutions to achieve its objectives. In a bid to augment the exploration and mining of critical minerals, the government had in 2023 amended the Mines and Minerals (Development and Regulation) Act, 1957. Consequently, 24 blocks of strategic minerals were auctioned.
Further, Geological Survey of India (GSI) has undertaken 368 exploration projects for critical minerals over the past three years, with 195 projects currently underway in 2024-25.
Meanwhile, the Cabinet also approved higher ex-mill price for ethanol derived from C heavy molasses at Rs 57.97 per litre, up by Rs 1.69, for the 2024-25 period ending October 31 this year. The prices for ethanol produced from B heavy molasses and from sugarcane juice/ sugar/ sugar syrup were left unchanged at Rs 60.73 per litre and Rs 65.61 per litre, respectively.
Announcing the decision taken Vaishnaw informed that revision of ethanol procurement price for public sector oil marketing companies (OMCs) for the Ethanol Supply Year (ESY) 2024-25 has been approved. “The government has also advanced the target of 20 per cent ethanol blending in petrol to ethanol by 2025-26 from the earlier target of 2030. As a step in this direction, OMCs plan to achieve 18 per cent blending during the ongoing ESY 2024-25," an official release said.