‘Restricts states’ power’: Karnataka urges PM Modi to withdraw Mines and Minerals Bill
The Karnataka government has formally protested against the Mines and Minerals (Development and Regulation) Amendment Bill, 2026, and called on Prime Minister Narendra Modi to withdraw the legislation, claiming it strips states of their revenue from mineral extraction taxes, cesses, and other levies. Deputy Chief Minister and Revenue Minister G Parameshwara expressed fears that the Bill infringes upon the federal fiscal powers and the autonomy of mineral-producing states, contradicting the Constitution's allocation of these financial responsibilities to the states.
The amendment, which passed both houses of Parliament, seeks to prevent states from imposing specific levies on mineral rights and mineral-bearing lands, except under conditions prescribed by the Centre. Parameshwara warned that this legislation undermines the Indian federal structure and centralizes regulation at the expense of state fiscal autonomy.
He referred to a Supreme Court ruling that affirmed states' rights to levy taxes on minerals, whose decision Karnataka codified in the Mineral Rights and Mineral Bearing Land Tax Bill, 2024. The Premier urged Modi to withdraw the Bill, initiate consultations with mineral-rich states, and devise a national framework that balances investment security with state fiscal autonomy.
Written by urgent.news from The Indian Express's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
