Mining, money and federalism: Why Odisha is at the centre of a new Centre-state tussle

In a scathing letter to Odisha MPs, former Chief Minister Naveen Patnaik criticized the Mines and Minerals (Development and Regulation) Amendment Act of 2026, stating it was "a black day for Odisha" and would have "far-reaching implications for the people of Odisha." The Act, passed with minimal discussion in the Lok Sabha, reduces state powers to tax mining lands and introduces a uniform national tax framework for major minerals.

This development is a significant setback for mining states like Odisha, which rely heavily on mining for their economy. The law has also become a political flashpoint, with the ruling Bharatiya Janata Party defending it and the Opposition framing it as an attack on federalism and the state's financial rights.