Karnataka quarry, crusher and M-Sand units to shut from September 18 over double royalty

Stone quarries, jelly stone crushers and M-Sand units across Karnataka will remain shut from September 18, with the Karnataka State Stone Mines and Stone Crusher Owners' Federation announcing an indefinite protest against the collection of royalty at two separate stages.

The decision was announced by federation president D. Siddaraju at a press conference. He said the shutdown would continue until the royalty system is corrected.

Under the present arrangement, royalty is levied on quarry or lease holders when minor minerals are extracted. A second deduction is made when the same mineral material is used in works taken up by various government departments. The federation contends that this amounts to charging royalty twice on the same material.

"It is unfair to collect royalty again from mine leaseholders when royalty has already been paid," Mr. Siddaraju said, adding that the sector should not be made to bear an additional financial burden.

The protest is expected to affect construction activity, with the federation stating that supplies of jelly and M-Sand will be stopped for the duration of the shutdown. The body also said it would station teams at check-posts to stop mineral resources from outside Karnataka from entering the state.

Along with the rollback of the two-stage levy, the federation has demanded that the government issue a White Paper detailing the total royalty collected from the stone mining sector so far. It has also sought a comprehensive review of the amendments made to the Karnataka Minor Mineral Concession Rules, 1994.