CAP Welcomes MMDR Amendment Act 2026

CPA Welcomes MMDR Amendment Act, 2026 as a Landmark Reform for Investment and Sustainable Mining

The Coal Producers Association (CPA) warmly welcomes and congratulates the Government of India for the recent amendment to the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act), particularly the provisions aimed at bringing greater clarity and certainty to the taxation of mineral rights. CPA believes that imposition of additional tax burden results into many crucial mining projects slipping into losses and discourage investments in this sector.

CPA believes that a stable, predictable and nationally consistent fiscal framework is essential for attracting long-term investment into the mining sector. The amendment will provide greater confidence to investors by reducing the possibility of additional and uncertain fiscal burdens on mineral rights, thereby improving the viability of mining projects.

This is particularly important for the private mining sector, where investments are capital-intensive, have long gestation periods and require a high degree of regulatory and fiscal certainty. A predictable regime will encourage greater participation in exploration, mine development, advanced mining technologies and sustainable mineral production.

CPA views this reform as an important step towards creating a more investor-friendly, pro-mining and development-oriented policy environment. It will strengthen the competitiveness of India’s mining industry, facilitate faster development of mineral resources and contribute to the country’s objectives of Atmanirbhar Bharat, energy security, industrial growth and economic development.

The reform is also significant from a long-term perspective as India seeks to expand domestic production of coal, critical minerals and other strategic resources while reducing import dependence. Greater investment in the mining sector will have a multiplier effect across manufacturing, infrastructure, power, steel and other mineral-based industries.

CPA congratulates the Hon’ble Prime Minister, the Government of India and the Ministry of Mines for this forward-looking reform and expresses its strong support for continued policy measures that provide regulatory certainty, encourage investment and enable the Indian mining sector to realise its full potential.

“A stable and predictable mineral fiscal regime is fundamental to unlocking long-term investment in India’s mining sector. This reform is a significant step towards building a globally competitive and sustainable mining industry.”
— Coal Producers Association (CPA)