Uttarakhand Mining Reforms Receive Rs 200 Crore Central Government Assistance
Uttarakhand has received Rs 200 crore in special assistance from the Central Government to drive reforms in the state’s mining sector. Allocated under the “Scheme for Special Assistance to States for Capital Investment (SASCI)” for 2025–26, the funds will support initiatives to modernise minor mineral operations, improve transparency, and enhance the State Mining Readiness Index. Officials plan to use the investment to make mining more sustainable, technologically advanced, and employment-oriented for local communities.
The funding comes following a proposal submitted by the Uttarakhand government and recommendations from the Ministry of Mines. Chief Minister Pushkar Singh Dhami expressed gratitude to Prime Minister Narendra Modi and the central authorities, noting that the assistance will provide new momentum for modernising operations, integrating technology, and promoting environmentally conscious mining practices. “This initiative will make mining operations more organised and sustainable while generating employment opportunities for local youth,” Dhami said.The Rs 200 crore package will enable the state to adopt advanced mining technologies, strengthen monitoring mechanisms, and streamline regulatory compliance. Experts emphasise that such reforms are critical for balancing economic development with environmental responsibility. By implementing transparent processes and modern systems, Uttarakhand aims to attract investment while improving governance standards across the mining sector.
In parallel, the state government is aligning its initiatives with broader development programmes. Chief Secretary Anand Bardhan recently reviewed flagship schemes under the State version of PM Pragati, directing monthly review meetings to monitor progress on key central and state initiatives. Bardhan also instructed the rapid establishment of ICT laboratories, smart classrooms, and libraries in schools identified under the PM SHRI scheme, ensuring all processes, including EFC/DFC approvals, are completed by March 2026.Industry analysts note that the central assistance could serve as a model for other states aiming to modernise and regulate mining while promoting sustainable development. By combining technology adoption, regulatory reforms, and environmental safeguards, Uttarakhand is positioning itself as a leader in responsible resource management.
The government’s approach underscores the importance of inclusive growth, ensuring that mining reforms benefit local communities through employment, skill development, and economic participation. As Uttarakhand implements these measures, the mining sector is expected to become more organised, efficient, and environmentally sensitive, reflecting the broader goal of fostering sustainable urban-industrial systems that support India’s climate and economic objectives.
