Why in the News?
Recently, the Mines and Minerals (Development and Regulation) Amendment Act, 2025 was passed by Parliament.
More on the News

- The act amends Mines and Minerals (Development and Regulation) Act, 1957.
- The Act was last amended in 2023 with key provisions like-
- Introduction of a new list of 24 critical and strategic minerals for increasing exploration and production.
- Empowering central government to auction mineral concessions in respect of such minerals &
- Introduction of exploration licence for critical and deep-seated minerals.
- The Act will enhance availability of critical and strategic minerals in India.
Why Critical/Strategic minerals are increasingly becoming important for India?
- Chinese control on Supply chain: China currently controls ~60-70% of rare earth production and 80-90% of global processing capacity.
- Clean Energy Transition and Climate Goals: E.g. Silicon, Tellurium, Indium, and Gallium are used in photovoltaic (PV) cells and rare earth elements such as Dysprosium and Neodymium are used in permanent magnets for wind turbines.
- Electric Mobility: E.g. Lithium, Nickel & Cobalt are key materials used in lithium-ion batteries and advanced energy storage systems and are also crucial for success of National Electric Mobility Mission Plan (NEMMP).
- National Security and Defence Capabilities: Critical minerals support a wide range of military capabilities, from communications and surveillance systems to weaponry and protective gear.
- Securing Digital Sovereignty: Ensuring resilient supply chain is crucial for furthering Digital Economy and technological self-reliance.
- E.g. Silicon forms the basis of microchips whereas cobalt is used to enhance memory and logic devices.
- Accelerating SDG gains: It has potential to attract foreign and domestic investment, create jobs, and boost fiscal revenues, exports, and growth.
- E.g. Chile has used copper revenues to support poverty reduction (SDG 1) & improved health services (SDG 3) (UNDESA).
Key amendments and their significance
Amendment | Details | Significance |
National Mineral Exploration and Development Trust (NMEDT) |
|
|
Inclusion of other minerals in a mining lease |
|
|
Inclusion of contiguous area |
|
|
Establishment of Mineral Exchanges |
|
|
Removal of limit on sale for captive mines |
|
|
Conclusion
India's shift to green energy depends heavily on having access to critical minerals. As the country works to lower its carbon emissions and improve energy security, it's crucial to ensure a reliable supply of these essential minerals.