Minerals – Critical, Atomic and Rare Earth
Context: In a significant move aimed at boosting domestic production of minerals vital for national security and economic growth, the Ministry of Environment, Forest and Climate Change (MoEFCC) has exempted mining projects for atomic, critical, and strategic minerals from the mandatory public consultation process.
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- The government cited “national defence and security requirements and strategic considerations” to justify the exemption under the Environment Impact Assessment (EIA) Notification, 2006.
- While such projects will still undergo a rigorous central-level environmental appraisal, the bypassing of public hearings is seen as a step to fast-track the operationalisation of crucial mineral assets, though it raises concerns about community engagement and environmental oversight.
What are Critical Minerals?
- Critical minerals are those minerals that are essential for economic development and national security, whose supply chains are vulnerable to disruption due to geopolitical issues, geographical concentration of extraction, or market monopolies.
- As defined and listed under the Mines and Minerals (Development and Regulation) (MMDR) Amendment Act, 2023, some of the following Critical and Strategic Minerals are: Lithium, Cobalt, Nickel, Graphite, Rare Earth Elements (REEs) – All 17, etc.
What are Atomic Minerals?
- Atomic minerals are those that contain elements which are radioactive and are primarily used for generating nuclear power, in defence applications (like nuclear submarines), and for medical and scientific research.
- As defined and listed under the MMDR Act, 2023, some of the atomic minerals are: Uranium, Thorium, Lithium-bearing minerals, etc.
Rare Earth Elements (REEs)
These are a set of 17 metallic elements (15 lanthanides + scandium and yttrium) crucial for modern technology. While all REEs are classified as Critical Minerals, those that are radioactive (like Monazite, which contains Thorium) are also classified as Atomic Minerals. This dual classification is why the exemption covers both Part B (Atomic) and Part D (Critical) of the MMDR Act schedule.
Why are they strategically important for India?
These minerals are the building blocks of modern economies and national security. India is heavily dependent on them for several sectors:
- Defence & Aerospace: Used in manufacturing fighter jets, drones, missiles, satellites, sonar systems, and armour plating (e.g., Tungsten, Titanium, REEs).
- Clean Energy Transition: Essential for solar panels, wind turbines, and most critically, batteries for electric vehicles and grid storage (e.g., Lithium, Cobalt, Nickel, Graphite).
- Electronics & IT: Found in semiconductors, displays, smartphones, and computers (e.g., Gallium, Germanium, Indium).
- Nuclear Power Programme: Uranium and Thorium are fuel sources for India’s three-stage nuclear power program, crucial for energy security.
- High-Tech Manufacturing: Used in catalysts, superalloys, permanent magnets, and ceramics for various industrial applications.
What challenges does India face in securing reliable supplies?
- Geopolitical Concentration: A single country, China, dominates the global supply and processing for many critical minerals (e.g., ~90% of REE processing).
- Lack of Domestic Reserves: For many minerals like Lithium and Cobalt, India has negligible known reserves and is almost entirely import-dependent.
- Complex & Lengthy Clearances: Even where reserves exist (like beach sand minerals), projects were delayed for years due to lengthy processes for environmental, forest, and mining clearances, which included public hearings.
- Technological Gap: India lacks advanced technologies for exploration, extraction, and processing of these minerals, which are often found in complex geological formations.
Other Exemptions under EIA Notification
The EIA Notification, 2006 already provides exemptions from public consultation for certain projects. These include:
- Projects concerning national defence and security, Border area projects
- Modernisation of existing irrigation projects,
- All approved projects/activities located within industrial estates or parks
- Expansion of roads and highways that do not involve further acquisition of land.
The latest order places critical and atomic mineral mining in the same category as national defence projects.
What measures have been taken?
- Legal & Policy Framework: The MMDR Amendment Act, 2023 explicitly identified and listed atomic and critical minerals, allowing the central government to auction their mining leases.
- Expediting Clearances: EIA exemption to fast-track mining projects by removing the public consultation hurdle, based on national security grounds.
- Institutional Mechanisms: PARIVESH portal for streamlined online application and tracking of clearances.
- Forest Rule Amendments: The Van (Sanrakshan Evam Samvardhan) Rules, 2023 to create a special category for forest clearance approvals for critical and strategic mineral projects.
- International Partnerships: Mineral Security Partnership (MSP) and bilateral agreements with countries like Australia, Argentina, and Chile to secure offshore supplies and investment in mining assets.