Ministry of Mines
The Offshore Areas Mineral (Development and Regulation) Act, 2002, is a crucial legislation that provides for the development and regulation of mineral resources in India’s territorial waters, continental shelf, exclusive economic zone, and other maritime zones. It establishes a framework for granting operating rights, ensuring safety, and promoting environmental protection in offshore mineral exploration and production. The Act aims to balance the economic potential of offshore minerals with the need for responsible and sustainable practices.
1: Act Background and ministry under which this act is:
The Offshore Areas Mineral (Development and Regulation) Act, 2002, was enacted to provide for the development and regulation of mineral resources in the territorial waters, continental shelf, exclusive economic zone, and other maritime zones of India. This act falls under the purview of the Ministry of Mines, Government of India. It seeks to regulate mineral exploration and production in offshore areas.
2: Enactment date, number of chapters, number of sections:
The Act was enacted on 30th January 2003. It is divided into six chapters and has 38 sections, along with two schedules.
3: Act Governed By:
The Act is primarily governed by the Central Government, which has the authority to issue notifications, make rules, and appoint an administering authority to oversee the implementation of the Act. The Ministry of Mines plays a key role in regulating offshore mineral activities. The Act also involves the Coast Guard and other agencies for enforcement and safety.
4: On Whom it is applicable:
This Act applies to all individuals and entities involved in the exploration, prospecting, mining, and production of minerals in India’s offshore areas. This includes permittees, licensees, lessees, government agencies, and any person or entity involved in offshore mineral activities.
5: Penalties/Punishments:
The Act prescribes penalties for various offenses, including:
-
Undertaking operations without a valid permit, license, or lease.
-
Failure to furnish required data or documents.
-
Violation of safety regulations and environmental norms.
Penalties range from monetary fines to imprisonment, depending on the nature and severity of the offense. The Act also provides for the confiscation of vessels and equipment used in illegal activities.
6: Important Pointers:
-
The Act regulates the grant of operating rights, including reconnaissance permits, exploration licenses, composite licenses, and production leases.
-
It defines key terms related to offshore mineral activities, such as “offshore area,” “mineral,” and “operating right.”
-
It establishes the Central Government’s control over offshore mineral resources.
-
The Act includes provisions for safety, environmental protection, and pollution control in offshore areas.
-
It outlines the procedures for acquiring operating rights through auction and other methods.
-
The Act also addresses issues related to royalty, fixed rent, and contributions towards the International Seabed Authority.
-
It empowers authorities to take action against those who violate its provisions.
7: Act Copy: