Centre allocates Uttarakhand ₹200 crore incentive for mining reforms

The Centre has granted Uttarakhand an incentive of ₹200 crore for its mining reforms, the State government said in an official statement.

“Under the leadership of Chief Minister Shri Pushkar Singh Dhami, the Uttarakhand government has delivered an outstanding performance in mining reforms, securing second position at the national level. In recognition of this remarkable achievement and continuous improvements, the Government of India has awarded Uttarakhand an incentive amount of ₹200 crore,” an official statement said.

It said that major reforms have been implemented in the mining sector, including the e-auction system, satellite-based monitoring, strict compliance mechanisms, curbing illegal mining, and strengthening modern mining surveillance systems.

“The process of mining lot allocation has also been made more transparent. As a result of these reforms, the mining sector has emerged as a major source of revenue for the State government. Mining revenue has witnessed a record increase, rising from ₹300 crore to ₹1,200 crore,” the statement said.

“For its excellent performance in mining reforms, the Ministry of Finance, Government of India, has approved ₹200 crore as special assistance (loan) to Uttarakhand for the financial year 2025–26 under the ‘Special Assistance to States for Capital Investment (SASCI)’ scheme. This amount has been sanctioned to complete reforms related to minor minerals and the State Mining Readiness Index,” the statement added.

Thanking the Centre Uttarakhand Chief Minister Pushkar Singh Dhami said the incentive will strengthen the State’s economy and create new opportunities for local youth.

“I express my gratitude to Prime Minister Narendra Modi and the Government of India for providing Uttarakhand with special incentive assistance for mining reforms. This support will give new momentum to transparency, technological advancement, and sustainable development in the mining sector of Uttarakhand. The State government will utilize this amount to make the mining system more organized, environmentally sensitive, and employment-oriented,” Mr. Dhami said.