Mining shutdown in Nandyal drains state revenue
Despite the government's promise to lower the charges increased during the YSRC term, the issue remains unresolved and mining activities have been halted in several mines

Kurnool:Miners in Nandyal district have stopped their operations due to high royalty charges, leading to a decline in state revenue.
Despite the government's promise to reduce these charges, the issue remains unresolved, and mining activities have been stalled in about 160 mines. The district, which typically generates an average revenue of ₹200 crore per year, is now facing a 50 per cent decline because of halted mining.
This has affected the lives of around 10,000 people who rely on black stone mining.
Local miners say that the government fixed a uniform royalty for all types of minerals, even though black stone is considered a minor mineral. They argue that the royalty charges are too high for this type of mining, which has led them to stop the operations until the rates are made more affordable.
Nandyal district is rich in minerals like limestone, barite, iron ore, quartz, silica sand, granite etc. The district has mines spread across 13,000 acres. There are 19 limestone mines, 66 black limestone mines, and six metal quarry leases there. In addition, there are 82 large mines and 199 small mines, under the Banaganapalle sector.
Sheshavali Chowdary, a local miner from Dhone, explained that the royalty per metric tonne was increased from `130 to `250 during the YSRC term. He says this has heavily impacted the minor mineral industry, especially with competition from Gujarat stones flooding the market. The black limestone, which is affordable and of good quality, is being overlooked, he said.
After the increase in royalty charges, many miners in the district stopped their operations. Only a few are continuing. Recently, roads minister Janardhan Reddy met protesting miners and took them to minister Kollu Ravindra to discuss possible solutions, but there has been no progress in the talks. Even miners who supported the ruling Telugu Desam say they are frustrated because no reduction in charges has been made by the present government.
One miner, who wished to remain anonymous, said officials are calculating the enhanced royalty along with dues, which is a heavy burden on small and medium miners. The costs now range from `30 lakh to `1 crore, forcing many to halt the mining operations.
Miners noted that only the Telugu states are collecting both royalty and GST, while other states are only charging GST. This double taxation has heavily impacted the minor minerals industry. A senior official remarked that the issue is being considered by the government, and a final decision is likely soon.