District Mineral Foundation (DMF) scheme
As per the Mine and Minerals Development Regulation (Amendment) Act, 2015, in every district affected by mining-related operations, the state government shall, by notification, establish a trust as a non-profit body to be called the District Mineral Foundation.
DMF Funds
Funds every mining lease holder of will pay a fraction of royalty, not exceeding one-third of the royalty, to the DMF as per rates prescribed by Central Government.
This fund will be used for welfare of the people affected in the mining affected areas.
Objective
The idea behind the contribution is that local mining-affected communities, mostly tribal and among the poorest in the country, also have the right to benefit from natural resources extracted from where they live.
Functioning
The functioning of the DMF trusts and the fund use governed by states’ DMF Rules incorporate the mandates of a central guideline, Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY)
DMF's Role in Promoting Inclusive Development and Economic Growth
DMFs have funded around 3 lakh projects across 645 districts, enhancing infrastructure and community welfare in mining regions.
Initiatives include empowering women through self-help groups, training youth in new technologies, and supporting local entrepreneurs and athletes.
By leveraging mineral wealth, DMFs contribute to regional economic growth and improve socio-economic indicators in mining-affected areas
Way Forward
Utilize the National DMF Portal for better transparency and management of funds.
Develop and implement standardized procedures while respecting local contexts to improve project outcomes.
Align DMF activities with central and State schemes to maximize impact and support broader development goals.
Promote long-term planning and sustainability in project implementation to ensure lasting benefits for mining communities.
COMMENTS