"PMKKKY Channels DMF Funds to Mining-Affected Districts"
District Mineral Foundation (DMF)
District-level trust for welfare of mining-affected persons/area.
Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY)
Scheme to channel DMF funds into local development.
Mineral extraction yields national revenue but concentrates environmental and social costs in host districts. The statutory response creates a local compensation and development mechanism that keeps benefits within mining areas. The framework for this is the District Mineral Foundation (DMF), introduced through the 2015 amendment to the Mines and Minerals (Development and Regulation) Act, 1957 and implemented under state rules. The flagship scheme that operationalises DMF spending is the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY), launched in 2015, which channels DMF funds into welfare and development projects in mining-affected areas.
DMFs are district-level non-profit trusts administered under the relevant State Government. Funding arises from statutory contributions by mining leaseholders calculated as a percentage of royalty collections. States frame DMF rules consistent with constitutional safeguards for Scheduled and Tribal Areas, and central guidelines set the broad planning and sectoral priorities. The DMF–PMKKKY architecture thus combines a statutory funding stream with a scheme-level planning framework to ensure mining districts receive dedicated development resources.
Legal and institutional design: The DMF is a statutory trust with a defined object: to work for persons and areas affected by mining operations. The statutory anchor is the MMDR Act, 1957 as amended in 2015, which requires states to provide for DMFs in their rules. Operational authority lies with the State Government, but funds are district-based and spent on projects identified locally. This design preserves local targeting while retaining state oversight of governance and audit.
Funding mechanics and normative rules: DMF resources come from a fixed share of royalty paid by leaseholders. The contribution rules distinguish leases by grant-date: 10% of royalty for leases granted on or after 12.01.2015 and 30% of royalty for leases granted before that date. …
What is/are the purpose/purposes of 'District Mineral Foundations' in India?
1.Promoting mineral exploration activities in mineral-rich districts
2.Protecting the interests of the persons affected by mining operations
3.Authorizing State Governments to issue licences for mineral exploration
Select the correct answer using the code given below.
Consider the following statements about contributions to the District Mineral Foundation (DMF):
1.A contribution of 10% of royalty applies to mining leases granted on or after 12.01.2015.
2.A contribution of 30% of royalty applies to mining leases granted before 12.01.2015.
Which of the statements given above is/are correct?
Which of the following are specified uses that must receive at least 70% of DMF/PMKKKY funds?
Which of the following statements about District Mineral Foundations (DMFs) is/are correct?
1.DMFs are statutory trusts created under the MMDR Act after the 2015 amendment.
2.DMFs are administered and regulated directly by the Central Government.
3.DMF funds may be used for welfare of women and children.
Select the correct answer code.
Which of the following is a stated objective of PMKKKY?
Match the following sectors with their PMKKKY priority category:
A.Environment preservation and pollution control
B.Physical infrastructure
C.Skill development and livelihood generation
D.Irrigation
1.High-priority sector
2.Other-priority sector
Want the full note, Prelims Facts & MCQ answers?
Create a free account — takes less than a minute.
Create free account