Andhra Pradesh mining revenue jumps by massive 27 per cent during current fiscal

VIJAYAWADA: Mining revenue in the state has registered an impressive 27 percent growth in the current financial year (2025–26), principal secretary of mines Mukesh Kumar Meena said on Thursday.

Speaking at the district collectors’ conference, Meena said the mining sector continues to show steady progress. He noted that the sector’s Gross Value Added (GVA) also recorded a growth of 15.74 percent, increasing from Rs 29,344 crore last year to Rs 33,956 crore this year. Meena said the mines department had set a revenue target of Rs 3,320 crore from both major and minor minerals for the current financial year. By the end of February, the department had already collected Rs 2,654 crore.

When collections from the District Mineral Foundation (DMF), merit amounts and security deposits are included, the overall collections have reached Rs 3,331 crore against the broader target of Rs 4,000 crore. Reviewing district-wise revenue performance and the status of No Objection Certificates (NOCs), Meena advised collectors of districts that recorded less than 80 percent of their revenue targets—Guntur (61%), YSR Kadapa (64%), Annamayya (69%), Chittoor (69%), Nandyal (73%) and Palnadu (74%)—to focus more on improving mining revenue.

He noted that a significant number of applications received under the Minor Mineral Policy–2025, particularly those related to building construction materials and granite leases, are pending for NOCs. “About 1,125 applications of the 1,788 applications received, are yet to be cleared. District collectors should conduct regular reviews and ensure that NOCs are issued within the stipulated timeframe," directed Meena. He said that clearing even 50 percent of the pending applications could generate nearly Rs 100 crore in premium revenue within three months. He also informed that the govt is planning to introduce a ‘Deemed NOC’ system, under which approvals will be granted automatically if the prescribed time limit is not adhered to. The principal secretary also spoke about the auction of new mining blocks and the implementation of the state govt’s Free Sand Policy.

He said 10 major mineral blocks have already been successfully auctioned during the first half of the financial year and the number is expected to reach 20 by the end of this month. He noted that Andhra Pradesh currently ranks among the top four states in the country in mining block auctions.

However, he pointed out that land classification reports required before auctions are pending in Palnadu, Kadapa, Nellore and Vizianagaram districts and asked officials to complete the process and submit the reports within two weeks. He also directed authorities to ensure that there is no shortage of sand anywhere in the state and to curb illegal transportation and sale at higher prices by strengthening monitoring at supply points and check posts.