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Tata Steel Moves SC Against Jharkhand’s Covid Cess on Minerals

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Tata Steel is learnt to have moved the Supreme Court against the Covid-19 pandemic cess imposed by the Jharkhand government on the mineral-bearing lands in the state.

The Jharkhand government had in July promulgated an ordinance to levy Covid Cess’ on mineral-bearing lands for mitigating the hardships caused by the Covid-19 pandemic.

“Circumstances exist which render it necessary to take immediate action to promulgate an Ordinance to provide the levy of Cess on mineral bearing land for the rehabilitation/employment of labourers/migrant labourers, creating infrastructures in the field of cottage/village industries, MSMEs, creating employment opportunities mitigating the hardships caused due to Loss of jobs, augmenting the existing health infrastructures and for other necessary purposes in the state of Jharkhand arising out of disaster by way of Covid-19 Pandemic,” the notification said.

Jharkhand has promulgated the Jharkhand Mineral Bearing Land (COVID-19 Pandemic) Cess Ordinance 2020.

As per the ordinance, a cess of Rs 10 will be levied on every metric tonne of coal dispatched. The cess on iron ore will be Rs 5 per metric tonne. Cess on bauxite will be Rs 20, Rs 10 on limestone, and Rs 5 on manganese (per metric tonne).

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