District Mineral Foundation
Also called: DMF · Topic: Mineral Resources of India: Distribution and Conservation · NCERT: Beyond NCERT
Meaning
A District Mineral Foundation (DMF) is a trust set up in every mining district by the MMDR Amendment Act 2015. Mining companies pay part of their royalty into it. Royalty is the fee a miner pays the government for the minerals it takes. The rate is 30% of royalty for leases granted before 2015 and 10% for leases won at auction. The money must be spent on people and areas hurt by mining, under the PM Khanij Kshetra Kalyan Yojana (2015, revised 2024).
Example
Districts in the Chhotanagpur plateau of Jharkhand are rich in minerals but poor in income, and they receive DMF money. Critics say the funds often sit unspent or go to projects far from the mines (verify current).
Don't confuse with
- National Mineral Exploration Trust: this was also set up in 2015, but it funds the search for new minerals, not the welfare of people affected by mining.