22 March 2026·PIB

Ministry of Mines to organise National DMF Summit 2026

In this note

1. At a Glance

National DMF Summit 2026 convened by Ministry of Mines on 23–24 March 2026 at SCOPE Convention Centre, New Delhi, themed "Effective Utilization of District Mineral Funds for ADP/ABP Areas" [1].
Spotlights District Mineral Foundations (DMFs) — statutory non-profit trusts in mining-affected districts that channel a share of royalty into local welfare — a recurring Prelims + GS-II/GS-III topic intersecting federalism, tribal welfare and resource governance [1][2].

Ministry of Mines announced the Summit on 22 March 2026 to be inaugurated by Union Minister of Coal & Mines Shri G. Kishan Reddy, with MoS Satish Chandra Dubey and Secretary, Mines, Shri Piyush Goyal [1].
Aim: strengthen inter-governmental coordination and identify policy reforms to align DMF utilisation with Aspirational District Programme (ADP) and Aspirational Block Programme (ABP) areas [1].

DMF concept introduced via MMDR (Amendment) Act, 2015, inserting Section 9B in the MMDR Act, 1957, empowering State Governments to set up DMFs [2].
Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) launched 17 September 2015 as the implementation framework using DMF funds [3].
PMKKKY Guidelines revised on 15 January 2024; States directed to incorporate revisions into their DMF Rules [3].

Parent ministry: Ministry of Mines, Government of India [1].
Statutory base: Section 9B, MMDR Act, 1957 (inserted by 2015 amendment) [2].
Contribution by lessees: 10% of royalty for leases granted on/after 12.01.2015; 30% for leases granted before that date (as per MMDR rules) [2].
Fund split (PMKKKY 2024): ≥70% for High Priority Sectors — drinking water, environment/pollution control, health, education, women & child welfare, aged & differently-abled, skill development, sanitation, housing; remainder for Other Priority Sectors — physical infrastructure, irrigation, energy, watershed development [3].
Coverage: DMFs set up in 644 districts across 23 States [2].
Collections: ~₹1,04,251 crore collected till January 2025; ₹88,483 crore sanctioned for 3.69 lakh projects [2].
Governance: State-framed rules govern DMF composition; representation includes affected gram sabhas, MPs, MLAs (under PMKKKY) [3].

Administrative / Federalism: DMFs are State-constituted trusts but operate under Central guidelines (PMKKKY); Centre revised guidelines in Jan 2024 to enforce uniformity [3]. Tension between State autonomy and Central conditionalities.
Social: Targets mining-affected populations — disproportionately Scheduled Tribes in Schedule V areas (Jharkhand, Odisha, Chhattisgarh); 70% earmark for welfare sectors signals equity orientation [3].
Economic: Converts non-renewable resource rent into human-capital and infrastructure assets in resource-cursed districts; ₹88,483 cr sanctioned for ~3.69 lakh projects implies micro-project intensity [2].
Environmental: PMKKKY mandates pollution control and watershed/environmental restoration components in mining belts [3].
Governance / Transparency: 2024 guidelines mandate online disclosure of project status, beneficiaries, cost, agency, financial/physical progress [3].
Convergence: 2026 Summit explicitly links DMF spending to ADP/ABP flagship targeting (NITI Aayog frameworks) [1].

15 January 2024: Revised PMKKKY Guidelines notified by Ministry of Mines [3].
January 2025: Cumulative DMF collection crosses ₹1.04 lakh crore; ₹88,483 cr sanctioned [2].
22 March 2026: PIB release announcing National DMF Summit 2026 [1].
23–24 March 2026: Summit held at SCOPE Convention Centre, New Delhi [1].

DMFs are constituted under Section 9B of MMDR Act, 1957 (inserted via 2015 amendment) [2].
DMFs are non-profit trusts set up by State Governments, not the Centre [2].
PMKKKY launched in 2015; implemented using DMF funds, not from Consolidated Fund of India [3].
PMKKKY Guidelines revised on 15 January 2024 [3].
Under revised guidelines, at least 70% of DMF funds go to High Priority Sectors [3].
Lessees contribute 10% of royalty (post-Jan 2015 leases) and 30% (pre-Jan 2015 leases) to DMF [2].
DMFs operational in 644 districts of 23 States [2].
Cumulative collection ~₹1.04 lakh crore by Jan 2025 [2].
Nodal ministry: Ministry of Mines (not Ministry of Tribal Affairs or MoEFCC) [1].
National DMF Summit 2026 held 23–24 March 2026 at SCOPE Convention Centre, New Delhi [1].
Summit theme: "Effective Utilization of District Mineral Funds for ADP/ABP Areas" [1].
Inaugurated by G. Kishan Reddy, Union Minister of Coal & Mines [1].

GS-II: Government policies/interventions for vulnerable sections; Centre-State relations in resource governance.
GS-III: Mineral resources; inclusive growth; mobilisation of resources.
Possible stems: 1. "District Mineral Foundations have the potential to transform India's mining-affected districts but suffer from utilisation deficits. Examine in light of recent PMKKKY reforms." 2. "Discuss how convergence of DMF funds with the Aspirational District/Block Programmes can improve outcome-orientation in mining-affected regions." 3. "Section 9B of the MMDR Act represents a fiscal federalism innovation. Critically analyse."

MMDR Act, 1957 & 2015/2021/2023 Amendments — parent legislation for DMF [2].
Aspirational District Programme (ADP) — NITI Aayog targeting framework directly referenced by Summit [1].
Aspirational Block Programme (ABP) — 2023 extension of ADP logic to blocks [1].
PESA Act 1996 & Schedule V — overlapping tribal-area governance in mining belts.
Samerth/Critical Minerals Mission & National Mineral Policy 2019 — mineral governance ecosystem.
Forest Rights Act 2006 — community rights in mining areas.
Mines and Minerals (Auction) Rules, 2015 — royalty mechanics feeding DMF.
CAG reports on DMF utilisation — recurring audit concerns.

Wrong ministry: DMF is under Ministry of Mines, not Tribal Affairs or Rural Development.
DMF vs PMKKKY: DMF is the fund/trust (statutory); PMKKKY is the scheme/guidelines for spending it. They are not synonymous.
DMF not constituted by Centre: Section 9B empowers States to set them up; rules are State-framed.
Contribution rate: 10% (new leases) vs 30% (old leases) — frequently confused with the 70/30 expenditure split.
Year of launch: PMKKKY = 2015 (not 2014 or 2016); DMF statutory basis = 2015 MMDR amendment.