"The main aim of Andhra Pradesh State Mineral Policy is to serve as a guiding force to translate the State's mineral potential into reality with eco-friendly and sustainable mining." Discuss.
In short
The Andhra Pradesh State Mineral Policy seeks to turn the state's barytes and limestone wealth into growth through transparent auctions, DMF, NMET, MERIT and mandatory mining and environmental management plans. Its record is mixed: receipts were ₹2,983 crore in 2025-26 against a ₹3,550 crore estimate, and reclamation remains weak.
Model answer
Ghissu Editorial · Verified 4 Oct 2026 · 259 words
Regulatory Bodies
The policy integrates District Mineral Foundation2 (DMF), National Mineral Exploration Trust (NMET), and Mineral Exploration Research and Innovation Trust (MERIT) to ensure community benefits and promote exploration innovation.
Oversight Mechanisms
The State Coordination cum Empowered Committee and Public Accounts Committee monitor governance, addressing issues like revenue shortfalls and data inconsistencies highlighted by audits.
Legal Compliance
Supreme Court directions on illegal mining and environmental clearances are institutionalized, mandating approved mining and environmental plans.
Transparency Reforms
Transparent auctions aim to reduce corruption and illegal mining, addressing revenue shortfalls up to 52% between 2017-22.
Revenue Shortfalls
Andhra Pradesh’s mineral revenue was ₹2,983 crore in 2025-26 against ₹3,550 crore estimates, reflecting enforcement challenges (Andhra Pradesh Budget3 Analysis 2026-27, PRS India).
Revenue Monitoring
Advanced digital tracking and audits can reduce leakages and improve royalty compliance.
Community Engagement
Expanding DMF’s role ensures equitable benefit sharing and social impact mitigation.
Enhance Environmental Management
Investing in training and resources for local authorities and mining companies will improve reclamation and restoration efforts.
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This chapter in the exam
Resource mobilization in Andhra Pradesh20 questions
Asked in 8 of 8 sittings since 2008
Most tested: Andhra Pradesh’s revenue sources, central transfers, and resource allocation/resource gap after bifurcation.
- 2025Explain the major sources of budgetary resources for Andhra Pradesh. What are the key challenges the state faces in mobilising adequate financial resources?
- 2023Briefly discuss the impact of bifurcation on the economy of Andhra Pradesh with respect to sectoral changes and resource gap. Provide a brief note on the steps taken by the Government of Andhra Pradesh to mobilize resources.
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Question from the official APPSC Group-I Mains 2017 paper. Answer written by Ghissu's engine and checked against our editorial standards. Found an error? Tell us and we correct it within 48 hours.