Executive Summary:
This document is the Government of India's response to Lok Sabha Unstarred Question No. 1748, answered on July 30, 2025, regarding District Mineral Foundation (DMF) funds across the country. It provides data on funds accrued and utilized, addresses the underutilization of funds, clarifies guidelines for sectoral allocation under the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY), and assesses compliance with these guidelines. The data includes state-wise details as of May 2025.
Key Points / Main Content:
* **DMF Funds Status:**
* Total funds collected under DMFs across the country: Rs. 1,09,423 crore.
* Total funds allocated to sanctioned projects: Rs. 91,514 crore (83% of total funds).
* DMF operates as a non-lapsable fund; unspent balances remain available.
* State-wise details of fund collection and allocation are provided in Annexure I.
* **PMKKKY Guidelines:**
* At least 70% of DMF funds must be utilized in high-priority sectors (drinking water, healthcare, education, etc.).
* Up to 30% of DMF funds can be utilized in other priority sectors (physical infrastructure, irrigation and energy, watershed development).
* Eight states have incorporated the PMKKKY guidelines, 2024, in their State DMF Rules.
* **Monitoring and Auditing:**
* The Comptroller and Auditor General (CAG) will audit DMF accounts as per a schedule decided by CAG.
* A State Level Monitoring Committee (SLMC) will be constituted at the state level, chaired by the Chief Secretary, to monitor DMF performance, transparency, audit, and annual reports.
Impact Analysis:
* **State Governments:**
* Impact: Required to incorporate PMKKKY guidelines into DMF rules, monitor DMF performance, and ensure compliance with sectoral allocation norms.
* Action Required: Incorporate PMKKKY guidelines if not already done, establish SLMC, ensure audits are conducted, and monitor fund utilization in priority sectors.
* **District Mineral Foundations (DMFs):**
* Impact: Subject to monitoring and auditing, must adhere to PMKKKY guidelines for fund allocation, and ensure transparency.
* Action Required: Allocate funds according to PMKKKY guidelines (70% to high-priority sectors, up to 30% to other priority sectors), comply with audit requirements, and cooperate with the SLMC.
* **Comptroller and Auditor General (CAG):**
* Impact: Responsible for auditing DMF accounts.
* Action Required: Schedule and conduct audits of DMF accounts.
Key Entities Referenced
District Mineral Foundations: A fund established in districts affected by mining-related operations in India, as mentioned in the policy document.
Maharashtra: A state in India, specifically mentioned in relation to the utilisation of District Mineral Foundations funds.
Pradhan Mantri Khanij Kshetra Kalyan Yojana: A program initiative (PMKKKY) related to the welfare and development of areas affected by mining, with specific guidelines for fund allocation.
G. Kishan Reddy: The Minister of Coal and Mines, responsible for answering the parliamentary question.
Comptroller and Auditor General: An independent authority (CAG) responsible for auditing the accounts of the District Mineral Foundations.
Andhra Pradesh: A state in India listed in Annexure I with details of fund collection and allocation under DMF.
Odisha: A state in India listed in Annexure I with details of fund collection and allocation under DMF.
Chhattisgarh: A state in India listed in Annexure I with details of fund collection and allocation under DMF.
GOVERNMENT OF INDIA
MINISTRY OF MINES
LOK SABHA
UNSTARRED QUESTION No. 1748
ANSWERED ON 30.07.2025
DISTRICT MINERAL FOUNDATIONS FUNDS ACROSS THE COUNTRY
1748. SHRI SHRIRANG APPA CHANDU BARNE:
Will the Minister of MINES be pleased to state:
(a) the total funds accrued in all District Mineral Foundations (DMFs) across the
country till date and the corresponding amount utilised, State-wise particularly in
Maharashtra;
(b) the percentage of unutilised funds and the primary reasons identified for this
significant underutilisation;
(c) whether the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY)
guidelines mandate specific percentages for high-priority sectors (e.g., drinking
water, healthcare, education);
(d) the Governments assessment of compliance with these sectoral allocation
norms, State-wise; and
(e) whether there are instances where funds are being disproportionately
allocated to other sectors and if so, the corrective measures taken/being taken by
the Government?
ANSWER
THE MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) & (b) As per the information available in the Ministry, a total of Rs.1,09,423 crore
has been collected under the DMFs across the country so far, of which Rs.91,514
crore, or 83% of the total funds, has been allocated to various projects sanctioned
under the DMFs. Further, the District Mineral Foundation (DMF) operates as a non-
lapsable fund and unspent balances continue to be part of the cumulative fund
available with each DMF Trust. The State-wise details of the funds collected and
allocated are given at annexure-I.
(c) to (e) PMKKKY guidelines, 2024 mandates that at least 70% of DMF funds be
utilized in high-priority sectors such as drinking water, healthcare, education, etc.and upto 30% of DMF funds be utilized under other-priority Sectors i.e. Physical
Infrastructure, Irrigation and Energy & Watershed Development. Till date, eight
States have incorporated the PMKKKY guidelines, 2024 in their State DMF Rules.
The Guidelines also provides that the account of the DMF shall be audited by the
Comptroller and Auditor General (CAG) as per schedule decided by CAG. Further,
as per the Guidelines, a State Level Monitoring Committee (SLMC) shall be
constituted at the State level under the chairpersonship of the Chief Secretary to
monitor the performance of DMFs and compliance of transparency norms, audit and
annual report of DMFs.
*****Annexure-I
State wise cumulative fund collection and allocation under DMF as of May
2025
(Rs. in Crore)
Sl. No. Name of the State/UT Collection Allocation
1 Andhra Pradesh 2375.05 2281.19
2 Assam 281.53 143.92
3 Bihar 189.38 92.68
4 Chhattisgarh 15402.43 16183.73
5 Goa 239.38 112.50
6 Gujarat 1912.37 1546.43
7 Haryana 91.24 29.06
8 Himachal Pradesh 376.79 207.07
9 Jammu& Kashmir 88.85 49.22
10 Jharkhand 13791.40 10355.41
11 Karnataka 5919.46 4200.14
12 Kerala 111.23 0.00
13 Madhya Pradesh 8604.71 4642.33
14 Maharashtra 6680.41 4919.40
15 Meghalaya 89.18 13.68
16 Odisha 31323.53 27068.00
17 Punjab 276.39 42.05
18 Rajasthan 10833.39 10489.08
19 Tamil Nadu 1657.40 1039.27
20 Telangana 6134.25 6622.52
21 Uttar Pradesh 2376.21 1058.55
22 Uttarakhand 491.63 346.90
23 West Bengal 177.69 70.92
TOTAL 109423.90 91514.05