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Jharkhand HC mandates environmental clearances, DMFT payment for brick kilns

Jharkhand HC Upholds Cancellation of Stone Mining Lease Over Royalty Dues

Jharkhand Story by Jharkhand Story
19 January 2026
in Breaking, Judiciary
Jharkhand HC
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THE JHARKHAND STORY NETWORK

Ranchi, January 19: The Jharkhand High Court has delivered two significant rulings reinforcing strict compliance with environmental and mining laws, refusing relief to both brick kiln operators and a stone mining leaseholder in separate cases.

Environmental clearance mandatory for brick kilns

In a major setback to brick kiln operators, a division bench of Justice Sujit Narayan Prasad and Justice Arun Kumar Rai ruled that it is mandatory to obtain environmental clearance and Consent to Operate (CTO) from the Jharkhand State Pollution Control Board for soil extraction used in brick manufacturing. The court also directed that brick kiln operators must deposit a stipulated share in the District Mineral Foundation Trust (DMFT).

Dismissing petitions filed by brick kiln owners from various districts, including East Singhbhum, the court held that the soil used for brick making falls under the category of ‘minor minerals’, making the Jharkhand Minor Mineral Concession Rules, 2004 fully applicable.

The bench observed that brick manufacturing begins with soil excavation and that soil extraction and brick production cannot be treated as separate activities. Large-scale soil excavation, the court noted, adversely impacts land, water, and air.

Soil declared minor mineral, DMFT contribution justified

The court clarified that the Central Government has already classified soil used in brick manufacturing as a minor mineral, bringing its extraction under mining and environmental regulations. Since mineral extraction affects the environment and local communities, the DMFT was created to compensate for such impacts, and brick kiln operators cannot be exempted from contributing to the fund.

HC upholds premature cancellation of stone mining lease

In a separate ruling, the same division bench upheld the premature cancellation of a stone mining lease in Chaparwar mouza of Palamu district, dismissing a petition filed by leaseholder Anand Kumar Singh.

The lease, granted in 2014 for a period of 10 years, was cancelled following allegations of non-payment of mining royalty between 2016 and 2019. Although the petitioner had obtained environmental clearance and Pollution Control Board permission, the District Mining Officer issued a 30-day notice, which was not complied with.

Non-payment of royalty a serious violation: HC

Rejecting the petitioner’s claim of procedural lapses, the High Court held that non-payment of royalty was an admitted fact and that the Deputy Commissioner was empowered under the rules to cancel the lease. The bench observed that remanding the matter would be a mere formality and that principles of natural justice cannot be invoked to shield an admitted violation. The court also upheld the rejection of the revision petition by the Mines Commissioner.

Clear message on mining regulation

Through both judgments, the Jharkhand High Court sent a clear message that statutory clearances, royalty payments, and environmental safeguards are non-negotiable, whether in brick manufacturing or stone mining. The court upheld the actions of the state authorities and dismissed both petitions as without merit.

 

 

 

Tags: brick kiln environmental clearanceConsent to Operate CTO JharkhandDMFT payment brick kilnsenvironmental clearance mining JharkhandJharkhand High Court mining rulingJharkhand mining lawsJharkhand Minor Mineral Concession Rules 2004non-payment of royalty miningPalamu mining lease casesoil as minor mineralstone mining lease cancellation
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