{"id":41224,"date":"2025-04-15T19:14:22","date_gmt":"2025-04-15T13:44:22","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=41224"},"modified":"2025-04-15T19:14:41","modified_gmt":"2025-04-15T13:44:41","slug":"program-management-unit-dmf-efficiency","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/15-04-2025\/program-management-unit-dmf-efficiency","title":{"rendered":"Program Management Unit to Improve Efficiency of DMF"},"content":{"rendered":"\n<p><strong>Syllabus: GS2\/ Governance, GS3\/ Economy<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>In Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <strong>Ministry of Mines <\/strong>announced the setting up of a <strong>Program Management Unit (PMU) <\/strong>to improve the efficiency of the<strong> District Mineral Foundation (DMF) <\/strong>and ensure smooth implementation of the <strong>Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY).<\/strong>\n<ul class=\"wp-block-list\">\n<li>PMU will facilitate coordination between Centre, States, and DMF districts.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is District Mineral Foundation (DMF)?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Legal Provision: <\/strong>Constituted under Section 9B of the Mines and Minerals (Development and Regulation) (MMDR) Act 1957 (amended in 2015).<\/li>\n\n\n\n<li><strong>Nature:<\/strong> A non-profit trust set up in mining-affected districts.<\/li>\n\n\n\n<li><strong>Objective: <\/strong>To work for the interest and benefit of persons and areas affected by mining-related activities.<\/li>\n\n\n\n<li><strong>Status: <\/strong>DMFs have been established in 645 districts across 23 States.<\/li>\n\n\n\n<li><strong>Funding:<\/strong> Contribution by Mining Lease Holders:\n<ul class=\"wp-block-list\">\n<li>30% of royalty for leases granted after 2015.<\/li>\n\n\n\n<li>Funds are deposited at the <strong>district level and not transferred to the Consolidated Fund of India.<\/strong><\/li>\n\n\n\n<li>The amount collected is meant for <strong>area-based development, not for general infrastructure.<\/strong><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Fund Utilization Guidelines (via PMKKKY)<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>About: <\/strong>The Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) was launched in 2015 and revised in 2024 to guide the use of DMF funds for Aspirational Districts and Blocks Programme.<\/li>\n\n\n\n<li><strong>Purpose: <\/strong>To minimize the negative impacts of mining and provide sustainable livelihoods to affected people.<\/li>\n\n\n\n<li><strong>Fund Allocation: <\/strong>70% of funds must be used for high-priority sectors like drinking water, healthcare, education, women &amp; children welfare.\n<ul class=\"wp-block-list\">\n<li>30% of funds may be used for supporting infrastructure like roads, bridges, and electricity.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Significance of DMF-PMKKKY Model<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Strategic Fund Utilization: <\/strong>It ensures mining funds (DMF) are used in a planned way for local development based on PMKKKY guidelines.<\/li>\n\n\n\n<li><strong>Community Welfare Focus: <\/strong>It prioritizes improving the lives and well-being of communities affected by mining activities.<\/li>\n\n\n\n<li><strong>Enhanced Governance: <\/strong>It promotes transparency and accountability in how mining revenues are managed and spent locally.<\/li>\n\n\n\n<li><strong>Sustainable Development Aim:<\/strong> It encourages a balance between mining and long-term socio-economic and environmental well-being.<\/li>\n\n\n\n<li><strong>Grassroot Governance:<\/strong> Provides a template for <strong>community-led planning and bottom-up governance.<\/strong><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Concerns\u00a0<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Unspent Funds: <\/strong>A significant share of collected funds remains unused due to weak administrative capacity and poor project execution.<\/li>\n\n\n\n<li><strong>Misallocation: <\/strong>Funds are often spent on general infrastructure projects (like roads and administrative buildings) instead of core welfare areas.<\/li>\n\n\n\n<li><strong>Governance Issues: <\/strong>DMFs often function under the district collector\u2019s control, with minimal involvement of local communities.<\/li>\n\n\n\n<li><strong>Poor Planning:<\/strong> No structured Annual Action Plans.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Way Forward<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Empower Gram Sabhas and local communities<\/strong> in decision-making.<\/li>\n\n\n\n<li><strong>Enforce third-party audits<\/strong> and social audits for transparency.<\/li>\n\n\n\n<li><strong>Build capacity of district-level institutions<\/strong> for better fund utilization.<\/li>\n\n\n\n<li><strong>Mandate Annual Development Plans <\/strong>based on local needs and baseline data.<\/li>\n<\/ul>\n\n\n\n<p><strong>Source: ET<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<h3><strong>In Context<\/strong><\/h3>\n<li class=\"ms-5\">The Ministry of Mines announced the setting up of a Program Management Unit (PMU) to improve the efficiency of the District Mineral Foundation (DMF) and ensure smooth implementation of the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY).<\/li>\n<p><\/p>\n<h3><strong>What is District Mineral Foundation (DMF)?<\/strong><\/h3>\n<li class=\"ms-5\">Legal Provision: Constituted under Section 9B of the Mines and Minerals (Development and Regulation) (MMDR) Act 1957 (amended in 2015).<\/li>\n<li class=\"ms-5\">Nature: A non-profit trust set up in mining-affected districts.<\/li>\n<p><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/15-04-2025\/program-management-unit-dmf-efficiency\" class=\"btn btn-primary btn-sm float-end\">Read More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-41224","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/41224","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=41224"}],"version-history":[{"count":2,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/41224\/revisions"}],"predecessor-version":[{"id":41249,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/41224\/revisions\/41249"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=41224"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=41224"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=41224"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}