The Industries and Commerce Department, Ladakh on June 18, 2026, issued the Ladakh District Mineral Foundation (Trust) Rules, 2026.
They shall apply to all minerals as specified in the Part A, Part B, Part C of the First Schedule and the Fourth Schedule of the Mines and Minerals (Development and Regulation) Act, 1957 and any other minerals which the Central Government may by notification in the Official Gazette notify.
They shall apply to all the minor minerals as duly notified under Jammu and Kashmir Minor Mineral Concession, Storage, Transportation of Minerals and Prevention of Illegal Mining Rules,2016,notified vide SRO-105, dated 31st March and amended vide SRO-135,dated:22nd march,2017, SRO-267,Dated:-3rd July,2017, notified in the official gazette of State Government of J&K which is applicable in the UT of Ladakh under J&K Reorganization (Removal of Difficulties ) Order 2019.
The objective of the District Mineral Foundation (DMF) is to work for the welfare and benefit of persons and areas affected by mining activities. It focuses on implementing development and welfare programs in such areas in line with the PMKKKY guidelines, while complementing existing government schemes. The DMF also aims to mitigate the environmental, health, and socio-economic impacts of mining and ensure sustainable livelihoods for affected communities. Additionally, it provides for the establishment of District Mineral Offices and related infrastructure.
The DMF is structured as a registered trust comprising three main bodies: the Governing Council, Managing Committee, and UT Level Monitoring Committee. The Governing Council, headed by the District Magistrate/Deputy Commissioner, is responsible for approving plans, budgets, and reports, and holds the final authority over fund utilization. It meets at least twice a year.
The Managing Committee, consisting of district-level officials, is responsible for preparing annual plans, executing approved projects, managing funds, identifying affected areas and people, and monitoring implementation. It ensures proper utilization of funds and meets at least once every quarter.
Funds for the DMF are collected from mining lease holders as a percentage of royalty, varying based on the date and type of lease (generally 10% or 30%). Contributions also apply to minor minerals and permits under specified conditions.
The UT Level Monitoring Committee, headed by the Chief Secretary, oversees the performance, transparency, and compliance of DMFs. It ensures proper monitoring, audits, and reporting mechanisms.
Affected areas are categorized as directly and indirectly affected. Directly affected areas include regions within or near mining zones (up to 15 km), displaced communities, and those dependent on mining resources. Indirectly affected areas include regions facing environmental, social, or economic impacts such as pollution, resource depletion, and infrastructure burden due to mining activities.
[Notification No. S.O. 207]
