Karnataka Quarry Owners to Protest at Freedom Park Against OTS Scheme

Members of the Federation of Karnataka State Quarries and Stone Crushers Owners' Association (FKQSCOA) will stage a protest at Freedom Park in Bengaluru on Thursday, demanding the withdrawal of the state government's one-time settlement (OTS) scheme and an end to alleged excessive penalties imposed by the Mines and Geology Department.

Federation president D Siddaraju stated that quarry owners are not opposed to the recovery of outstanding royalty dues, but they object to the OTS framework. He described the OTS scheme as unscientific and harmful to quarry operators, adding that it is unfair for authorities to impose heavy penalties alongside dues collection.

Federation vice-president Panchami Srinivas BN alleged that quarry operators are facing a dual policy on royalty payments. He explained that government departments, including the Public Works Department, already deduct royalty from payments made to quarry owners and construction material suppliers, such as jelly stone providers.

Srinivas noted that the authorities appointed the Karnataka State Remote Sensing Applications Centre (KSRSAC) to prepare reports on royalty arrears. Following these reports, notices demanding lakhs of rupees in arrears were issued to quarry owners. He questioned why the Mines and Geology authorities are collecting royalties a second time.

According to Srinivas, the royalty on jelly stones has grown from Rs 10 per tonne in 2008 to Rs 123 per tonne at present. This current rate includes Rs 80 as royalty, Rs 32 as an additional payment, and an additional Rs 8 per tonne collected for the District Mineral Foundation.

CS Bhaskar, general secretary of the FKQSCOA, stated that the OTS scheme particularly disadvantages operators who leased quarries in recent years. He pointed out that around 50 percent of quarries were leased a few years ago, yet the OTS scheme requires current leaseholders to pay penalties accumulated since the beginning of quarrying operations.

According to the federation, approximately 5,000 quarries and 3,000 stone crushing units operate across Karnataka, providing livelihoods to an estimated 45 lakh people.