In a strongly worded letter that underscores deepening Centre-State tensions, Odisha Leader of Opposition and Biju Janata Dal (BJD) president Naveen Patnaik has written to Chief Minister Mohan Charan Majhi, expressing “grave concern” over the recent passage of The Mines and Minerals (Development and Regulation) Amendment Bill, 2026 by Parliament.
Patnaik, who heads the principal opposition party in the state, has accused the Union government of dealing a “heavy blow to federalism and state revenue autonomy,” warning that the legislation poses a direct threat to Odisha’s fiscal independence and constitutional control over its vast natural resources.
With grave concern, I bring to the attention of Hon’ble Chief Minister Shri @MohanMOdisha ji about the recent passage of the Mines and Minerals (Development and Regulation) Amendment Bill, 2026 by Parliament. This legislation poses a serious threat to #Odisha‘s fiscal autonomy… pic.twitter.com/eOJ5zVFgRI
— Naveen Patnaik (@Naveen_Odisha) August 14, 2026
The two-page missive, dated August 14 and numbered No. 267/LOP, highlights that BJD Members of Parliament had already raised strong objections in the Rajya Sabha. Patnaik argues the Bill will “disproportionately impact mineral-rich states like Odisha,” resulting in “massive revenue losses” and stifling the state’s developmental priorities in healthcare, education, social welfare, and infrastructure.
Three specific provisions have drawn his sharpest criticism:
- The expansion of Union control under Section 2 to include “mineral bearing lands” alongside the regulation of mines, which he terms an “encroachment of State Land and Fiscal Jurisdiction.”
- Section 9D, which “explicitly prohibits State Governments from levying any tax, cess, or similar levy on mineral rights or mineral-bearing lands… except under conditions imposed by the Central Government.”
- The amendment to Section 13, which grants the Centre “sole authority to frame rules restricting states’ power to levy taxes on minerals.”
“Odisha’s natural wealth belongs to her people,” Patnaik writes, emphasising that mining revenues are critical for funding essential public services. Stripping the state of its power to impose taxes and cesses on its own mineral-bearing lands, he contends, leaves Odisha with “only pollution, displacement and burden of mining,” while the benefits are appropriated elsewhere.
Calling the issue one that “transcends political affiliations,” the former Chief Minister has urged Majhi to take two immediate steps:
- Convene an All-Party Meeting to build unified consensus on safeguarding Odisha’s federal rights and mineral revenues.
- Summon a Special Session of the Odisha Legislative Assembly to pass a unanimous resolution opposing the Amendment Act and protesting the “Union Government’s usurpation of state powers.”
Patnaik frames the Bill as a retrogressive move that undermines cooperative federalism and strikes at the foundation of the Centre-State relationship. “Fiscal autonomy is a constitutional principle built into our federal system,” he asserts.
The letter ends on a note of urgency: “I hope you will act swiftly in the paramount interest of the people of Odisha.”
As of now, there has been no official response from the Chief Minister’s office. The missive is expected to intensify political debate in the state, with the opposition pressing for a bipartisan stand against what it describes as an assault on Odisha’s economic future.
