Patna: The Bihar Mines and Geology Department has introduced a One-Time Settlement (OTS) scheme for outstanding dues of brick kilns for the 2024-25 brick kiln season, offering a waiver of the interest component if eligible owners pay their outstanding principal dues within the stipulated period.
Mines and Geology Minister Pramod Kumar announced the scheme on Friday, saying it would provide relief to brick kiln owners while helping the government recover pending revenue.
Under the scheme, brick kiln owners will have to deposit the outstanding principal amount, while the interest accumulated on their earlier dues will be waived by the state government.
Rs 316.66 Crore In Outstanding Dues
According to the minister, the total outstanding amount involving brick kiln owners is Rs 316.66 crore. This includes Rs 226.40 crore in royalty dues and Rs 90.26 crore in interest.
Of the total outstanding amount, Rs 27.28 crore has already been recovered by District Mining Officers through certificate proceedings and FIRs. This leaves around Rs 289.38 crore outstanding, including approximately Rs 203 crore in principal dues and Rs 85 crore in interest.
The OTS scheme was approved by the state cabinet following demands from people associated with the brick kiln business for an arrangement allowing them to clear their dues through a one-time payment.
Scheme Valid From September 21 To December 20
The OTS will remain applicable for three months, from September 21 to December 20, 2026.
Brick kiln owners opting for the settlement will have to deposit the applicable outstanding principal amount within this period. Those who fail to make the payment within the stipulated window will continue to be liable for their dues under the earlier system, including the applicable interest.
The minister urged brick kiln owners to use the settlement window to clear their dues and avoid difficulties in restarting their businesses.
The scheme is expected to benefit people associated with around 6,000 brick kilns across Bihar.
Changes In District Mineral Foundation Rules
The department has also approved amendments to the Bihar District Mineral Foundation Rules, bringing changes to the distribution and composition of District Mineral Foundation (DMF) bodies.
Under the DMF system, 2 per cent of the applicable amount is deposited in each district where mineral extraction takes place, including areas where minerals such as stone and sand are excavated.
Following the 2026 amendment, 70 per cent of DMF funds will be spent in the block from where the minerals are extracted, while the remaining 30 per cent will be spent in other blocks of the district.
The earlier allocation ratio was 60:40.
Elected Representatives To Join DMF
Another change provides for the inclusion of elected representatives such as Members of Parliament, Members of the Legislative Assembly and Members of the Legislative Council from the respective districts in the District Mineral Foundation.
The department said their participation is intended to bring greater transparency to the use of DMF funds and support faster implementation of development and welfare-related projects.
Mining Area Auctions Underway
The minister also said that the auction of stone-mining areas in Nawada and Sheikhpura has been completed, while similar auctions in other districts will be taken up as quickly as possible.
Minister of State for Coal and Mines Satish Chandra Dubey is scheduled to visit Bihar on September 22, 2026. Kumar said a meeting with the Geological Survey of India (GSI) would also be held during the visit to discuss work in the state’s mineral sector.
The department said its focus would be on expediting mineral-sector activities and moving forward with mining-related work across Bihar.
