Patna: The Bihar government has announced that companies that surrendered sand mining leases in the state will be barred from participating in future tenders, Deputy Chief Minister Vijay Kumar Sinha said on Thursday. The decision comes after 78 companies returned leases for sand mining ghats, citing heavy financial losses.
Addressing a press conference in Patna to highlight the achievements of the mines and geology department during the first 100 days of the state government, Sinha said the companies had surrendered leases for 78 sand ghats, resulting in an estimated revenue loss of around Rs 700 crore for the state. He added that these firms would not be allowed to participate in fresh tenders, even if they attempt to bid under new company names.
“We are going to change our policy to blacklist these companies,” Sinha said. According to the minister, many companies had placed excessively high bids to secure mining leases in an attempt to make quick profits through illegal mining. However, strict enforcement by the department against illegal extraction and overloading prevented such activities, prompting several firms to surrender their leases.
The minister said the government would identify the companies and individuals involved and initiate further action, including the seizure of their security deposits. The department has also intensified monitoring and enforcement efforts to curb illegal mining across the state.
As part of its crackdown, the department has launched the “Bihari Yoddha Purashkar” initiative to encourage public participation in reporting illegal mining and transportation. Under the scheme, Sinha transferred Rs 3,70,000 to 71 informants who provided actionable information. Individuals reporting illegal mining or transportation by tractors receive Rs 5,000, while those reporting violations involving trucks are rewarded with Rs 10,000.
The initiative, launched by Chief Minister Nitish Kumar, aims to strengthen public involvement in preventing illegal mining and overloading. Sinha said the informants, whose identities are kept confidential for safety reasons, have played a significant role in controlling illegal mining activities in Bihar.
The department has also recorded steady growth in revenue from the mining sector. According to Sinha, revenue collection increased from Rs 1600 crore in 2021-22 to Rs 3536 crore in 2024-25. With more than Rs 3000 crore already collected by February 2026, the government expects to meet its annual target of Rs 3800 crore by the end of March.
To further regulate mineral transportation, the state government has made it mandatory for vehicles entering Bihar from other states with minor minerals such as sand, stones, stone chips, morrum and stone dust to obtain a transit pass. The vehicles will be digitally monitored through an integrated system to ensure transparency and prevent illegal transportation.
Authorities are also installing CCTV cameras at border checkpoints and sand mining sites to track mineral movement in real time. The minister warned that strict action would be taken against officials found negligent in enforcing the new regulations.
Sinha said the department has already installed internet-enabled CCTV cameras at all functional sand ghats and deployed around 400 police personnel to check illegal mining. Between April and November 2025, the department conducted nearly 31,997 raids, registered more than 1,600 FIRs and arrested over 400 individuals in connection with illegal mining and transportation activities.
