KP Government Unveils Key Features of Proposed Mines and Minerals Bill 2025

Workers have gathered at a mine in Khyber Pakhtunkhwa. —INP/ File

  • Mineral Investment Facilitation Authority to be established.
  • Licensing system will be digitalised for transparency.
  • License period to be reduced to three years.

PESHAWAR: The Khyber Pakhtunkhwa (KP) government has presented a white paper detailing the main aspects and goals of the projected Mines and Minerals Bill, 2025.

The white paper indicates that the projected legislation seeks to harmonize mineral regulations with those of other provinces and the federal government.

According to the white paper, the mineral sector will be promoted for large-scale domestic and international investment, a Mineral Investment Facilitation Authority will be founded, and the mineral titles and licensing system will be digitalized to increase transparency and accessibility.

Under the legislation, the license period will be shortened to three years to make lease acquisition easier.

An independent and powerful appellate tribunal will be established to ensure fair and quick justice, according to the statement.

The proposed legislation also intends to compel the department to create a geological database.

To combat illegal mining, a specialized force will be established to take strong action. It stated that the legislation would prevent illegal mining by confiscating equipment and imposing penalties.

It will guarantee that existing leases and applications remain valid despite the new legislation.

Meanwhile, KP Chief Minister Ali Amin Gandapur addressed concerns voiced by some politicians, clarifying that the proposed amendments to the Mines and Minerals Act did not aim to transfer provincial government authority to any other entity.

He added, “It appears as if a certain mafia is opposing the reforms for personal advantage,” dispelling the “misinformation being spread about the proposed law.”

The chief minister emphasized the government’s initiatives to improve policies and reforms in the mineral sector, noting that these actions will boost the province’s revenue. He also highlighted that illegal mining has been occurring at four gold mines for 76 years, and previous governments have never tried to stop it.

Last week, disagreements within different factions of a political party arose over the Khyber Pakhtunkhwa Mines and Minerals Bill, 2025.

Several provisions of the proposed law have been deemed problematic in terms of provincial autonomy, transparency, and investor confidence, while the provincial government maintains that the bill is in the province’s best interests.

During a discussion in the KP Assembly, CM Gandapur provided thorough clarifications on all of its key points.

A detailed meeting of a political committee was also convened to discuss the bill.

The committee examined all aspects of the bill and unanimously decided that it did not include any clause transferring provincial autonomy, rights, or mineral resources to the federal government, Special Investment Facilitation Council (SIFC), or any other federal institution.

Meanwhile, the political committee decided unanimously on Friday that the Khyber Pakhtunkhwa Mines and Minerals Bill will only be adopted after extensive consultations and with formal clearance.

Prior to the bill’s approval, discussions with other parliamentary parties will continue, but it will be totally consistent with the party’s agenda, manifesto, narrative, and public expectations. It will only be passed in the assembly after extensive consultation and formal approval. There has been no haste in the bill’s approval, and there will be none in the future.