Star Cement Limited has submitted a regulatory disclosure to the National Stock Exchange of India Limited and BSE Limited pursuant to Regulation 30 of SEBI (LODR) Regulations, 2015.
The disclosure concerns The Mines and Minerals (Development and Regulation) Amendment Act, 2026, which was notified by the Central Government on 22nd August, 2026. This amendment to the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR) restricts the imposition of taxes, cess, and other levies by State Governments on mineral rights or mineral-bearing lands.
The key provisions of the amendment include:
- Restrictions on State Governments imposing any levy on mineral rights or mineral-bearing lands, except under conditions or restrictions prescribed by the Central Government
- Any levy not paid or collected by State Governments before the Amendment Act 2026 is deemed invalid
- Amounts already deposited or recovered before the amendment shall not be liable for refund
Financial Impact
The Company and its subsidiaries have been paying Mineral Cess specifically:
- Mineral Cess on Shale: ₹25 per tonne
- Mineral Cess on Limestone: ₹60 per tonne
- These payments were made in the State of Meghalaya
- Total payments: ₹35.50 Crore in FY26 and ₹10.15 Crore in the current FY27 (up to the disclosure date)
Effective Date and Current Status
As a result of the amended MMDR provisions, Star Cement Limited and its subsidiaries are no longer required to pay Mineral Cess with effect from 22nd August, 2026.
The disclosure serves as an informational update to the exchanges regarding this regulatory change and its financial implications for the company.