Bengal chief secretary H.K. Dwivedi has asked district magistrates to explore new areas from where sand could be mined, an instruction which is a clear attempt to generate more revenue at a time when state coffers are struggling in the backdrop of the Covid-19 pandemic.

Dwivedi gave the directive to the DMs during a video conference on Tuesday.

“The chief secretary informed the DMs about the new sand mining policy the state cabinet had recently approved. The chief secretary also asked the DMs to explore new areas from where sand could be mined,” said a source.

According to sources, the state government is trying to generate more revenues without levying new taxes on common people as the state exchequer is struggling in the backdrop of the pandemic and the recent launch of a series of new welfare schemes.

“Scheme like Lakshmir Bhandar would require a sum of Rs 12,000 crore. The enhanced Krishak Bandhu Scheme would also require an additional amount of Rs 2,000 crore every year. The state is trying to find out new areas to enhance more revenue,” said a source.

A senior bureaucrat said mining more sand would bring more revenue to the state exchequer as a sand mine usually fetches more than Rs 1 crore annually.

Right now, the state auctions off about 250 sand mines across the state.

“If the state can add 100 more mines to the list, it would bring about Rs 100 crore to the state exchequer. This is possible as sand is in high demand because of construction activities in the state. The state itself spends about Rs 30,000 crore a year in terms of infrastructure development,” said a bureaucrat.

Sources said that demand for sand had decreased of late after the real estate sector was facing a slump because of the pandemic. “But the process to find out new sand mines could be termed as an effort for the future when the demand for sand would increase,” said a source.

Dwivedi also explained to the DMs that henceforth, the auction of sand mines would be done centrally.

The sources in the state secretariat said creating more mines could create more trouble for the state administration.

“Often intra-party fights are reported from districts over the spoils of sand mines. Now, the job of the administration would be more tough as they have to rein in the powerful local leaders of the ruling party once new mines are auctioned off,” said a bureaucrat.