New Delhi, Aug. 21 -- Three Congress-ruled states - Karnataka, Kerala and Telangana - are set to appeal in the Supreme Court against the Mines and Minerals (Development and Regulation) Amendment law that was cleared by both Houses of Parliament earlier this month. The President approved this on August 18. The Congress-ruled states are opposed to the legislation because it prohibits state governments from imposing levies over mineral rights or mineral bearing lands, provisions that the Congress believes are against the financial interests of the states and federalism itself. Announcing the step, Congress general secretary for communications Jairam Ramesh said on Thursday, "The three south Indian states ruled by the Congress-Kerala, Karnataka and Telangana-have decided to challenge the law in the Supreme Court. We have prepared the petitions." The new law said "No tax, cess or such other levy (by whatever name called) shall be imposed by the State Government on- (a) mineral rights; or (b) mineral bearing lands, either based on mineral quantity or mineral value or royalty payable or otherwise, except in accordance with such conditions or restrictions as may be prescribed by the Central Government." It added that "Notwithstanding anything contained in any other law for the time being in force, or in any judgment, decree or order of any court, the imposition of any such tax, cess or other levy by the State Government on- (a) mineral rights; or (b) mineral bearing lands either based on mineral quantity or mineral value or royalty payable or otherwise, which is not deposited with the State Government or recovered by it before the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2026, shall be deemed to be invalid at all material times." The law was aimed to offset a 2024 ruling by the Supreme Court that allowed states to levy tax on mineral rights. The law said that any such tax, cess or other levy on mineral rights or on mineral bearing lands, already deposited with the State Government or recovered by it before such commencement, shall not be liable to be refunded. The government argued in the bill that "any regional disparity in fiscal impositions on minerals impacts public interest. Unbalanced imposition of steep taxes and levies will prompt the industry to completely bypass local supply lines, leading to sub-optimal development of markets, increased transportation costs and the resultant pollution load. There is also a risk of an increase in imports of minerals despite having sufficient local mineral resources as domestic mineral supply becomes expensive."...