AMARAVATI, October 25 — The Andhra Pradesh Department of Mines and Geology formally operationalised the comprehensive rules governing the 'Free Sand Policy 2026', designed to revive the stalled construction sector, lower housing construction costs for the urban poor, and eliminate intermediary exploitation. Under the revitalised policy framework, the state government has completely abolished seigniorage cess, mineral development fees, and Value Added Tax (VAT) on river sand extraction across all 26 districts.
Pricing Structure and Controlled Cost Caps
Consumers procuring sand directly from designated river reaches along the Godavari, Krishna, Penna, Vamsadhara, and Nagavali river basins will only incur statutory baseline extraction expenses capped by the district administration:
- Reach Extraction Charge: Uniformly fixed at ₹120 per metric tonne, transferred directly to local boatmen societies and desilting labour groups. - Stockyard Handling Fee: Capped at ₹60 per metric tonne for desilted and washed riverbed aggregates. - Transportation Tariff: Fixed per-kilometre freight rates notified by the State Transport Authority, preventing cartels and dynamic gouging.
Digital Booking Portal & Real-Time Logistics Grid
To enforce end-to-end transparency, the Mines Department launched the upgraded portal (sand.ap.gov.in) integrated with a dedicated consumer smartphone application:
1. Citizens register using their Aadhaar and building permit approval number or Gram Panchayat house sanction letter. 2. The portal assigns the nearest operational sand reach or depot based on pincode geofencing. 3. Every sand-carrying tipper lorry must possess an active Automotive Research Association of India (ARAI)-certified GPS tracker and a digitized radio-frequency identification (RFID) transit pass. 4. Electronic weighing bridges at reach exit points transmit automated weighment slips directly to the state Command and Communication Centre.
Environmental Safeguards and Manual Mining Preference
In compliance with National Green Tribunal (NGT) directives and the Ministry of Environment, Forest and Climate Change (MoEFCC) Sustainable Sand Mining Guidelines, the policy strictly prohibits heavy hydraulic excavators and mechanized suction pumps in sensitive riverbeds.
Extraction rights in Category-I and Category-II river stretches are exclusively reserved for local traditional fishermen and boatmen cooperative societies (Besta and DWCRA groups) using traditional wooden punts, providing sustainable livelihoods to over 42,000 riverside families.
Anti-Smuggling Task Forces & Enforcement
To prevent illicit inter-state smuggling to Chennai, Bengaluru, and Hyderabad, the state established 48 border check-posts staffed 24/7 by joint teams comprising the Special Enforcement Bureau (SEB), Transport Department, and Local Police under Section 21 of the Mines and Minerals (Development and Regulation) Act, 1957. Unauthorised hoarding attracts confiscation of vehicles and penalties up to ₹2 lakh per violation.
Exam Relevance: APPSC Group-1 Mains (GS Paper III — Resource Mobilisation, Environmental Impact Assessment, Sustainable Mining; GS Paper II — Administrative Reforms & Anti-Corruption Governance); APPSC Group-2 Prelims & Mains (AP Economy, Natural Resources, Infrastructure and Real Estate Growth); AP Police SI & Constable (MMDR Act 1957, SEB Duties, Border Smuggling Prevention); AP Mega DSC (Social Studies & Contemporary State Affairs). Key facts: Policy name: Free Sand Policy 2026; Levies waived: Seigniorage fee & VAT; Extraction ceiling: ₹120/tonne; Dedicated portal: sand.ap.gov.in; Enforcement framework: Special Enforcement Bureau under District Collectors; Ecological mandate: Mechanical dredging banned, manual boatmen co-ops prioritized.