In December 2024, the Tamil Nadu government took decisive action by passing a resolution in the Legislative Assembly, urging the Union government to immediately cancel the tungsten mining rights granted to Hindustan Zinc Limited in Nayakkarpatti village, Madurai district. This resolution was driven by concerns over the area’s designation as a biodiversity heritage site, encompassing significant ecological and cultural landmarks.

Following the state’s appeal, the Union Ministry of Mines requested the Tamil Nadu government to withhold the issuance of the Letter of Intent to the preferred bidder, Hindustan Zinc Limited. The Ministry cited objections related to the presence of a biodiversity heritage site within the proposed mining area and tasked the Geological Survey of India with exploring the possibility of redefining the block boundaries to exclude the sensitive zone.

In January 2025, after extensive public protests and deliberations, the Union government decided to annul the auction of the Nayakkarpatti tungsten mineral block. This decision was influenced by the area’s ecological significance and the commitment to protecting traditional rights.

These developments underscore the Tamil Nadu government’s proactive stance in regulating mineral extraction activities, particularly in ecologically sensitive regions. By collaborating with the Union government and responding to public concerns, the state aims to balance economic development with environmental conservation.