What is/are the purpose/purposes of 'District Mineral Foundations' in India? 1. Promoting mineral exploration activities in mineral-rich districts 2. Protecting the interests of the persons affected by mining operations 3. Authorizing State Governments to issue licences for mineral exploration Select the correct answer using the code given below.

The 'District Mineral Foundations' (DMFs) in India were established under the Mines and Minerals (Development and Regulation) Amendment Act, 2015. Their primary purposes are:

1. Promoting mineral exploration activities in mineral-rich districts: This statement is incorrect. DMFs are not primarily for mineral exploration. The function of mineral exploration lies with specific government bodies and mining leaseholders.

2. Protecting the interests of the persons affected by mining operations: This statement is correct. The core objective of DMFs is to work for the interest and benefit of persons and areas affected by mining-related operations. Mining companies contribute a percentage of their royalty to these trusts, and the funds are used for welfare and developmental activities in mining-affected regions and communities.

3. Authorizing State Governments to issue licences for mineral exploration: This statement is incorrect. The power to issue licenses for mineral exploration is a regulatory function of the State Governments, governed by the Mines and Minerals (Development and Regulation) Act, 1957, and its amendments. DMFs do not have this authorization power.

Therefore, only statement 2 correctly describes the purpose of District Mineral Foundations.