Apprehensive that the now-infamous first-come, first-served policy for allocation of natural resources comes with risks, states are now wiser and embracing the safer option of auctions for these allocations.

The newly-elected Akhilesh Yadav government in Uttar Pradesh has introduced an e-tendering system for all leases on mining projects. The decision could impact the future of liquor baron-cum-mining czar Ponty Chaddha, who was seen as closely linked to the previous Mayawati government.