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Govt to set-up independent regulator for coal sector soon

22 Jan 2013 Evaluate

The government will soon appoint a coal regulator to monitor the fuel pricing, sampling and other practices in the sector. An inter-ministerial panel headed by Finance Minister P Chidambaram met and planned to set up the coal regulatory authority. During the meeting, issues such as the pricing of coal and bringing on the selection board a representative from the Power Ministry were raised and discussed. Meanwhile, the discussions are underway and the government may soon appoint a coal regulator.

The setting up of an independent regulator for the coal sector is considered important for improving the competitiveness in e-auctions, fixing guidelines for price revision, setting trading margins and increasing transparency in the allocation of reserves. Further, the Power Minister Jyotiraditya Scindia, who also attended the meeting, said 'Power Ministry and Planning Commission will be working on the draft of the coal regulator and will be meeting shortly to close on that. Next Group of Ministers (GoM) meeting will be the final meeting.'

Earlier, the GoM meeting on Coal Regulator bill, which was to be held on January 4, was deferred due to unavailability of a few ministers. The Cabinet had referred the draft Bill to a ministerial panel for setting up a regulatory authority for the coal sector. Earlier a meeting on December 18 was also postponed due to winter session of parliament.

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