Govt to set up coal sector regulator

To check irregularities in allocation and distribution of coal blocks, the government on Thursday approved setting up of a coal regulator. The regulator for which the Cabinet Committee on Economic Affairs gave a nod, will be set up by an executive order after a notification issued by the government.

The non-statutory regulator will look into pricing, grading, specify procedure for automatic coal sampling and also adjudicate upon disputes between parties.

Coal Minister Sriprakash Jaiswal had earlier informed Parliament that a non-statutory regulator for the coal sector will be set up through an executive order as enacting a legislation on the subject will take some time. A regulator for coal sector is an important development for power and mining companies, who will get an assured supply of coal.

The latest tussle between NTPC and Coal India, was when the country’s largest power generation utility and the world’s biggest coal miner sparred over Rs 2,000 crore payment impasse.