Govt to set up coal regulatory authority fund

The central government would set up a fund called ‘The Coal Regulatory Authority Fund” to credit all grants, fee and charges received by the authority. After passing of the Coal Regulatory Authority Bill, 2013, details would be worked out and submitted to the government for appropriate financial sanction for the initial start-up funding, a government press release said.

The government said this in a press release after the cabinet cleared the proposal for setting up of an independent regulatory authority for the coal sector and also approved the introduction of the Coal Regulatory Authority Bill, 2013 in Parliament.

The government clarified that the setting up of an independent regulatory body for the coal sector shall help in the regulation and conservation of coal resources and will benefit all stakeholders.

The proposed regulatory bill would benefit coal companies, coal consuming industries such as power, steel, cement and coal bearing states and people, directly or indirectly associated with the coal industry, the release said.

The cabinet also approved that pending enactment of the legislation, the regulator will be set up through an executive order.

The Authority shall specify methods of testing for declaration of grades or quality of coal, monitor and enforce closure of mines, specify principles and methodologies for price determination of raw coal and washed coal and any other by-produce generated during the process of coal washing, adjudicate upon disputes between parties and discharge other functions as the central government may entrust to it, the release said.