The Group of Ministers (GoM) on setting up of the proposed coal regulator decided that the regulatory body would be empowered to resolve disputes including disputes arising out of fuel supply agreements (FSAs).
However, the group decided not to give the power of fixing coal price to the proposed regulator. This was decided at a recent meeting of the GoM.
The regulator will have power to adjudicate on disputes relating to price, quality, supplies. All disputes will be adjudicated with the regulator and then there will be an appellate authority, Finance Minister P Chidambaram told reporters after the meeting.
The GoM arrived at a consensus on the contents of the Coal Regulatory Authority Bill to set up the regulator and the Law Ministry has been asked to redraft some sections of the Bill.
The GoM will go through the redrafted bill for formal approval and then it will go to the cabinet. Discussions are over. There is complete agreement on what the contents of the Bill should be, Chidambaram said.
The proposal for setting up an independent regulatory authority for coal sector was submitted for consideration of the cabinet, which referred it to the GoM.
Coal Minister Sriprakash Jaiswal also said the proposal was in final stages.