Govt approves coal regulatory authority

NEW DELHI: The government has approved setting up a regulator for the coal sector that that will specify the principle and methodology for determination of price of raw and washed coal, sources said.

The coal regulator will have a chairperson and four members representing coal, legal, technical, finance and consumer affairs ministries, a government official said.

“The cabinet committee on economic affairs on Thursday approved setting up a coal regulatory authority. The authority will regulate matters of testing for declaration of grade or quality of coal. It will have advisory role regarding formulation of policy in coal production and competition and investment in coal sector,” he said after the CCEA meeting.

The regulatory authority will specify procedure for sampling and washing of coal. Appointment of chairman and other members of the regulator would be done by a selection committee headed by cabinet secretary.

The authority will also adjudicate between parties. It is also proposed that a technical member (coal) will be added with Appellate Tribunal for Electricity that will entertain appeal against the decisions of the authority. The accounts of the authority will be audited by the Comptroller and Auditor General ( CAG).