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The central government would come up with an executive order soon to set up a coal regulator.
“We would come up with an executive order to set up coal regulator, like we did with the Pension Fund Regulatory and Development Authority (PFRDA) and the Securities and Exchange Board of India (Sebi),” said finance minister P Chidambaram.
The union cabinet had approved the the proposal for setting up of an independent coal regulatory authority for the coal sector and also approved the introduction of Coal regulatory Authority Bill, 2013 before the Parliament.
“Though Coal India Ltd (CIL) would decide the pricing system, coal regulator would decide on the principles and methodology," he added. The authority would specify methods of testing for declaration of grades or quality of coal, monitor and enforce closure of mines, specify principles and methodologies for pricing.
A fund called “The Coal Regulatory Authority Fund” would be created and all grants, fee and charges received by the authority shall be credited to this fund, a government statement said today.
