New Delhi: The Ministry of Coal has extended the last date for seeking comments from stakeholders on Coal Trade Exchange to May 7, said an official order on Thursday. “Ministry of Coal had published the proposed draft legislations on Coal Trade Exchange for public consultation on 07.03.2025 in its website for soliciting comments of the stakeholders (copy enclosed). Ministry of Coal has decided to extend the last date for submission of comments/suggestions from 06.04.2025 till 07.05.2025,” said the ministry.
With the increased availability of domestic coal in the country, the Ministry of Coal has said that there would be a paradigm shift towards a surplus coal scenario and resultantly the coal sales scenario is expected to undergo a major change from the existing mechanisms of coal sales channels, necessitating a major market reform backed by a regulatory mechanism. “Therefore, in the scenario of increased availability of domestic coal in the country, there is a necessity to introduce further reforms in the coal sector with focus on promoting competitive markets for sale of coal,” said the ministry in the draft circulated for public consultation.
“Ministry of Coal proposes to empower the Coal Controller Organization (CCO) as the regulator for the CTE (s) to be established in the country,” the draft note added.
“Legislative support is required for setting up of Exchange, and providing for the Ministry of Coal to oversee and regulate the Exchange operations and issue the related Rules. The legislative intervention in this regard is proposed to be in the nature of an amendment to the Mines and Minerals (Development & Regulations) Act, 1957 by inserting the definition of ‘Coal Trading Exchange’ and a new clause in Section 18 (2) for framing of Rules by the Central Government for the regulation of coal trading and coal market. The proposed amendments in the MMDR Act shall pave the way for notification of Rules by the Ministry of Coal to provide for licensing/authorisation of exchange operations and empowering the CCO as Coal Regulator for guiding the Exchange operations; regulation of CTE by the CCO and formulation of byelaws by the Exchange Operator,” the draft note said.