Sindh Assembly passes Thar Coal and Energy Board Bill

The Sindh Assembly on Wednesday unanimously passed the Thar Coal and Energy Board Bill, 2011 into law aimed at utilising huge coal reserves to meet the country''''s soaring energy demand and attract foreign investment in coal mining and power generation projects in the province.
The bill immediately sparked controversy when the tiny opposition called it a "black law" stirring up the ruling PPP legislators to react harshly. They said the former military ruler had established a Thar Coal Mining Company allocating 80 percent share of the field to the federal government and 20 percent given to Sindh.
The PPP member said the Centre had not given a single penny to the provincial government although the Constitution allows provinces to have control on their resources. However the opposition later also voted the bill to be passed by the assembly to set up the Thar Coal Energy Board (TCEB).
According to the law, Chief Minister Sindh would chair TCEB, Federal Minister for Water and Power will be the vice chairman, while Federal Finance Minister, Federal Law Minister, a female MNA from Thar region, three provincial ministers (whom the government will nominate), deputy chairman of planning and commission department, secretary ministry of water and power, chief secretary Sindh, an eminent person (whom the government will nominate) and secretary coal and energy development department will be the board members. However, managing director of the board will be the member and secretary of the board.
It says the head office of the board will be in Karachi with powers to set up regional offices at places it may consider expedient. The law says the government has the powers to include additional members or change the composition of the board by notification in the federal gazette. The bill adds that the quorum for the board meeting will be five members with at least three from Sindh.
The board will determine and control the price of coal, change or levy fees for nay services rendered to the investors, assist investors in obtaining necessary consents, licenses, permits, and other legal documents required to operate, explore and develop Thar coal resources.
It will also monitor the progress of investment programmes and projects at all stages and ensure through inter-agency and inter-provincial co-ordination, prompt implementation and operation. Besides, the board will encourage and promote global and national investment for the development of Thar coal. It will help co-ordinate and facilitate the domestic, foreign and international institutions for financing of the proposed projects, the law says.
The board''''s fund will comprise grants and subsidies from the government and any other local body, loans raised or obtained by the board with approval of the government in accordance with law and fee and other charges receivables under this Act, according to the law. The ruling coalition hoped with setting up of TCEB, the country''''s energy crisis would end and the people of Sindh would also have jobs, besides gas and electricity at homes. The House also passed a bill unanimously about the Zulfiqarabad Development Authority (Amendment) 2011, to allow the CM Sindh to nominate vice chairman of the authority. One bill on the Sindh Hotels and Restaurants 2011 was deferred until Thursday.