Home / Business / Money / Cabinet approves ordinance on Coal, Insurance Bill

Cabinet approves ordinance on Coal, Insurance Bill

Earlier, an ordinance on coal was introduced on October 20 after the Supreme Court scrapped over 200 coal block allocations. It was valid till the January 4 as the life-span of an ordinance is only six weeks since the inception of a Parliament session.

Cabinet approves ordinance on Coal, Insurance Bill

As expected the Cabinet has approved ordinance on Insurance Bill and Coal. With Coal Mines Bill yet to be cleared by the Parliament, the government re-promulgated the ordinance.

Earlier, an ordinance on coal was introduced on October 20 after the Supreme Court scrapped over 200 coal block allocations. It was valid till January 4 as the life-span of an ordinance is only six weeks since the inception of a Parliament session.

Reacting to the news, Rajesh Sud, MD & CEO of Max Life Insurance says the ordinances indicate firm resolve on the government’s part. However, foreign investors will view this tentatively until a Bill is passed, he adds. An ordinance is an interim measure, a statement of intent on the part of the government. The government has six weeks after an ordinance is passed to get approval from both the houses and pass the Bill or let it lapse – after the first sitting of the Parliament.

Sud believes that the domestic ownership clause in the insurance bill will have only company-specific ramifications.

The Cabinet has also cleared formula for coal block auction floor/ reserve price. The first tranche of bid documents on coal block auction will be released on December 27.

Stay tuned for more…

Leave a Reply

x

Check Also

Rupee recovers 6 paise to 67.01

The rupee today recovered some lost ground by rising 6 paise to ...

Notes ban to have positive impact on economy

NEW DELHI: The government’s demonetisation move has led to widespread adoption of ...