With respect to the infrastructure investment in India, the regulatory uncertainty and unpredictability are considered to be major issues. Discuss aims, objectives of the proposed "Regulatory Reforms Bill" while analyzing its potential to curb these anomalies.
Published: May 10, 2017
With the aim of speeding up the regulatory reforms of India and to standardize certain basic institutions with respect to the infrastructure investment in India, the Bill has been proposed. The objective of the Bill is to ensure the orderly development of infrastructure services, to enable competition and to protect interest of the consumers in securing access to affordable and quality infrastructure. It is based on three principles of the basic structure of the Indian Constitution:
- Separations of Power- Under this Bill, the appellate tribunals have been vested with the judicial functions. Unlike the previous authorities like the Telecom Regulatory Authority of India, which also entertains complaints, now such regulatory authorities are only to exercise rule making and enforcement functions.
- Democratic accountability- Now, the regulatory authority is to be made accountable and responsible to the people at large and to the legislature.
- Federal principle- The subjects of economic regulation of these infrastructure authorities have been divided between the Union and states based on their competencies.
Along with this principle, the Bill will also address another issue of lack of coherence among the various sectors of infrastructure. Since these regulatory authorities evolved at different periods of time, they function completely independently without any coordination or cooperation with any other sector. The Bill seeks to build up a coherent approach where these sectors will cork together in infrastructure development in India.
Model Questions Month: unclassified