The Power Ministry will shortly float two Cabinet notes, proposing changes in the Tariff Policy and the Electricity Act, 2003, to keep them in tune with the changing dynamics of the sector, Minister of State for Power (Independent charge) Jyotiraditya Scindia said here on Saturday.

“There will be two separate Cabinet notes, because there are two issues. I am speaking with stakeholders, and we are on the last mile, and I certainly hope that in a month or so we will be ready on both. The one on the Tariff Policy will hopefully come first, and the second will need some kind of more interactions,’’ Mr. Scindia told reporters here.

Stakeholders, who have submitted their feedback, include the Central Electricity Authority (CEA), the Central Electricity Regulatory Commission (CERC), principal secretaries of all State governments and chairpersons of power generation, transmission and distribution utilities.

The government-appointed committee, chaired by Mr. Scindia, at its June meeting had deliberated on the amendments to the Electricity Act. One of the suggestions made by the committee is to have a formula, which will ensure that variation in fuel and power purchase cost is recovered by the power generating firms. The advisory group, set up against the backdrop of multiple problems, including acute fuel shortages, hurting power generation, is likely to meet next on December 24.

“We are going to discuss transmission and financial issues for the power sector in our next advisory group meeting,’’ Mr. Scindia added.

The Ministry, through amending the Electricity Act, is making a bid to check the growing tendency among States to restrict export of electricity generated within their borders.

The proposed amendments to the Act could result in removal of impediments in the development of competition in the power sector.

More In: Economy | Business