Question : Dispute Resolution Between HSCL and NTPC


(a) whether the Government is aware of a meeting of Committee of Secretaries on 20.12.2021 between Secretary, Housing and Urban Affairs and Secretary, Power for resolution of a commercial dispute through Administrative Mechanism for Resolution of CPSE’s Disputes (AMRCD) between HSCL and NTPC and if so, the details thereof;

(b) whether Cabinet Secretary is the second level (tier) and whose decision would be final/binding on all concerned for resolving commercial disputes through newly created mechanism of AMRCD and if so, the details thereof;

(c) whether the Cabinet Secretary strictly adheres with the time line prescribed by the AMRCD guidelines dated 22 May 2018 while resolving the commercial disputes through AMRCD, if so, the time and date given by the Cabinet Secretary; and

(d) whether the Ministry contemplates to demand MSME interest rate from NTPC for the sub-contractor of HSCL as mandated in the MSME act and if so, the details of the proposal submitted to AMRCD in this regard?

Answer given by the minister


THE MINISTER OF HOUSING AND URBAN AFFAIRS

(SHRI HARDEEP SINGH PURI)

(a) A meeting of the Committee of Secretaries (CoS) consisting of Secretary, Department of Legal Affairs, Secretary, Ministry of Powerand Secretary, Ministry of Housing and Urban Affairs under Administrative Mechanism for Resolution of CPSEs Disputes (AMRCD) was held on 22.12.2021 to consider the commercial dispute between NTPC and HSCL. After deliberation, it has been agreed that the matter should be referred to Cabinet Secretary for advice.

(b) Yes, Sir. The Cabinet Secretary is the final appellate authority under Permanent Machinery of Arbitration (PMA) and AMRCD.

(c) The proposal/appeal to be referred to the Cabinet Secretary has not yet been finalised.

(d) The proposal submitted to AMRCD was to uphold the award made by the sole arbitrator, hence no claim was preferred under MSME Act.

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