Showing posts with label Group of Ministers. Show all posts
Showing posts with label Group of Ministers. Show all posts

Monday, May 16, 2011

Hike in Petrol Prices

A whispering campaign was on for the last several months that immediately after the declaration of election results for five state assemblies that went to elections, the prices of petrol and diesel would be hiked. After the declaration of the results, the process of formation of governments in these states is still on. Now that the government has hiked the petrol price by rupees give a liter, the whispers have come true.
Unexpected Steep Rise
Both Finance Minister Pranab Mukherjee and Petroleum Minister Murli Deora had hinted about price hike on several occasions, but no one expected a steep rise of Rs. 5 per liter in price of petrol. It may be recalled that the prices of petrol has been hiked eight times during the past nine months, the present hike being the highest ever. It has been noticed often that whenever there is a hike in the prices of petrol and diesel, the price of food articles also go up. Freight and fares also go up.
The issue was discussed threat bare at the meeting of the Group of Ministers (GoM) headed by Pranab Mukherji. The GoM also discussed ways and means to keep price rise of essential commodities in check, but to ignore the hike in prices of crude oil at the international level, was well nigh impossible for the government. The finance minister maintains that going by the current scenario, the government was left with no option because, despite having raised the price of petrol by Rs.5 per liter, the oil companies still continue to suffer a loss of Rs. 5.5 a liter on petrol.
Prices of Crude Oil
Despite that the prices of crude oil had reached the highest level in the international marked in the last two-and-half years, the oil companies had refrained from raising the price of petrol since January, though the companies continued to exert pressure on the government to hike the price. The government continued to delay the announcement because while it did its best to save the people from the price rise is essential commodities and to bring inflation under control, it also had the elections in five states before it.
The oil crisis started in the international market in wake of the Iraq war. It had its impact on the entire world. The situation became all the more serious after the relations between the United State and Libya sourced. Further, the imposition of sanctions on Iran by the United Nations also aggravated the situation. It is not mean to discuss here as to which country imports oil from where or does not import at all. The truth, however, cannot be ignored that the rise in crude oil prices does have an impact on the oil industry in all countries.
The government had decontrolled the petrol prices in June 2010 and since then the prices of the commodity have been hiked for the eighth time. It was the compulsion of the government as well. The opposition Bharatiya Janata Party (BJP) has termed the hike in petrol prices as anti-people saying that the government was awaiting the results of the elections held in five states. The accusation by the BJP loses its strength because both the finance minister and the petroleum minister had already hinted a couple of months ago that the raising the petrol prices was the compulsion of the government.
Despite the price rise of Rs. 5 a liter in petrol, the oil companies continue to suffer a loss, which makes it clear that another hike in petrol price may be announced soon. The BJP has linked the current hike with politics but, should there be a further rise in the petrol price in the future, with which the BJP would link that? It would be futile to believe that the opposition is not aware or ignorant of the rise in crude oil prices in the international market. A government when takes such a hard decision, discusses the issue threadbare but under unavoidable circumstances the price rise becomes its compulsion.
Burden of Price Rise on People
One can not deny that with the rise in petrol prices, the burden of the price rise on people would further, increase and that it would also have its impact on inflation. Even the prices of the LPG and kerosene and diesel may be affected. Yet the situation that the government faces is unavoidable. No government wants to see its people falling in the grip of miseries. The government has taken the decision after the GoM report. It can be safely claimed that the decision of the government hints at some kind of a concrete strategy as Finance Minister Pranab Mukherjee has admitted that the government was left with no other option.
It is always easy to criticize the government. Protests, demonstrations and sit-ins are held against decisions of the government. Yet, no opposition has ever come out with an alternative solution to any problem. Nor does it ever suggest how a particular issue can be solved.
The government decided to hike the price of petrol in view of the situation that it confronted but now it would have to think how it should provide relief to people. The meeting of the GoM is scheduled during the current month itself to take a decision on the prices of LPG, diesel and kerosene. The government needs to be abundantly cautious while making a decision on it. At the same time, it needs to think on the subsidies too, so that some kind of relief is given to the people and opposition may not find an opportunity to criticize and take on the government.

Tuesday, March 8, 2011

Popular Mind-Set on Corruption

After the complete washout of the winter session of Parliament, its budget session commenced on Monday. During the last session, the Bharatiya Janata Party (BJP) and other opposition parties had created a ruckus on their demand for a probe in the 2G Spectrum scandal by a Joint Parliamentary Committee (JPC). The opposition did not let the two Houses of Parliament function. The entire session fell victim to chaotic din and uproar.

2G Spectrum Case
The government was endeavoring to ensure smooth functioning of the current session. It appeared almost certain that the government might concede the demand of a JPC to probe the 2G Spectrum case. With this in mind, the Speaker of the Lok Sabha convened an all-party meeting two days before the commencement of the session where, the prime minister, reportedly, accepted the demand of the opposition in principle. It is expected that on the very first day of the motion of thanks to the address by the president, the formation of the JPC may be announced and the budget session would be saved. If this takes place, it would certainly be a huge jolt to the United Progressive Alliance (UPA), because the opposition may take it as its victory.

It is common knowledge that the opposition merely wanted to manifest its political strength and it succeeded in blackmailing the UPA in the name of the budget session. Further, it is clear that even if the JPC probes the 2G Spectrum case, it may not be able to give any major direction or make any startling revelation. The Central Bureau of Investigation (CBI) has already arrested former Communication Minister A. Raja in this case. Beside him, there are several other persons of high stature behind the bar. The Supreme Court, too, is rather active on the case. In this scenario, should a JPC be formed and commenced its probe, it would have an adverse impact on the corrupt and dishonest section in the country. Nor it would be able to prevent corruption in the future.

Preventing Malpractices
In a country where the society does not look down upon thieves and dishonest persons, such kind of malpractices cannot be prevented. In our society, people do not take a theft as a theft. One can see everywhere that power is being stolen as if the theft of water and power supply is no crime. Likewise, if traveling in buses and trains were considered, if there is no checking on a day, seventy percent people would travel without ticket. If there were a one Rupee coin lying on the road, dozens of persons would bend to pick that coin up. None would even think that the coin does not belong to him. In this country, things have come to such a pass that encroachment on public land is considered no crime; instead it shows one's muscle power. What one can expect then from public servants and officers? Even those considered to be honest use official phone for making personal calls free. They do not consider it a sin to take up private work during office hours and taking official stationery home for children. Coming late to office and sitting idle through the day, bureaucrats and the public servants take it as their birth right. In such a scenario, even if A. Raja were put behind bars for a few years, would it change the country?

The very same BJP, which is crying hoarse over corruption, is not clean itself either. One of its presidents was caught on camera while taking bribe. When the BJP was in power, taking commission in the purchase of arms and equipment had attracted limelight. The BJP appeared in its true color when it imprisoned journalists who had blown the lid off scandals. Recently, the Karnataka chief minister indulged in several malpractices. Yet, the BJP could not muster the least courage to take any action against him.

Only the future would decide whether the opposition members who stood up on their chairs during the last session of Parliament to raise slogans, were sincerely pained by corruption or they had demanded the JPC only to corner the government. There are no hopes that the country would be saved and no such scandal s would take place.

President's Address to Joint Session of Parliament
Addressing a joint session of the two Houses on the opening day of the budget session, President Pratibha Patil pointed out that a Group of Ministers (GOM) was considering the issue of tackling corruption, increasing transparency and using legal, administrative and other measures for the purpose. The GOM would submit its report soon. Referring to the black money stashed in foreign banks, the president stressed that the government would leave no stone unturned to bring that money back and to punish the guilty. She added that the government was fully aware of the bad effect the black money has on the economy. Such money relates to either avoidance of tax on money earned honestly or earned through illegal means. She said that to combat the menace, state governments and its agencies and the other agencies responsible for implementation of laws, would have to strive seriously and concertedly.

The president said that steps have been taken to facilitate exchange of information for tax purposes with countries where Indian nationals may have stashed their ill-gotten wealth. Yet, we all know it well that unless the deep-rooted dishonesty in the country is brought to an end, the government may not be able to combat such irregularities. There is the need to launch a concerted campaign against dishonesty in the country. There is need to inculcate a sense of honesty among the people. Unless this is done, we cannot get rid of corruption.