Showing posts with label P V Narasimha Rao. Show all posts
Showing posts with label P V Narasimha Rao. Show all posts

Monday, July 11, 2011

Power & Politics/ The Sunday Standard/July 10, 2011




Not taking a decision is also a decision. Both Prime Minister Manmohan Singh and Congress Chief Sonia Gandhi seem to have taken a leaf out of former prime minister P V Narasimha Rao’s book.

Manmohan is Rao’s precious gift to the Congress party and the nation, and the prime minister has mastered his mentor’s art of governance. Rao was famous for either delaying decisions or referring contentious issues to committees and commissions. Sonia may like to forget or ignore the Rao chapter in Congress history but the prime minister is taking full advantage of his former teacher’s legacy. One rule amended is: When in doubt, pout. Manmohan doesn’t believe in action, only belated reaction. From acting against A Raja to mishandling the Lokpal Bill, the premier has been forced by an invisible hand to take the call. He has successfully crossed many hurdles but not without getting his reputation muddied. While his Government grapples with rising inflation, a ferocious civil society and a furious judiciary, Manmohan and Sonia are again politically paralysed—this time by the Telangana crisis. Even as a large number of Andhra Congress leaders defy the High Command’s might, the duo is unwilling to bite the bullet, though willing to be hit by it.

For the economist in Manmohan, a smaller state makes economic sense. For the politician in Sonia, it is another opportunity to create yet another fiefdom. The Telangana agitation’s intensity makes it clear that it won’t subside in a hurry. It has multi-party support, and is spearheaded by students and opinion-makers. While political compulsions may be driving the sustained T-campaign, the arguments put forward make sense. Ever since Andhra Pradesh was formally created in 1956, the people of Telangana have been protesting against the forced merger. Even the first States Reorganisation Commission (SRC) headed by Justice Fazal Ali was opposed to idea of merging Telangana with Andhra Pradesh on economic grounds. In its report, the SRC very categorically stated: “After taking all these factors into consideration, we have come to the conclusions that it will be in the interests of Andhra as well as Telangana, if for the present, the Telangana area is to constitute into a separate state, which may be known as the Hyderabad State with provision for its unification with Andhra after the general elections likely to be held in or about 1961 if by a two-thirds majority the legislature of the residency Hyderabad State expresses itself in favour of such unification.”

The SRC’s advice was rejected by then prime minister Jawaharlal Nehru and Andhra Pradesh’s powerful Congress leaders. Fifty-five years later, Nehru’s blunder has come home to roost at his granddaughter-in-law’s doorstep. The impression that only affluent coteries in Andhra Pradesh can hold the central leadership to ransom has gained ground in the state. Most of these own huge swathes of real estate and numerous business establishments in Hyderabad; they fear eviction if a new state is born. Andhra Pradesh was carved out on a linguistic basis. The fact that people speaking the same language are fighting for a separate state is a clear indication of the economic and administrative impulses behind the agitation.

The T-struggle underlines the growing clamour for smaller states. As India grows annually by over 8 per cent, the benefits are not being distributed equitably. Smaller states like Goa, Sikkim, Kerala and Himachal Pradesh have scored well in social sectors like health and education. Despite having a smaller share of the GDP, they have created more wealth than many of the bigger states. Both politically and administratively, it is easier to manage smaller states. The time has come to divide all big states into smaller ones. If the US, with less than one-third of India’s population, can have 50 states, why can’t India be divided into at least 40 smaller units? It will ensure better governance and facilitate regional leaders to become stakeholders in the development of their own areas.

Economic and political power is concentrated in the hands of a few who are now feeling insecure. For them, the creation of more states means the emergence of a new corporate and political leadership that could challenge the established order. More states are facing the demand for smaller states: Uttar Pradesh Chief Minister Mayawati has sought the division of her state into three smaller units. A powerful mass movement is building up for the creation of Vidharabha in Maharashtra and a new hill state in West Bengal. It is tragic that even genuine demands for new states have been conceded only after violent political agitations. For example, the Punjabi-speaking state of Punjab was created in 1966 after years of protest. The NDA government saw historical reasons and created three new states—Chhattisgarh, Uttarakhand and Jharkhand—because prime minister Atal Bihari Vajpayee saw an opportunity for his party to gain power in smaller states. Until now, the Congress hasn’t been able to return to power in the above states.

The fear of the unknown has crippled the Congress High Command and the prime minister. They genuinely feel that new states will weaken the Congress and strengthen regional parties. They also anticipate the rise of new regional satraps who will not be dependent on the Congress High Command for survival. Those who favour smaller states argue that the Congress should grab the opportunity—it gives the party a chance to absorb new leaders in new states, which will eventually help the Congress to grow. However, the leadership prefers to rule only in Delhi, even if it means losing all other state capitals either to Congress rebels or its adversaries. Herein lies the reason for the current state of indecisiveness at the top.

prabhuchawla@newindianexpress.com

Tuesday, December 14, 2010

Power & Politics / Mail Today, December 12, 2010

FRESH from his landslide victory in the assembly elections, Nitish Kumar seems to be in a hurry— to clean up Bihar politics. He has just turned off the tap of legislative spoils in the state without caring a hoot either for the muted murmurs from his own stable mates in the NDA or the loud protests from the opposition. Last Friday, the Bihar Cabinet decided to abolish the ` 1 crore given annually to all legislators of the state assembly and the Bihar council under the Local Area Development ( LAD) fund. The move will save the State exchequer ` 318 crore. But the bigger benefit is immeasurable. It will help the Bihar legislators overcome the credibility deficit— that many of their compatriots across the country face.

The MLA LAD fund is an offshoot of the MPLAD scheme introduced by the Narasimha Rao government whose aim was to help MPs execute development in their constituencies. State governments followed suit with similar funds for MLAs. When the scheme was launched in 1993- 94, the annual grant was ` 50 lakh per MP.
The amount was increased to ` 1 crore in 1994- 95 and four years later, it was again doubled. Under the scheme, funds are directly sent to the district authorities who are supposed to examine and implement the developmental works recommended by the local MP.
The officials are expected to maintain details of the funds utilised and the work executed and are to send monthly progress reports to the Ministry of Statistics and Programme Implementation. According to a reply given to a recent RTI query, the total amount released under MP LADS since its inception is ` 20,957.25 crore as of march 2010. That’s for about 800 MPs alone. Add ` 1 crore each to nearly 4,000 legislators for the last 15 years and it works out to a mindboggling ` 60,000 crores.

That kind of money over a decade and a half should have made our villages cleaner and the villagers healthier. But travel into the interiors and you will realise that in the past 15 years, things have only gone from bad to worse.

The reason is simple: there are just too many middlemen walking away with the cash meant for the poor. The flood of central schemes like the JNNURM, MNREGA and suchlike have only made matters easier for the touts: there is too much duplication and too little accountability. That’s why nobody is surprised when audits show that the same stretch of road has been constructed under differ- Narasimha Rao ent schemes or that the same well is shown to have been built five different times.

Last year, a CAG review of some MPLAD schemes found many instances of the money being diverted for purposes it was clearly not meant for.

In Andhra Pradesh, the CAG found that money released by the Centre for development was parked in term deposits in banks in violation of rules which clearly state that money should be kept in savings accounts in nationalised banks and is not to be kept in fixed deposits.

An earlier CAG review found huge amounts of money being diverted to purposes ranging from building clubs to renovating schools owned by powerful politicians or their relatives or even landscaping some bigwig’s front yard. Despite such massive frauds, the programme implementation ministry had proposed last year to increase the annual outlay for each MP from ` 2 to ` 5 crore. The suggestion was thrown out by the Planning Commission with one official remarking that “ MPs would do better making laws than administering development work”.
Nitish has taken a very bold step and deserves all praise. He is the first Chief Minister in the country to do so. It has added several inches to his stature, besides giving him the moral right to do everything for probity. He has clearly taken his idea of governance a notch above the rest.
Indeed, it is heartening to note that Bihar— which is largely known as a land of scams— has just dished out a lesson in good governance for rest of the country.

Without the LAD funds, which many describe as the drip- dripdrip of corruption used in creating foot soldiers, the public representatives will have to increasingly represent people to stay relevant in their constituencies. For once it can be said that Bihar has shown the way. It’s now up to the rest of the country to follow.