Friday, July 10, 2009

In the name of poor

The pleasant climate of July at the hillock and the happiness of entering into cool second year are enough reasons to relax and improve upon my laziness. Few days ago, after sleeping for more than 12 hours in a go, I decided to watch Shoaib Mansoor's brilliant movie titled "Khuda Ke Liye (In the name of God). I had read a lot about the movie when it was released in Pakistan in 2007 and subsequently in India in 2008. I had watch it too in pieces. With tea breaks and phone calls coming nonstop, I finished the movie in 4-5 hours! Just after finishing that movie I read some article about oil subsidy in India and in particular the subsidies on Kerosene. I was still engrossed by the thoughts of the movie and found some relations between the movie storyline and Kerosene subsidy.
For a long time political parties of India have favored the huge subsidy burden of Kerosene in the name of poor. But, I seriously doubt if a poor really wants to pass his whole life in the dim light of a Kerosene fulled diya or lantern and to imagine the same happenings with his/her upcoming generations. It is just the corrupt Indian netas and babus who wants to fill their pocket by diverting the subsidy are shouting that the poor needs subsidized Kerosene. It is as similar as killing human in the name of Khuda. I seriously doubt if any god, allah, or bhagwan would like his followers to kill his own creature! But people with their vested interests in this killings try to justify it in the name of Khuda.

Weird the above comparison may sound, but the similarity betwen both the acts is that both are being done in the wrong names (poor and khuda). Following table gives the figures of under recoveries on the sell of different petroleum products:

Amount of Under-recoveries Suffered by Public Sector Oil Marketing Companies (OMCS) in Selling PDS Kerosene and Domestic LPG,
Petrol and Diesel in India
(2004-2005 to 2008-2009)

(Rs. in Crore)

Under Recovery*

2004-05

2005-06

2006-07

2007-08

April-Dec., 2008

PDS Kerosene

9480

14384

17883

19102

25100

Domestic LPG

8362

10246

10701

15523

16137

Petrol

150

2723

2027

7332

6383

Diesel

2154

12647

18776

35166

58595

Total

20146

40000

49387

77123

106215


As crude prices had fallen down during the first quarter of 2009, the total under recovery on Kerosene would be in the range of 30000 Crores during FY 2008-2009. This amount is sufficient to establish 6000 MW of Coal or gas based thermal power station. Simple calculation further suggests that if we provide four pieces of 10 W CFL to each of those BPL families for whom the subsidized kerosene was meant, a 6000 MW plant can light up 80-100 million households even under Indian T&D losses. The electricity charges for these lighting would be in the tune of Rs. 6000-8000 Crores considering each unit of electricity at Rs. 4. I understand the practice is not so simple as this calculation. There are a lot more requirements starting from plant building, to transmission grid and electrification to providing CFL tubes. But, I am not talking something impossible. If the poor's symphatizer government can spent around Rs. 90,000 crores in Kerosene subsidies over last five years alone, why did it fail to spend even a small portion of that to provide electricity to these poors.
The motive of these governments run by the corrupt and cunning politicians is clear. They want the poor to continue living under the kerosene light so that they (netas and babus) and number of their upcoming generations can enjoy their evening in the glittering surroundings of five star hotels with the looted money out of subsidy scheme. Who is benefitting from these subsidies? A report by NACEAR had estimated around 40% of the subsidized Kerosene don't reach to the teargetted population. Following table about the leakage in the Kerosene distribution will clear the picture:

Extremely high leakage (More Than 50%)

Low leakage (Less Than 20%)

Four States

Bihar, Chandigarh, Delhi,

Jharkhand, Orissa and Punjab

Assam, Chhattisgarh, Tamil Nadu and Uttaranchal

Andhra Pradesh, Gujarat,

Haryana, Karnataka, Madhya

Pradesh, Maharashtra,

Meghalaya, Rajasthan and Uttar

Pradesh

Goa, Himachal

Pradesh, Kerala and


So, for whom these subsidized Kerosene meant for? Definitely not for the poor. It is meant to divert the taxpayers money to netas and babus. By the means of these subsidies in the name of poor we are subsidizing OPEC nations! Now, I shift my focus towards last few central governments. Frankly speaking, it is hard to expect a clean government in India. But, there is a possibility of looking for best among the worst. A closer look at following graph makes things more clear and tell the truth about the government of aam aadami headed by a really clean and honest person!


Wednesday, January 21, 2009

BJP's Double Dilemma

During the last week, all the political news space in the electronic and print idea across the globe was taken away completely by perhaps one of the most important political happenings of this millennium and that too under the one of the most volatile and turbulent economic and political scenario globally. Yes, it was Barack Obama's inauguration as the 44th president of United States of America. Thanks to the increased internet penetration among the Indian youths and global economic integration, the whole Obama story, from his nomination to inauguration, got much hype in Indian media as never before any U.S. presidential election was worth of newsmaking in Indian media- especially in the print media. All of this was very much justified as the media was flashing what the people were looking for. But, in between this Obama story some of the big news of Indian politics got lost. I am personally happy with these kind of news did not get the prime space in media. I am refering to the resignation of former U.P. CM Mr. Kalyan Singh from BJP's primary membership.
This is not something which was totally unexpected. In fact, it was on the expected lines and was just the matter of time that when would it happen. After the loss in previous Loksabha elections and the subsequent departure of Atal Bihari Vajpayee from active politics, BJP as a party has struggled to sail smoothly. What BJP is facing and observing now is what I call the "Double Dilemma of BJP".
With the changic demographies of voters, that is more and more youth are joining the voting force, and slowly but steadily increasing expectations of voters about there futures has forced the BJP to overhaul the party. The outcome of recent state elections are clear sign of how the voter is going to exercise his vote? He or she is no more interested in living in the glory of past or wasting his future life in settling the scores of past. Thanks to Obama, at least one man has raised to occasion when the politics was in desperate need of a politician who can look into the future, especially after Bush remained busy during his two terms in settling the scores of his father. In the context of Indian politics I can't see any Obama or Obama-like currently available. But, I have hope. Slowly and gradually the Indian voter is looking for some futuristic leader. BJP realized this bitter fact by now that it can no more get votes in the names of Ramas and temples. Even the fear factor or safety cocerns seemed like thing of past. Especially dueing the tenure of NDA government we witnessed IC-814 hijack, and attack on parliament as the major terrorist attacks besides number of other smaller terrorist attacks. So, people of India has accepted the terror attacks as the part and parcel of their lives. So, in these changing times, when neither Hindutva card of security card was working in the favor of BJP. It needed some broader vision and bigger and better agenda for itself. Ironically, it was the oldtime harcore Hindutva face of BJP, Mr. L. K. Advani, who realized this changing rules of the game of Indian politics. He chose a perfect weapon to appease Indian Muslims and attack Congress by praising Md. Ali Zinnah. But, unfortunately it backfired and Adavani faced big time resistance from his party, RSS and VHP. The actions of BJP's posterboys such as Narendra Modi, Shivraj Chauhan, and Raman Singh over the last few years clearly suggest that Hindutva, Swadeshi idealism, and RSS might have been the reason behind their rise in Indian politics but it is the development and a vision for better future that is keeping them at that height in Indian politics and helping them achieveing further electoral success.

Coming to the "Double Dilemma", BJP is trying to sideline all the old warhorses in order to achieve two things- one to ensure that no hinderance in the way of candidature of Advani as prime minister and at the same time to ensure that after Advani it will be second generation leaders at top in BJP. Bringing second generation leaders in the top has become almost unavoidable to BJP. But here the trouble starts for the BJP. These old warhorses has started digging the grave for their party itself. BJP is confused between the choices of making these old warhorses happy and keeping them within the party or let them go and bring the second generation leaders in front and overhaul the party into a modern visionary party. Both the choices has its cons and pros. Making the old leaders happy and keeping them the poster faces in the coming election will result in a big jolt to the reform, modernization and overhauling of the party structure and image. Letting them go may result in loss of big share of votes in the coming elections and ultimately the desperate dream of Mr. Adavani will remain a dream forever. But, one thing is clear, it is a choice between short-term gain versus long-term advantage. Of course, opportunity is in the hands of thinker, planners and executers at BJP headquarter that what they want to do?

First it was 86 years old former vice president Mr. Bhairo Singh Sekhawat and now it is 76 years old former CM of UP, Mr. Kalyan Singh. Mr. Sekhavat crossed all the limits of greed and shamelessness. Just ensuring the defeat of Vasundhara Raje in the recent Rajsthan assembly election was not not enough to fulfill his greed. At the age of 86, after completing his term as vice-president and contesting for presidential election, he wants to contest upcoming Loksabha elections. In his response to denial of the ticket by party president Mr. Rajnath Singh, Mr. Sekhavat crossed all the limits of cheapness and shamelessness. He reponsded by saying, "I entered into the poltics when Rajnath was not even born". Who will make Mr. Sekhavat understand that your answer itself says that now you must quit active politics. What will he achieve at the age of 86 which he has failed to achieve by being in active politics for more than 60 years. Kalyan's response was also on the similar lines. Though, he was given ticket form Etawah parliamentary constituency, but he was not happy with his limited role in the party'd day to day affairs. He responded by saying, "the party has forgotten the senior leaders like Madanlal Khurana, Babulal Marandi, and Uma Bharti. Who will tell these veterans that their time is over now.Gone are the days when they can attract votes in the name of Ram and temple. They should now say good bye to active politics.

So, this is the time for BJP to do something new and different. Say good bye to these old warhorses. They don't have Obama, but they have severals of young (though not so young!) entusiastic politicians like Arun Jaitely, Narendra Modi, Ravishanakar Prasad, Madhavendra Singh, Shahanawaz Hussain, and Rajiv Pratap Rudi. Give these young leaders some responsibilities and prepare them for future. Come out of this dilemma as a stronger and visionary party rather than succumbing to the demand of these old blinds! Act before it's too late!