Govt. Disinvestment plan goes for a toss

by Harish Gupta, National Editor, Lokmat Group

Govt. Disinvestment plan goes for a toss

BPCL, Air India waiting for buyers

Massive short-fall in revenue collections

Harish Gupta

New Delhi, Jan. 7

The divestment plans of the Modi government has taken a big hit this fiscal as plans to earn more than Rs one lakh crores by selling a few Navratna PSUs have taken a big hit.

A worried Prime Minister Narendra Modi is now prodding the captains of the industry personally to invest after the major cut in corporate taxes and series of measures taken by his government. In fact, the Modi government could raise only

Rs 17,364 crore through divestment during 2019-20 so far. The plans to sell BPCL, Concor, Air India and several others have not yielded any results.

The luck-luster response even from the foreign investors to buy businesses has made the Modi government to re-work modalities to raise hundreds of thousands of crores needed to fill the government coffers as revenues are dwindling. The GST collections are down by as much as Rs 1.18 lakh crores during 2019-20 and direct tax collections are far below the estimated growth. The short-fall in net revenue collection could be as high as Rs 2.50 lakh crores if divestment targets are not met.

The desperate government is now wanting to sell the BPCL for a song. Though the real value of the BPCL is more than Rs 1.50 lakh crores, it is willing to off-load it for Rs 75000 crores only. The government is now spending less on projects and social welfare schemes as a measure to keep the fiscal deficit in check. The big-bang VRS plan for the BSNL employees to dole out Rs 69000 crores is also being delayed as there is no money in the kitty. The down-fall in the financial markets including the sensex had caused anxiety in the government.

In the global uncertain conditions and growing social unrest in India has vitiated the investment climate. The foreign funds believe in making quick money in the share market and walk away rather than put up long term investment in plants. It is in this background that the government is unlikely to complete the strategic sale of Bharat Petroleum Corporation (BPCL), Container Corporation of India (Concor), and Air India by March-end.

The Prime Minister's meeting with the industrialists yesterday has not yielded expected results. The PM candidly asked them to give frank suggestions to boost the economy rather than praising him and economy. They told him in one voice that consumer sentiment required a boost.

Ends 

New Year season brings Marathon Ministerial meetings

by Harish Gupta, National Editor, Lokmat Group

New Year season brings Marathon Ministerial meetings

Modi to hols several conclaves of Council of Ministers

Harish Gupta

New Delhi, Jan. 6

After holding nine-hour marathon meeting with his council of ministers on Saturday last, the Prime Minister, Narendra Modi has decided to hold sectorial meetings of the his council during the next two weeks. All the ministers have been advised to stay put during these meetings and curtail their visits outside the Capital barring unforeseen reasons.

If sources are to be believed, the Council of Ministers comprising of 56 ministers have been asked to be present during the series of such meetings beginning tomorrow. PM Modi wants to involve not only Cabinet ministers numbering 23, he also wants all nine Ministers of State (Independent Charge) and 24 Ministers of State with his plan of action for the next five years. Modi wants ministries of infrastructure, agriculture and rural development sectors to make presentations to apprise all the ministerial colleagues of the vision for the next five years and involve them.

While the Saturday's nine hour meeting was aimed at Civil Aviation, Urban development, railways, agriculture and Jal Shakti ministries, the next meetings will focus on specific sectors and plans. According to sources, the second meeting of the Council of Ministers will be held tomorrow and then day after. The Council of Ministers used to meet twice a year, at least that had been the pattern during Modi's first stint between 2014-19. But now the PM wants to involve the entire council frequently. This may be five-year sector-wise vision documents concerning a group of ministries with all the secretaries in toe.

Modi wants that his ministerial colleagues must have detailed understanding of issues which are not related to their ministries. This will create a synergy within the government but also bring cohesiveness of functioning. Modi plans to hold similar sessions for the members of parliament in the weeks to come so that they are also aware of complexities of the functioning and importance of development. The focus of the Saturday meeting was infra and agriculture sectors.

Obviously, the Prime Minister's focus is on development and telling the countrymen of his achievements in 2024 Lok Sabha polls as promised. Of course, there have been several light-hearted moments and stray comments. But politics per se was not discussed including the controversial Citizenship Amendment Act (CAA).

Ends

Amit Shah burning midnight oil Confrontation between Centre-states building on CAA

by Harish Gupta, National Editor, Lokmat Group

Amit Shah burning midnight oil

Confrontation between Centre-states building on CAA

Harish Gupta

New Delhi, Jan. 4

Worried over continued protests over the Citizenship Amendment Act (CAA) in parts of the country, the BJP leadership is working on multiple fronts to isolate these protesters.

If the party leadership has decided to launch a countrywide blitz to derail these protests, the Modi government has launched a diplomatic offensive globally to counter the propaganda in this regard.

What has worried the government more is that protesters have changed their strategy and going the way shown by protesters in Assam. These protesters are now completely peaceful, siting on dharna, offering flowers to the policement surrounding them. The protesters from the minority community are even carrying National Flag in their hands and chanting Jana Gana Mana. Barring the initial week of violent protests, the protests in Delhi and elsewhere are peaceful. Nearly eleven states ruled by the non-NDA parties are witnessing massive protests and even states of North East are part of it.

Though BJP chief Amit Shah has been making strong statements in support of the CAA, the ministry of Home Affairs has not issued rules pertaining to the amended act. Perhaps, the government is waiting for the supreme court to open after the winter break and make some initial obervations when the hearing begins.

The Ministry doesn't want to precipitate the issue and busy finding a solution to the tricky situation arising in Assam where the BJP has promised to protect the Assamese culture and identity.

The BJP leadership's brainstorming two days ago was part of this exercise. It discussed the consequences of the resolution passed by the Kerala Assembly against the implementation of the CAA. Though the Home Ministry termed it unconstitutional and beyond the powers of the state, the trend is worrying. Pressure is mounting on the Assam government to pass such a resolution and tell the Centre that CAA in its present form can't be accepted.

Meanwhile, the MHA has told the states informally that if they do not implement CAA and NPR beginning April, the officers may be liable to be prosecuted. If the state gpovernments don't cooperate, it will tantamount to breakdown of the constitutional machinery and may lead to dismissal of the government itself. The MHA has also made it clear that states have no role in it and they need not be consulted either.

The states of Kerala, West Bengal, Madhya Pradesh, Chhattisgarh, Rajasthan, Punjab and Maharashtra have declared that they would not implement CAA.

Ends 

Suspense over Change of Guards in BJP continues

by Harish Gupta, National Editor, Lokmat Group

Suspense over Change of Guards in BJP continues

Harish Gupta

New Delhi, Jan. 2

Intense speculation is on in the BJP over the exact date of take over of J P Nadda as the full time president of the BJP.

While a section believe that the much-awaited change of guards may take place after the Makar Sankranti in January, others say that the process of completing states' organisational polls is not over yet. The process of organisational polls in states is likely to be completed sometime in January and J P Nadda may be handed over the reins anytime thereafter.

J P Nadda was designated working president of the BJP in June last year. It was stated then that Union Home Minister Amit Shah will demit the party post keeping in mind the “one man one post” principle doggedly followed by the BJP. But Amit Shah continued into the post in order to familiarise Nadda with the organisational structure.

In the meantime, it was felt by the party that let Amit Shah continue in the post and directly monitor the Assembly polls in Maharashtra, Haryana and Jharkhand. Somehow, the results were a serious set back to his winning streak and now he is keen to quit before the Delhi Assembly polls due in the first week of February.

However, no decision has been taken whether Amit Shah will hang his boots as party president before the Delhi Assembly polls or prior to the polls itself. He has already constituted a team of three ministers- Prakash Javadekar, Hardeep Singh Puri and Nityanand Rai- to oversee Delhi polls. The notification is likely to be issued anytime now for the Delhi polls. But no one is giving any numbers to the BJP in Delhi. Shah may be keen to demit the office but Nadda doesn't want to begin his inninings in office with a poor note. Therefore, it is likely that he may take over some time in mid-February when the Parliament will go into a recess after the Budget presentation and results of Delhi polls will be out.

Ends 

Why Amit Shah pushed for CAA in Winter session?

by Harish Gupta, National Editor, Lokmat Group

Why Amit Shah pushed for CAA in Winter session?

An Inside story of how BJP, Modi Govt. worked overtime

Harish Gupta

New Delhi, Jan. 1

The mystery is unfolding as to why Union Home Minister Amit Shah pushed for the passage of Citizenship Amendment Act (CAA) at the fag end of the Winter session of Parliament.

The entire 2019 had been highly successful and a historic year for the party and the government. After winning LS polls with a massive mandate, the government passed the long pending Triple Talaq Bill in Parliament on July 31 during the Monsoon session. Immediately came the historic moment when Amit Shah succeeded in abrogating Article 370 on August 5 and kept the Valley peaceful throughout. The world also accepted the reality. As if this was not enough, the Ram Temple unanimous verdict from the Supreme Court also came on November 9 which solved the century old dispute.

But it seems Amit Shah became ambitious and wanted long pending CAA bill be passed in 2019 itself.

The underlining political gain of the move was to win the Assembly polls in West Bengal due in 2021. Of the 11 crores estimated population and around 7 crores voters, the Home ministry's estimate of illegal immigrants was one crores in West Bengal. Of these 1 crore illegal immigrants, the BJP's assessment is that nearly 25-30 lakhs belong to non-Muslim religions. The passage of the CAA will make them eligible voters while the 70 lakh illegal Muslims would be denied these benefits.

It was a politically very ambitious target and the BJP leadership was elated with the move when Amit Shah proposed it. The CAA, if implemented, would impoact at least 95 Assembly seats in state.

The abandoned NRC exercise in Assam had revealed that there were 18 lakhs illegal residents in Assam alone. Therefore, the number of such immigrants in WB would be more than one crores. It is in this background that the party and the government wanted the CAA's passage as the Opposition was disintegrated and non-NDA parties were falling in line to support the BJP.

For Amit Shah, winning West Bengal is a dream bigger than Tripura. He is nowadays, even taking lessons in Bengali to address the people of Bengal during the campaign for the 2021 Assembly elections in their own language. The attempt is to counter the narrative that the BJP is a Hindi heartland party.

But the massive street protests has dampened the spirit and everything is now on hold. This was never envisaged.

Ends