New Gov Schemes

Pandit Madan Mohan Malaviya National Mission on

Teachers and Teaching (PMMMNMTT):


 Launched in March 2015.
 Concerned Ministry: Ministry of Human Resource Development
About Scheme:
 Under the scheme Government will set up 50 Centres of Excellence for Curriculum and Pedagogy with necessary emphasis on Maths and Science.
 It is mandated to ensure a coordinated approach so as to holistically address the various shortcomings relating to teachers and teaching across the educational spectrum ranging from school education to higher education including technical education; using the best international practices for excellence.
 It will also empower teachers and faculty through training, re-training, refresher and orientation programmes in generic skills, pedagogic skills, discipline specific content upgradation, ICT and technology enabled training and other appropriate interventions.
 The various components of PMMMNMTT:
1. setting up 30 Schools of Education,
2. 50 Centres of Excellence for Curriculum and Pedagogy,
3. Two Inter University Centres,
4. National Resource Centre,
5. Five Centres of Academic Leadership and Educational Management,
6. Subject Based Networks and Workshops and Seminars,
 This will strengthen teachers, and in turn will improve the understanding of the students to grasp basic concepts and help them learn better.
Unnat Bharat Abhiyan:
 Launched in December 2014.
 Concerned Ministry: Ministry of Human Resource Development
About Scheme:
 The program was launched with an aim to connect institutions of higher education, including Indian Institutes of Technology (IITs), National Institutes of Technology (NITs) and Indian Institutes of Science Education & Research (IISERs) etc. with local communities to address the development challenges through appropriate technologies so as to ensure sustainability.
 The objectives of Unnat Bharat Abhiyan are broadly two-fold:
Building institutional capacity in Institutes of higher education in research & training relevant to the needs of rural India.
Provide rural India with professional resource support from institutes of higher education ,especially those which have acquired academic excellence in the field of Science, Engineering & Technology and Management.
 Under this programme, 132 villages have been identified for intervention by the following 16 institutes of higher education so far.
 Based on area/village identification, the Unnat Bharat Cells in the Institutes will develop strategies for problem and resource mapping and developing a holistic development plan with clear inputs and measurable outcomes and time lines.
Various issues that can be undertaken are listed as follows:
 Natural resource management (water and watersheds, soil, bio-diversity),
 Economic Productivity through appropriate technologies for sustainable agriculture and agro-processing,
 Entrepreneurship and Skill development through multipurpose service-cum-training centers in rural areas,
 Technological and managerial interventions on developing Physical Infrastructure (rural housing, drinking water, improved sanitation, low-cost toilets, renewable energy, rural and regional plans.)
 Rural electronics and IT to provide access to technology in the areas of health, sanitation, sustainable agriculture, education watershed management, etc.
 Social and institutional infrastructure development such as Health, Education, Public Transport, PDS. etc.
Other Initiatives in Education sector by Ministry of Human Resource Development are:
 A specific “Swachh Vidyalaya” campaign has been rolled out which will ensure that a functional toilet is available in every school before 15th August 2015.
 UDAAN is an initiative of the Central Board of Secondary Education (CBSE) to enable disadvantaged girl students and other students from SC/ST & minorities to transit from school to post-school professional education especially in Science and Math. It aims to reduce the quality gap between school education and engineering education entrance systems by focusing on the three dimensions-curriculum design, transaction and assessment. It will do this by enriching and supplementing teaching and learning of Science and Mathematics at Senior Secondary level. The CBSE will provide free and online resources to the entire student population with special incentives and support to a thousand selected disadvantaged girls per year.
 UGC has formulated the scheme Swami Vivekananda Single Girl Child Scholarship for Research in Social Sciences the scheme under which 300 scholars would be provided Junior Research Fellowship @ Rs. 8,000/–10,000/- per month, and will be implemented from academic year 2014-15.
 The AICTE scheme PRAGATI (Providing Assistance for Girls’ Advancement in Technical Education Initiative) envisages selection of one girl per family where family income is less than 6 lakhs / annum on merit at the qualifying examination to pursue technical education. The scheme is to be implemented by the authorized admission centre of respective State Governments. 4000 girls are expected to get benefit of scholarships available per annum. The scholarship amount is Rs. 30,000 or tuition fees or actual whichever is less and Rs. 2000 / month for ten months as contingency allowance.
 AICTE has decided to award 1000 scholarships per annum under Saksham to differently abled students to pursue technical education based on merit in the qualifying examination to pursue technical education. The scholarship amount would be Rs. 30000 or tuition fees or actual whichever is less and Rs. 2000 / month for ten months as contingency allowance.
 The UGC has launched a special scholarship Scheme for students of North East Region Ishan Uday from the academic session 2014-15. The Scheme envisages grant of 10,000 scholarships to students from North East Region whose parental income is below Rs. 4.5 lakh per annum and would be provided scholarship ranging from Rs. 3,500 to 5,000 per month for studying at under graduate level in Colleges/Universities of the country.
 Ishān Vikās is a comprehensive plan to bring selected students from the school and college levels from the North-Eastern states into close contact with the IITs, NITs and IISERs during their vacation periods. A typical visit is envisaged for a period of ten days to one of these institutions, in the form of either an exposure or an Internship programmed. Each school will send one teacher to accompany a group of about 32 students of class IX and X and 8 teachers. The college students would be organized in two groups in summer and in winter, consisting of 32 students each group. About 2016 college students and 504 teachers from N-E will be visiting premier Institutes, like IIT/NIT/IISERs in an academic year.
 Padhe Bharat Badhe Bharat initiative was launched on 26th August, 2014, to focus on the quality of foundational learning so that each child attains appropriate learning levels in classes I and II for reading, writing language comprehension and numeracy. Padhe Bharat Badhe Bharat is a sub-component of Sarva Shiksha Abhiyan(SSA) and is being rolled out by 17 States and UTs.
 Under SWAYAM (Study Webs of Active-Learning for Young Aspiring Minds) Programmed Professors of centrally funded institutions like IITs, IIMs, Centrally universities will offer online courses to citizens of our country. All courses will be made available free of cost for learning. In case the learner requires a Verified Certificate, a small fee will be applicable.
 Work has commenced on “Shaala Darpan” to ensure that from next academic year, parents of students of Government and Government aided schools can through a mobile application access updates on their child’s progress regarding attendance, assignments, and achievements.
Employment/Training:
Deen Dayal Upadhyaya Grameen Koushalya Yojana:
 Launched in September, 2014.
 Concerned Ministry: Ministry of Rural Development
 There are several challenges preventing India’s rural poor from competing in the modern market, such as the lack of formal education and marketable skills. DDU-GKY bridges this gap by funding training projects benchmarked to global standards, with an emphasis on placement, retention, career progression and foreign placement.
 Under the scheme, Rs. 1 lakh per person will be provided, depending on the duration of the project and whether the project is residential or non-residential. DDU-GKY funds projects with training duration from 576 hours (3 months) to 2304 hours (12 months).
 The scheme has replaced the earlier scheme Aajeevika Skill Development Program.
Features of the scheme are as follows:
 Demand led skill training at no cost to the rural poor
 Mandatory coverage of socially disadvantaged groups (SC/ST 50%; Minority 15%; Women 33%)
 Pioneers in providing incentives for job retention, career progression and foreign placements
 Post-placement support, migration support and alumni network
 Guaranteed Placement for at least 75% trained candidates
 Nurturing new training service providers and developing their skills
 Greater emphasis on projects for poor rural youth in Jammu and Kashmir (HIMAYAT), the North-East region and 27 Left-Wing Extremist (LWE) districts (ROSHINI)
 All program activities are subject to Standard Operating Procedures that are not open to interpretation by local inspectors. All inspections are supported by geo-tagged, time stamped videos/photographs.
Nai Manzil:
 Launched in 2014
 Concerned Ministry: Ministry of Minority Affairs
 To mainstream Madarsa students through bridge course with the help of reputed Academic Institutions.
 To be implemented by Maulana Azad Education Foundation (MAEF).
Following Five Institutions have been selected to provide bridge course to 3000 students :
 Aligarh Muslim university (AMU)
 Jamia Milia Islamia University
 National Institute of Open Schooling (NIOS)
 Indira Gandhi National Open University (IGNOU)
 Maula Azad National Urdu University (MANUU)
USTTAD (Upgrading the Skills and Training in
Traditional Arts/Crafts for Development):
 Launched in May 2015, in Varanasi.
 Nodal Agency: Ministry of Minority Affairs
 The Scheme aims at upgrading Skills and Training in preservation of traditional Ancestral Arts/Crafts of minorities.
4 Components of the scheme:
 Up-gradation of Skills and Training in Traditional Arts/Crafts through Institutions.
 USTTAD Fellowship for Research and Development.
 Support to Craft museum for curating traditional arts/ crafts.
 Support to minority craftsmen/artisans for marketing Nationally/ Internationally through Export Promotion Councils.
Other Initiatives:
Maulana Azad National Skills Academy (MANAS) for upgrading entrepreneurial skills of minority youth. and ‘Cyber Gram’ to impart training for Digital Literacy. Training of 1,70,005 minority students has been sanctioned upto 31.12.2014.
Finance
Pradhan Mantri Jan Dhan Yojna (PMJDY)
 Launched on 28th August, 2014
 Nodal Agency: Ministry of Finance
 Scheme was launched with a revised target of 10 crore bank accounts by 26th January 2015.
Payment solutions are an important part of financial inclusion for which a new card payment scheme known as RuPay Card has been in operation since 8th May, 2014.
Banks have further been asked to provide universal coverage across all the six lakh villages of the country by providing at least one Basic Banking Account, per household, with indigenous RuPay Debit Card having inbuilt accident insurance of ‘ 1.00 lakh and life insurance cover of ‘ 30,000.
The RuPay Card is on par with other debit cards. These two schemes are complementary and will enable achievement of multiple objectives such as financial inclusion, insurance penetration and digitalization.
Insurance:
Pradhan Mantri Suraksha Bima Yojana:
 Launched on 9th May 2015
 Nodal Agency: Ministry of Finance
 Under PMSBY, the risk coverage will be Rs. 2 lakh for accidental death and full disability and Rs. 1 lakh for partial disability. The Scheme will be available to people in the age group 18 to 70 years with a bank account, from where the premium would be collected through the facility of “auto-debit”.
 The scheme will be offered by all Public Sector General Insurance Companies and all other insurers who are willing to join the scheme and tie-up with banks for this purpose.
 Various Ministries can co-contribute premium for various categories of their beneficiaries from their budget or from Public Welfare Fund created in this budget from unclaimed money. This will be decided separately during the year. Common Publicity Expenditure will be borne by the Government.
Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)
 Under PMJJBY, annual life insurance of Rs. 2 lakh would be available on the payment of premium of Rs. 330 per annum by the subscribers. The PMJJBY will be made available to people in the age group of 18 to 50 years having a bank account from where the premium would be collected through the facility of “auto-debit”.
Atal Pension Yojana (APY):
 Under the APY, subscribers would receive a fixed minimum pension of Rs. 1000 per month, Rs. 2000 per month, Rs. 3000 per month, Rs. 4000 per month, Rs. 5000 per month, at the age of 60 years, depending on their contributions, which itself would vary on the age of joining the APY.
 The Central Government would also co-contribute 50 percent of the total contribution or Rs. 1000 per annum, whichever is lower, to each eligible subscriber account, for a period of 5 years, that is, from 2015-16 to 2019-20, to those who join the NPS before 31st December, 2015 and who are not members of any statutory social security scheme and who are not Income Tax payers.
 The pension would also be available to the spouse on the death of the subscriber and thereafter, the pension corpus would be returned to the nominee.
 The minimum age of joining APY is 18 years and maximum age is 40 years. The benefit of fixed minimum pension would be guaranteed by the Government.
Health
Swachh Bharat Mission (Gramin)
 Launched on 2nd October, 2014
 The scheme aims at attaining an Open Defecation Free India by 2nd October, 2019, by providing access to toilet facilities to all rural households and initiating Solid and Liquid Waste Management activities in all Gram Panchayats to promote cleanliness.
 Under SBM(G), the incentives for Individual Household latrines (IHHLs) have been enhanced from Rs.10,000/- to Rs. 12,000/- to provide for water availability. The part funding from Mahatma Gandhi NREGA for the payment of incentives for the construction of Individual House Hold Latrines (IHHLs) is now paid from the Swachh Bharat Mission (Gramin).
 Initiatives by the Government in this regard include media campaigns, provisioning for incentivizing ASHAs and Anganwadi workers for promoting sanitation, guidelines to involve Corporates in Sanitation sector through Corporate Social Responsibilities, strengthening online monitoring system for entering households level data gathered from the Baseline Survey.
Sardar Patel Urban Housing Mission
 Announced by Housing and Urban Poverty Alleviation and the Urban Development Minister M. Venkaiah Naidu in October 2014.
 Mission will ensure 30 million houses by 2022, mostly for the economically weaker sections and low income groups.
 To be built through public-private-partnership, interest subsidy and increased flow of resources to the housing sector, these houses are also aimed at creating slum free cities across the country.
 It will cover urban poor living in slums, urban homeless and new migrants to urban areas in search of shelter. It would cover metros, small towns and all urban areas.
Women and Children
Beti Bachao Beti Padhao (BBBP) Programme
 Launched on 22nd January, 2015 at Panipat, Haryana
 Nodel Agency: Ministry of Women and Child Development
 Scheme has been introduced for survival, protection & education of the girl child.
 It aims to address the issue of declining Child Sex Ratio (CSR) through a mass campaign across the country targeted at changing societal mindsets & creating awareness about the criticality of the issue.
 The Scheme will have focussed intervention & multi-sectoral action in 100 districts with low Child Sex Ratio. The districts with Child Sex Ratio below the National average of 918 (87 districts), above National average of 918 but showing declining trend (8 districts), Child Sex Ratio above National average of 918 and showing improving trend (5 districts).
 It is a joint initiative of Ministry of Women and Child Development, Ministry of Health and Family Welfare and Ministry of Human Resource Development.
Sansad Aadarsh Gram Yojana:
 Launched on 11th October 2014, on the occasion of birth anniversary of Lok Nayak Jai Prakash Narayan aims to keep the soul of rural India alive while providing its people with quality access to basic amenities and opportunities to enable them to shape their own destiny.
 Nodal Agency: Ministry of Rural Development
 Under the scheme each Member of Parliament will take the responsibility of developing physical and institutional infrastructure in three villages by 2019.
 Inspired by the principles and values of Mahatma Gandhi, the Scheme places equal stress on nurturing values of national pride, patriotism, community spirit, self-confidence and on developing infrastructure.
 It envisages integrated development of the selected village across multiple areas such as agriculture, health, education, sanitation, environment, livelihoods etc.
 It also aims at instilling certain values, such as people’s participation, Antyodaya, gender equality, dignity of women, social justice, spirit of community service, cleanliness, eco-friendliness, maintaining ecological balance, peace and harmony, mutual cooperation, self-reliance, local self-government, transparency and accountability in public life, etc., in the villages and their people so that they get transformed into models for others.
 The MP would be free to identify a suitable gram panchayat for being developed as Adarsh Gram, other than his/her own village or that of his/her spouse. There are 2,65,000 gram panchayats in India.
 The scheme will be implemented through a village development plan that would be prepared for every identified gram panchayat with special focus on enabling every poor household to come out of poverty.
 The constituency fund, MPLADS, would be available to fill critical financing gaps.
 The planning process in each village will be a participatory exercise coordinated by the District Collector. The MP will play an active facilitating role in this exercise.
 At the national level, a separate, real time web based monitoring system will be put in place for the scheme covering all aspects and components.
Agriculture:
Pradhan Mantri Krishi Sinchai Yojana:
 Announced in Budget 2015-16
 Nodal Agency: Ministry of Agriculture
 Identifying the need to provide assured irrigation to mitigate risk to the farmer since bulk of the farm lands are rainfed and depend on monsoon, Government in Budget 2015-16 proposed this scheme to facilitate access to irrigation.
 A sum of Rs.1,000 crores is being set aside for this scheme.
Paramparagat Krishi Vikas Yojana
 Announced in Budget 2015-16
 Nodal Agency: Ministry of Agriculture
 The scheme is aimed at irrigating the field of every farmer and improving water use efficiency to provide `Per Drop More Crop’.
 Traditional methods of farming such as Organic farming will be encouraged so as to improve soil health.
 Soil Health Card Scheme has also been launched to improve soil fertility on a sustainable basis.
Tourism:
 Launched in March 2015
 Nodal Agency: Ministry of Tourism
The Ministry of Tourism has launched two new schemes:
 Swadesh Darshan for Integrated Development of Tourist Circuits around Specific Themes.
 National Mission on Pilgrimage Rejuvenation and Spiritual Augmentation Drive(PRASAD) to beautify and improve the amenities and infrastructure at pilgrimage centres of all faiths.
 Under Swadesh Darshan, the following five circuits have been identified for development:-1. North East Circuit 2.Buddhist Circuit 3. Himalayan Circuit 4. Coastal Circuit 5. Krishna Circuit.
 Under PRASAD, initially twelve cities have been identified namely Ajmer, Amritsar, Amravati, Dwarka, Gaya, Kedarnath, Kamakhaya, Kanchipuram, Mathura, Puri, Varanasi and Velankanni.
River Conservation:
Integrated Ganga Conservation Mission – Namami Gange
 Announced in Budget 2014-15
 Nodal Agency: Ministry of Water Resources
 The scheme integrates the efforts to clean and protect the Ganga river in a comprehensive manner.
 National Ganga Monitoring Centre (NGMC) is conceptualized as a Nodal Centre for monitoring the critical aspects of Ganga rejuvenation, such as water and effluent quality at identified suitable locations throughout Ganga, using IT enabled systems, etc.
 The Government proposes to free all villages along the banks of the river from open defecation under Namami Gange project.
 Presently, a World Bank assisted National Ganga River Basin Project (NGRBP) for Rs 7000 crore and a Japan International Cooperation Agency (JICA) assisted Project at Varanasi for Rs. 496.90 crore are under implementation.
 The program would be implemented by the National Mission for Clean Ganga (NMCG), and its state counterpart organizations i.e., State Program Management Groups (SPMGs). NMCG will also establish field offices wherever necessary.
 The program will be implemented through 100% Centre funding.

More constitutional than political

A reasonable case can be made that the Delhi Lieutenant Governor’s discretionary powers do not extend to the appointment of the Chief Secretary without the ‘aid and advice’ of the Chief Minister and his Council of Ministers
The tussle between the Delhi Chief Minister, Arvind Kejriwal and Delhi Lieutenant Governor, Najeeb Jung, much in the news, raises several constitutional and legal issues on the scope and extent of their powers in the National Capital Territory (NCT) of Delhi. The stand-off, especially over control of key bureaucratic appointments, was sparked by Mr. Jung’s appointment of IAS officer Ms Shakuntala Gamlin as acting Chief Secretary. This was opposed by Mr. Kejriwal on grounds that it fell beyond the scope of the Lieutenant Governor’s powers to do so without the aid and advice of the Ministers.
A Home Ministry notification issued by the Centre on Thursday tilts the balance more in favour of the Lieutenant Governor, indirectly expanding its own powers in the region. Although the dispute is coloured by highly partisan political contestations, the issue is more a matter of constitutional and statutory interpretation.
The relevant laws

The laws relevant to understanding the relation between the Lieutenant Governor and the Chief Minister in Delhi are Article 239AA of the Constitution, the Government of National Capital Territory of Delhi Act, 1991 (GNCT Act), the rules formulated under this Act (Transaction of Business Rules), and the relevant judicial pronouncements. It needs to be said that the precise contours of the sharing of powers between the Lieutenant Governor and the Delhi government are a grey area. Yet, a reasonable case may be made to suggest that the Lieutenant Governor’s discretionary powers do not extend to the appointment of the Chief Secretary without the “aid and advice” of the Chief Minister and his Council of Ministers. Further, it will be argued that the Home Ministry notification may not stand the test of constitutionality, being ultra vires of Article 239AA of the Constitution.
As far as States are concerned, the Chief Secretary is appointed by the Chief Minister and the Ministers. The reasoning for this can be found in these landmark Supreme Court judgments. E.P. Royappa (1974) states that “The post of Chief Secretary is a highly sensitive post…[Chief Secretary is a] lynchpin in the administration and smooth functioning of the administration requires that there should be complete rapport and understanding between the Chief Secretary and the Chief Minister. …” Similarly, Salil Sabhlok (2013) says: “it may be necessary for [the] Chief Minister of a State to appoint a ‘suitable’ person as a Chief Secretary or the Director General of Police…because both the State Government or the Chief Minister and the appointee share a similar vision of the administrative goals and requirements of the State. The underlying premise also is that the State Government or the Chief Minister has confidence that the appointee will deliver the goods, as it were, and both are administratively quite compatible with each other. If there is a loss of confidence or the compatibility comes to an end…” These precedents clarify the rationale that the Chief Minister ought to have the discretion to appoint Chief Secretaries in the interest of a smooth functioning representative government.
Delhi’s peculiar nature

While this justification for the Chief Minister to appoint the Chief Secretary may hold good for States, is it the same for Delhi? Delhi is a peculiar case, neither being a State, nor a Union Territory. So, Article 239, which deals with Union Territories, does not apply to Delhi. Instead, Delhi is governed by Articles 239AA and 239AB, introduced by a constitutional amendment in 1991. The problem with the Home Ministry notification is that while it conflates Delhi as a Union Territory to suit its own interests, at other times, it treats it as a State. The crucial constitutional provision relevant to the issue is Article 239AA(4) which says: “There shall be a Council of Ministers…in the Legislative Assembly, with the Chief Minister at the head to aid and advise the Lieutenant Governor in the exercise of his functions in relation to matters with respect to which the Legislative Assembly has power to make laws, except in so far as he is, by or under any law, required to act in his discretion.” Two conclusions can be drawn from reading the provision: (a) the Lieutenant Governor will have to take decisions based only on the “aid and advice” of the Chief Minister in exercise of all matters on which the Legislative Assembly has power to make laws. Consequently, the Legislative Assembly of Delhi has the power to make laws on all matters in the State List and the Concurrent List in the VIIth Schedule of the Constitution, except entries related to public order, police and land. (See, Article 239AA(3)); and conclusion (b) the Lieutenant Governor can act at his own discretion only when there is a specific law conferring this discretion on him. Section 41 of GNCT Act deals with the discretionary powers of the Lieutenant Governor. There is no such law granting discretion to the Lieutenant Governor for making such appointments currently.
Based on these two conclusions, the question is this: whether the appointment of the Chief Secretary falls under conclusion (a) wherein the Lieutenant Governor appoints the Chief Secretary on the “aid and advice of [the] CM”; or conclusion (b) wherein the Lieutenant Governor appoints, at his own discretion, the Chief Secretary, granted by a specific law. The second conclusion is clearly not applicable here. Three further points have to be made. First, we need to understand what the intention of Parliament was in passing the constitutional amendment introducing Article 239AA granting special status to Delhi. The population of Delhi is large, and it is only fair that the people deserve a representative government serving their interests, similar to other States, except in matters concerning land, public order and police. Given such an intention of the lawmakers, for all practical purposes, from then on, Delhi has acted and functioned like other States. Which is why the language used in Article 163(1) pertaining to States reads identical to that of Article 239AA(1) pertaining to Delhi, while that of the provision relating to Delhi reads different from the provision relating to all other Union Territories. Therefore, just as in other States where the Supreme Court has justified that the Chief Secretary appointments be made at the discretion of the Chief Minister, in Delhi as well, it is the Chief Minister who must have the power to appoint the Chief Secretary, by “aiding and advising” the Lieutenant Governor. Second, executive powers run coextensively with legislative powers. Finally, the phrase “aid and advice”, as used in Article 239AA, has been interpreted by the Supreme Court in Shamsher Singh(1974) to mean that the aid and advice of the Council of Ministers and the Chief Minister is “binding” on the Governor; it is not just advisory.
Therefore, the following can be reasonably concluded based on a joint reading of the observations: First, as per Article 239AA(4) read with Section 41 of the GNCT Act, the Lieutenant Governor does not have any discretion to appoint the Chief Secretary and other such posts, nor is there any special law granting him this discretion; Second, the Lieutenant Governor is bound by the “aid and advice” of the Council of Ministers and the Chief Minister in all matters that concern the Legislative Assembly. Third, for all practical purposes, the intention of Parliament was to treat the Delhi government as a representative government. It would be disrespecting voters and a travesty to grant autocratic powers to the Lieutenant Governor, an authority which does not have a “democratic legitimacy” in the strict sense. A democracy, by design, guarantees that it is the party voted into power that represents the people of Delhi.
Questionable notification

The Home Ministry’s notification, siding with the Lieutenant Governor, states that apart from public order, police and land, the category of “services” also falls within the scope of the Central Government. Therefore, the Centre has decided to treat Delhi as any other Union Territory when it comes to appointments by the Public Service Commission. This is ultra vires. Article 239AA gives the Legislative Assembly of Delhi power on all matters under the State List, and Entry 41 of the State List includes State Public Service Commissions. The Home Ministry notification — by reiterating that Indian Administrative Service and Indian Police Service personnel will be chosen by the Central Government from the Union Territories Cadre — is to conflate Articles 239 and 239AA, denying the special status that Delhi otherwise has, and further denying it the powers under Entry 41.
The act of Mr. Kejriwal and Mr. Jung rushing to meet the President for a decision on the dispute is justified under Article 239AA(4). However, the Transaction of Business Rules suggest that when there is a dispute between the Chief Minister and the Lieutenant Governor, there must be an endeavour to settle it through discussions, and only then must a referral be made to the President. One can only hope that such endeavours were genuinely made. Finally, the act by the Lieutenant Governor, cancelling or staying the orders by the Chief Minister, also seems to be illegitimate and excessive. Rule 23 of the Transaction of Business Rules states that all relevant proposals of the Delhi government “have to be submitted” to the Lieutenant Governor through the Chief Secretary. But nowhere does it state that the Lieutenant Governor can reject or cancel such orders.
In the end, the politicisation of the issue as a struggle for power between the Bharatiya Janata Party and the Aam Aadmi Party is ultimately an attack on the ideals of representative governance. In the long run, regardless of such adversarial legal technicalities, there can be no compromise when it comes to cooperation, trust and coexistence between the Lieutenant Governor, the Delhi Government and the Centre. The peculiar nature of Delhi mandates that these three institutions learn to work and dwell together in their home-city. A clear interpretation of the existing laws, in the larger interest of representative democracy, would suffice, as has been established. In sum, the question of statehood for Delhi need not be raised to resolve the tussle.

Paris upcoming convection COP-21

The United Nations Climate Change Conference, COP21 or CMP11 will be held in Paris, France in 2015. The international climate conference will be held at the Le Bourget site from 30 November to 11 December 2015. This will be the 21st yearly session of the Conference of the Parties (COP 21) to the 1992 United Nations Framework Convention on Climate Change (UNFCCC) and the 11th session of the Meeting of the Parties (CMP 11) to the 1997 Kyoto Protocol.The conference objective is to achieve a legally binding and universal agreement on climate, from all the nations of the world. Leadership of the negotiations is yet to be determined.

Background

Ban Ki-moon has directed attention toward this 2015 conference in Paris. A statement made by Ban Ki-moon forecast theclimate change summit to be held in September 2014 and the Paris conference, but made no reference to the 2014 conference in Lima, Peru.
According to the organizing committee, the objective of the 2015 conference is to achieve, for the first time in over 20 years of UN negotiations, a binding and universal agreement on climate, from all the nations of the world.

Location and participation

The location of UNFCCC talks are rotated by regions throughout United Nations countries. The 2015 conference will be held at Le Bourget from 30 November to 11 December 2015.

Negotiations

The overarching goal of the Convention is to reduce greenhouse gas emissions to limit the global temperature increase to 2 degrees Celsius above pre-industrial levels. However, Christiana Figueres acknowledged in the closing briefing at the Doha conference "the current pledges under the second commitment period of the Kyoto protocol are clearly not enough to guarantee that the temperature will stay below 2 deg C and there is an ever increasing gap between the action of countries and what the science tells us."

During previous climate negotiations, countries agreed to outline actions they intend to take within a global agreement by March 2015. These commitments are known as Intended Nationally Determined Contributions or INDCs

Lima summit outcome

Scope of INDCs – Developed countries wanted “nationally determined commitments” to focus only on mitigation, while many developing countries pushed to include adaptation and finance too. The compromise does not explicitly define the scope of INDCs. In linking INDCs to the Convention’s ultimate objective (stabilizing greenhouse gas concentrations to avoid dangerous anthropogenic interference with the climate system), the decision sets an expectation of mitigation contributions from all. It also invites parties to “consider including an adaptation component” as well.

Upfront information – To help clarify and assess parties’ contributions, the decision identifies certain information that parties might provide, as appropriate, including “quantifiable information” on an INDC’s timeframe, scope and coverage, and the assumptions and methodologies used in estimating and accounting for emissions. It also asks parties to say how their contributions are “fair and ambitious.” However, language saying that “all Parties shall” provide upfront information was replaced by “may” in the final text, making it voluntary.

Ex ante consideration – Many parties pushed for different types of processes to scrutinize one another’s intended contributions pre-Paris; major developing countries tried to block them. The final decision dropped a mid-year “dialogue” on the INDCs, but added direction to the UNFCCC secretariat to prepare a synthesis report by November on the “aggregate effect” of the INDCs – in other words, how they compare to the reductions needed to limit warming to 2°C.

Differentiation – Major developing countries pushed for explicit differentiation between Annex I (developed) and non-Annex I (developing) countries throughout the decision, which developed countries flatly rejected. The compromise echoes language from the recent US-China joint announcement, simply restating the UNFCCC principle of “common but differentiated responsibilities and respective capabilities,” with a slight addition: “in light of different national circumstances.”

Finance – Differentiation was also an issue in the decision’s call for increased finance for developing countries. Rather than assuming the entire onus themselves, developed countries pushed for language saying that other parties “in a position to do so” should also contribute. The final text simply “recognizes complementary support” from other parties.

Loss and damage – COP 19 launched a separate process to consider steps to help especially vulnerable developing countries cope with “loss and damage” – climate impacts that cannot be avoided even with strong mitigation and adaptation efforts. In Lima, those countries tried but failed to add loss and damage to the list of issues the Paris agreement must address. The final decision merely notes the separate process already underway. On the decision’s adoption, Tuvalu, speaking for the least developed countries group, noted for the record its interpretation that this reference indicates an intention by parties to address the issue in the Paris agreement.

Defending India’s IPR

India’s IPR regime, never in the background, has come under sharp focus recently for a variety of reasons.

It is ten years since India amended the Indian Patents Act, 1970 to bring its laws in line with the agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS). The most important of those amendments related to the introduction of product patents for 20 years, including for pharmaceutical products. Significant safeguards were built into the legislation. These included debarring of ever greening patents, a process by which the patent holder seeks to extend the life of patents by some minor tinkering with the products. The amended legislation also expanded the scope of compulsory licensing and introduced for the first time post grant opposition to patents (Provisions relating to pre-grant opposition were retained).The legislation raised the bar for what constitutes an invention and what cannot be patented in India.

The above provisions served Indian consumers well by keeping the price of some important drugs dealing with critical illnesses such as cancer under check. The Patent office’s rulings have by and large been upheld by the highest courts. Inevitably big pharma have lobbied with their governments to force India to dilute the provisions.

The new government under pressure

The NDA government’s approach to the IPR issues has been a subject of intense discussion, especially in the context of repeated attempts by the US Trade Representative (USTR) to put India and some other countries on the mat over the alleged weaknesses in their IPR regime. The Office of the USTR is part of the executive office of the American President and apart from being the chief trade negotiator of the U.S. government has enormous clout over the conduct of trade across the world.

On April 30, the office of the USTR named India and China among 13 countries, which were placed on a priority list, requiring close scrutiny for their alleged IPR weaknesses in diverse areas including pharma, IT and publishing.

The report called upon these governments to plug what it thinks are the lacunae in their IPR regimes so as to align them with global standards. For India the USTR action has been a persistent thorn. As soon as the NDA government took office it had to face a similar report. In fact out of last year’s inclusion in the priority list, India faced a mid-term appraisal.

However, the U.S. authorities noted some improvement — a conclusion no doubt arising out of improving relations between the two countries at the highest levels.

There has been one saving grace on both occasions: India while being on the priority list was not designated a priority watch country, which might have led to penal action against India. In practical terms that means being able to stand up to influential lobbies such as seen spectacularly in pharma. The consolation prize of avoiding punitive action by the developed countries is simply not enough.

Draft of a new policy

India needs to fashion a policy that will be in tune with global standards and at the same time protect special Indian strengths. Prime Minister Narendra Modi has said as much: “India should align its IPR laws with global standards.” Commerce Minister Nirmala Sitharaman remarked earlier that “We need an integrated policy,” While nothing significant can be inferred from these statements the government has done well to release a draft IPR policy in the public domain. Taking a balanced approach, it says that existing laws — that seek to protect the rights and incentives of innovators on the one hand and public interest on the other — would remain. However it also calls for legislative changes to keep pace with economic and technological developments.

A challenging task

It is going to be an extremely challenging task to stick to that position. Of special concern have been the developments in the pharma industry where India is facing maximum pressures from extremely well funded lobbies set up by big pharma from the U.S. and other developed countries (although it must be reiterated that pharma is not the only area).

IPR challenges have to be met increasingly through political action and diplomacy. The government needs to strengthen its decision-making process and boost the skills of its negotiators. In this connection an important initiative of the NDA government has been the setting up of an IPR think tank which among other tasks, will help in the formulation of a National Intellectual Property Rights policy for the first. The draft paper is the first step. The government has called for feedbacks before it finalises a new IPR policy.

The domestic constituency of the NDA government also cannot obviously be ignored. Already there have been rumblings over the composition of the technical committee that will advise the government.

To reiterate, the main challenge is to eradicate even the faintest of suspicions that the government is acting under external pressure. India does not have an IPR policy but it has a strong legal foundation. Important precedents have been set especially in pharma-related matters. Besides, there is a well functioning Patents office with sufficient experience to grant patents and uphold consumer interests. From here a new, well balanced policy should not be too difficult. Resisting the big lobbies which have the support of the political establishments of developed countries is an entirely different matter.

The building of the BRICS bank

Sanjay Vijayakumar has more about BRICS bank in this explainer

Last week, India named veteran banker K.V. Kamath to be the first President of the New Development Bank, popular as the BRICS bank. The focus of this bank will be to invest in infrastructure. Mr. Kamath, 67, is a veteran banker, who was credited with developing ICICI Bank into India’s second-largest lender. He headed the bank for 13 years until 2009 and is now its Non-Executive Chairman. He is also Non-Executive Chairman of India’s second-biggest software services exporter Infosys.

What is BRICS?

In 2001, the then Goldman Sachs Group economist Jim O’Neill coined the term BRIC to describe the growing prominence of Brazil, Russia, India and China in the global economy. Not yet considered developed countries, the four were grouped together for being at the same stage of economic development.

BRIC country leaders started meeting as a bloc in 2009. South Africa joined them later, though there was some scepticism that as a country of less than 50 million people it is too small to join the group. So, BRIC is now BRICS.

What is BRICS bank?

It is how the New Development Bank is better known as. Last July, the BRICS countries agreed to set up a development bank, whose purpose, according to its articles, is to “mobilise resources for infrastructure and sustainable development projects” not just in BRICS countries but also in other emerging economies. It seeks to do so by supporting public and private projects through loans, guarantees and equity.

But doesn’t the world already have enough institutions to do that — the IMF/World Bank, for instance?

True. It’s clear their presence hasn’t been ignored in the creation of the New Development Bank. The articles of the bank do say that its creation is to complement “the existing efforts or multilateral and regional financial institutions.” But, in a sense, the BRICS bank was born because the countries that represent this have long realised they need an alternative system to IMF/World Bank, one in which they have greater say.

How will the New Development Bank be different?

So, BRICS account for about 40 per cent of the world’s population and a combined economy of about $16 trillion. Although they account for over one-fifth of the global economy, together they garner only 11 per cent of votes at IMF. On the other hand, developed countries such as the U.S., Japan, Germany, the U.K. and France hold 40 per cent of the voting power. In the BRICS bank, the founding members have equal voting rights.

Is there more to its founding?

Definitely! Hongying Wang, senior fellow at global think-tank Centre for International Governance Innovation, reckons dissatisfaction toward traditional multilateral financial institutions to be just one of the three reasons.

One of the other reasons is that the creation of a joint development bank is a milestone in the evolution of the BRICS. That is, it turns the informal co-operation among those countries into a concrete institution. Finally, the bank seeks to fill the enormous hole that exists in infrastructure financing in many developing countries.

The last point assumes significance because the traditional development banks have reduced funding for infrastructure in recent decades while private investors have been reluctant to take on long-term projects of this kind. The infrastructure financing deficit in developing countries is estimated to be $1 trillion annually. BRICS countries, especially China, have accumulated financial resources that enable them to fill the gap to some degree.

How will the bank be structured and run?

The bank will begin with a subscribed capital of $50 billion, divided equally between its five founders, with an initial total of $10 billion put in cash over the next seven years and $40 billion in guarantees.

The group has also agreed to a $100 billion currency exchange reserve, which member-countries can tap during balance of payment problems. China, the biggest foreign exchange reserve-holder amongst them, will contribute the major portion of the currency pool. Brazil, India and Russia will contribute $18 billion each while South Africa will chip in with $5 billion.

In a crisis, China will be eligible to ask for half its contribution, South Africa for double its contribution while the others can get back what they put in.

The bank will be based in Shanghai. After a five-year term at the helm by an Indian, the President’s post would by turn go to a Brazilian and then to a Russian.

The bank can add more members. Media reports suggest Russia has invited Greece, which has a huge economic battle on its hands, to be a member. Even if more members are added, the capital share of BRICS can’t drop below 55 per cent.

How does the bank’s creation play out for each of its member-countries?

Hongying Wang says, for China, this is an opportunity to export its infrastructure over-capacity. China can reduce its mammoth reserves and improve financial returns on its external assets while at the same time learn to play a leading role among the developing countries. For India and South Africa, this promises to be a welcome source of much-needed infrastructure financing. For Russia, the benefit at the moment is largely seen to be political, given that the country has been isolated in the international arena over the Ukraine issue. For Brazil, the new development bank could bring financing for its oil exploration projects.

What would be the challenges?

Raj M. Desai, Non-resident Senior Fellow, Global Economy and Development, Brookings, says the main challenges will be in setting up and operating a bank in which shares are equally divided among countries that do not have much in common, apart from their distrust of the current global governance system.

Hongying Wang has a similar view. The differences are many, as amplified by their political systems (example: China and Russia v. India, Brazil and South Africa), economic interests (example: commodity exporters v. importers), and enormous power discrepancies (China’s economy, trade, and foreign reserves being much larger than the rest combined).

Dr. Pallavi Roy, who teaches at the University of London, points out that one of the threats could, interestingly, be another development bank incubated by China. The Asian Infrastructure Investment Bank (AIIB), backed by China, has more capital and members than the BRICS Bank.

Can the BRICS bank take on IMF, World Bank?

Brookings’ Desai points out that the capital base of the World Bank and the ADB combined is about $400 billion, so it would take the participation of several other middle-income countries for the BRICS bank to be able to compete with those institutions.

But the contingency reserve account also proposed as part of the BRICS effort may provide an alternative source of stabilisation support. In this, it could potentially compete with the IMF, which has had very few takers from BRICS economies on this front in recent years.

Investment via P-Notes shrinks

Experts feel that fears and uncertainty over the levy of minimum alternate tax may have a negative impact on investment sentiment in India

Investments into Indian markets through participatory notes (P-Notes) have dropped to Rs.2.68 lakh crore ($42 billion) at the end of April, after hitting over 7-year high in the preceding month.

P-Notes, mostly used by overseas HNIs (high net worth individuals), hedge funds and other foreign institutions, allow such investors to invest in Indian markets through registered foreign institutional investors (FIIs).

This saves time and costs for them, but the flip side is the route can also be used for round-tripping of black money.

According to data released by Securities and Exchange Board of India (SEBI), total value of P-Notes investment in Indian markets (equity, debt and derivatives) declined to Rs.2.68 lakh crore at the end of April, from Rs. 2.72 lakh crore at the preceding month-end.

What are Participatory Notes?

Participatory Notes or P-Notes are financial instruments issued by foreign institutional investors to investors and hedge funds who wish to invest in Indian stock markets. These are also called offshore derivative instruments

Who gets P-Notes?

P-Notes are issued to real investors on the basis of stocks purchased by the FII. The registered FII looks after all the transactions, which appear as proprietary trades in its books.

— S. Varadharajan

Market experts are of the view that fears and uncertainty over the levy of minimum alternate tax (MAT) may have a negative impact on investment sentiment in India.

In March this year, investment through P-Notes surged to the highest level since February 2008, when the cumulative value of such investments stood at Rs 3.23 lakh crore.

However, the quantum (percentage) of FII investments through P-Notes rose to 11.4 per cent last month from 11.3 per cent in March.

Till a few years ago, P-Notes used to account for more than 50 per cent of the total FII investments, but their share has fallen after SEBI tightened the disclosure norms and other regulations for such investments.

P-Notes have been accounting for mostly 15-20 per cent of the total FII holdings in India since 2009 while it used to be much higher — in the range of 25-40 per cent — in 2008.

It was as high as over 50 per cent at the peak of Indian stock market bull-run in 2007.

Capital account convertibility: an inescapable choice?

Keeping any restriction for too long could prove self-defeating, says RBI Executive Director

G Padmanabhan, Executive Director of the Reserve Bank of India (RBI), has suggested that India should move towards making the rupee more convertible for capital transactions by foreign investors.

Addressing a meeting at MSNM Besant Institute of PG Management Studies in Mangaluru recently, he said that `` greater opening of capital account is inescapable as the Indian economy grows further and becomes global in dimension.’’

The text of his speech has since been put up on the website of the RBI.

Stating that India would become a truly globalised economy in the not-too-distant a future, he felt that the country could not afford to remain isolated for a very long period of time. ``Sooner than later, it will need to get closely integrated with the rest of the world,’’ he pointed out.

Significantly enough, Mr. Padmanabhan’s observation comes in the wake of the RBI allowing Indian companies to raise rupee debt offshore. Also, this has to be read in the context of Governor Raghuram Rajan’s recent call for full convertibility of the rupee in a "short number of years.’’

Mr. Padmanabhan conceded that there were risks associated with full capital account convertibility. Yet, he felt that resisting liberalization over an extended period could prove futile and counter-productive. As the economy got more globalised, it would become harder to maintain closed capital accounts, Mr. Padmanabhan said. "Increasing openness to international trade may create opportunities for circumvention of capital account restrictions through under- and over-invoicing of trade transactions, and the increasing sophistication of investors and global financial markets makes it much easier to do so,’’ he conceded. Corporates could use transfer pricing to get around capital account restrictions, he said. However, keeping any restriction for too long could prove self-defeating as people ended up finding new methods of bypassing that restriction, he added. Ipso facto, he felt, India should move towards full capital account convertibility. "There is simply no escape from it,’’ Mr. Padmanabhan asserted.

How fast that movement should be would, however, depend on how fast the country could meet the pre-conditions such as fiscal consolidation, inflation control, low level of NPAs (non-performing assets), low and sustainable current account deficit, strengthening of financial markets, prudential supervision of financial institutions etc. ``India has already made visible progress on these fronts. There are, of course, risks, but we need to accept these risks and move forward boldly while controlling the risks as far as practicable,’’ he said. Sound policies, robust regulatory framework promoting a strong and efficient financial sector, and effective systems and procedures for controlling capital flows greatly enhanced the chances of ensuring that such flows fostered sustainable growth and did not lead to disruption and crisis, he said. "India has all these in place, and we need to keep on strengthening them,’’ he pointed out.

What does capital account convertibility mean?

Essentially, it means freedom to convert local financial assets into foreign ones at market-determined exchange rates.

What can it do?

It can lead to free exchange of currency at lower rates. Also, it can result in unrestricted mobility of capital.

How does it benefit a nation?

It can trigger stepped up inflow of foreign investment. Transactions also can become much easier, and occur at a faster pace.

What are the negatives?

It could destabilise an economy especially if there is massive capital flows in and out of the country. Currency appreciation/depreciation could affect the balance of trade.

Where does India stand now?

India currently has full convertibility of the rupee in current accounts such as for exports and imports. However, India’s capital account convertibility is not full. There are ceilings on government and corporate debt, external commercial borrowings and equity.

Camphor-scented leaves found in Western Ghats

The species, which is endemic to the Ghats region of Kerala, was named as Cinnamomum agasthyamalayanum.

A new tree species that gives out strong smell of camphor when its leaves and stem are crushed has been reported from southern Western Ghats.

The species, which is endemic to the Ghats region of Kerala, was named as Cinnamomum agasthyamalayanum after the type locality, Agasthyamala hills, from where it was reported. The find attains significance as this is considered the only endemic species that gives out the smell of camphor. Now, the challenge is to find out whether camphor can be distilled from the plant at commercially viable level. While natural camphor is extracted by distilling the leaves and bark of Cinnamomum camphora, a native to China, Taiwan, southern parts of Japan, Korea, and Vietnam, it is also synthetically produced. Camphor oil is extracted by steam from the chipped wood, root stumps and branches of the camphor tree. It is then rectified under vacuum and filter pressed, explained scientists.

Camphor has a wide range of medicinal applications especially in Ayurveda. Camphor has pain-relieving effect. It is an ingredient in a few externally applied oils to relieve muscle spasm. It also has mild mucolitic property and can reduce bronchospasm. It is also used in mild dosage in internal medicines. Cinnamomum agasthyamalayanum was identified by A.J. Robi, P. Sujanapal and P.S. Udayan of the Kerala Forest Research Institute, Thrissur.

It was found distributed between Attayar and Chemungi of Agasthyamala in Thiruvananthapuram. Isolated populations were also recorded from Rosemala in Kollam district of Kerala. The finding was recently published in the International Journal of Advanced Research.

Though Cinnamomum camphora would grow in Indian climatic conditions, it need not yield camphor at commercially viable levels. The new species can grow up to 8 metres in the dense wet evergreen forests of the Ghats at an altitude between 500m and 1400m, said scientists.

It was found “distributed in the windward evergreen forests of Agasthyamalai phyto-geographical region of southern Western Ghats. The population was found to be very low in all regions which were surveyed.

The leaves and stems of the new species have the smell of camphor probably due to the high content of volatile oil,” said Mr. Sujanapal of the Kerala Forest Research Institute, Thrissur, Kerala.

The court is still in session

Judicial delay must be discussed in the public sphere and not just as an internal, administrative matter to get a methodical solution

In 1984, Saeed Mirza made a movie called Mohan Joshi Haazir Ho about an elderly gentleman who spends many years and all his savings in a court battle against a better-funded, better-connected landlord. Look into India’s database and, 31 years later, you may find Mohan Joshi's case still going on. Recent Bollywood movies about the courts blithely ignore the one thing that progress has not changed: judicial delay.

In the ordinariness of courtrooms, there seems to be only the drama of patience. Litigants wait for months or years to be heard. Alleged criminals spend more time awaiting trial than their crimes would mandate, unscrupulous participants leverage a system designed to be fair and transparent to delay their cases and defer punishment. People with little or no means have to spend lifetimes and small fortunes to see their legal battles through in court. The courtroom as maidan-e-jung is a relevant metaphor, but in real life, it is an ultra slow motion battlefield.

Statistics show that there is a staggering number of cases being heard across the judiciary, and it is now cliché that justice, in being delayed, is denied. Even Article 21 of the Constitution has been read to include the right to a speedy trial, and quick justice is now considered indispensable. However, as a common aphorism goes, the course of justice often prevents it.

Why the delay?

The truly unfortunate issue of the problem is that nobody really knows why there is so much delay. Why does the legal process take so much time? Why does a petitioner need to appear in front of a judge for all of 10 seconds, only to be recalled a few months later?

There have been a number of informed, even scholarly initiatives, to identify the factors for delay. Most of them have been focussed studies using a small set of cases and data from the courts themselves.

Even the report by the 245th Law Commission states that there is no scientific data available to analyse the problem meaningfully.

This non-availability of a large enough set of data has hampered wide-ranging and meaningful analysis. As a response to the problem of lack of data, The Rule of Law Project at Daksh, an initiative that works with quantitative research to map the administration of justice in India, is putting together a database of all pending cases in a searchable, reportable online format. All the data is already available in the public domain, but Daksh is collating the data to make it easily accessible to interested parties who can use it to address and perhaps solve the problem.

Currently, our data for 10 High Courts includes 5,66,000 cases and 26,87,362 hearings. Each court has an average of 22,000 hearings a day. Every judge hears roughly 70 cases a day, which would be about 350 a week. This means that a judge gets about six minutes to hear each case.

On an average, it takes between 1,000 and 1,600 days for a case (in our database) to be disposed of — not court days but calendar days. That is roughly three to five years per case. However, for cases pending in the system, Daksh is unable to ascertain whether this trend will continue or whether the average figure will increase. And we are only beginning to collect the data.

From our database, we see that the oldest case in the system has been in the High Court of Jharkhand since January 1, 1958. At 57 years, this case appears to be nearly as long as the average life expectancy of an Indian. It has been around for so long that the High Court of Jharkhand, whose jurisdiction the case is currently under, was 32 years away from coming into existence when this case was filed in 1958. Of course, this may be an outlier case, but it is symptomatic of the deep malaise in the system.

Looking at ratios

One of the more worrying inferences from our recent work has been the ratio of case admissions to disposals. In some courts, nearly 2,000 new cases are admitted every day for every one case disposed. In the High Court of Gujarat, on a particularly challenging day, we saw 2,670 hearings, of which 1,827 were admissions of new cases. And that day, only two cases were resolved. Again, like the case from 1958, this may be an extreme example, but with an average Disposed-to-Admitted ratio of 1:50, we are most certainly not going to resolve the issue of pendency via small, incremental steps.

Need for a database

One of the secondary inferences that we have made is that an understanding of pendency and delay needs a coherent database that is standardised across the board. At the moment, each court is an island in the way it organises its information.

For example, take these simple questions: ‘What kinds of cases take three to five years to be disposed of?’ Or ‘Can public interest litigation be compared with company appeals?’ It is currently impossible to make this kind of analysis across courts. The types of cases across 24 High Courts are categorised in 2,553 different ways — which, if standardised, would be only 300 types of cases. A writ petition (which characterises cases dealing with citizen grievances with the state) is labelled in 120 different ways. Only if this information is standardised will we be able to meaningfully speak about the average number of days a particular type of case takes in court.

Judicial delay is not a problem solely for the state or for the judiciary. What matters is that cases be heard and dealt with in a timely manner, for the sake of the litigant. The issue needs to be discussed in the public sphere and not just as an administrative issue. So far, the litigant has mostly been excluded from the analysis.

What we hope is that our database will assist a wide-ranging analysis of the problem of pendency, and that this can include the social, political and economic fallouts of delayed justice. Judicial reform can be more effective if it is methodical and does not rely on random, on-the-fly solutions.

Equality, dignity and justice

Ambedkar did not set such concepts as democracy and modernity in opposition to each other but bound them together symbiotically so that they could grow together. By GOPAL GURU

ARGUABLY, Babasaheb Ambedkar is one of the few thinkers who continue to influence and shape people’s democratic aspirations such as freedom, equality, justice and dignity, all of which form the normative basis of modern India. It is quite interesting to note that there are more claimants than ever before to the legacy of Ambedkar. The competitive claims for the cultural and political ownership of Ambedkar, however, seem to be more rhetorical in nature than substantive in their thrust. In the context of the rituals of rhetoric, it becomes necessary to understand the more substantive nature of his legacy. As a part of this exercise, let me take on board certain concepts such as democracy and modernity that are crucial to understanding the relevance of Ambedkar’s legacy in contemporary India.

Before we actually deal with the conception of democracy and modernity in Ambedkar, it is necessary on our part to offer much-needed methodological clarification. One is theoretically aware about a certain kind of pragmatism that is associated with Ambedkar’s use of democracy and modernity. However, reducing Ambedkar’s thinking to pragmatism would amount to doing injustice to his transformative legacy, especially since the entire corpus of his writing is built around a set of normative principles. Hence, it would be grossly incorrect to read him only through the prism of pragmatisms. And yet we need to accept that Ambedkar does seem to use democracy and modernity in a pragmatic manner.

For Ambedkar, being pragmatic is not an arbitrary choice; in fact, it is conditioned by the cumulated disadvantages that he and the entire untouchable community suffered historically. The need to get the broken men (emphasis in original) out from the Bahishkrut Bharat (India of the ostracised) and include them into seamless (puruskrut) India without losing any further time and energy compelled Ambedkar to resort to the strategic use of these concepts. In order to achieve the objective of getting untouchables into the life of a nation, Ambedkar seemed to prioritise democracy over modernity. This sequence could also be defended on the ground that the horizontal or universal conception of equality that is internal to an egalitarian form of democracy would not entangle Dalits into questions such as “do Dalits need to first acquire merit in order to participate in democracy?” In fact, “nationalist elites” such as Bal Gangadhar (Lokamanya) Tilak did put merit on modernity as the compulsory condition for participation in democracy. Ambedkar, for the right reason, was apprehensive about prioritising modernity as a common criterion of participation. He rightly thought putting modernity before democracy would inordinately delay Dalit arrival to the democratic process. Hence, he summons not modernity but democracy on priority. To put it differently, he favours equality over merit.

However, in the post-Independence period, one finds Ambedkar changing the sequence, that is, putting modernity before democracy. In this essay, I seek to argue that Ambedkar does not raise a watertight binary opposition between democracy and modernity. On the contrary, he binds them together symbiotically so that such concepts grow together and not at the cost of each other. To put it differently, democracy as the sphere of equality converts opportunity into an asset or a merit. This particular essay, thus, seeks to address three important questions.

First, why does Ambedkar privilege democracy over modernity, particularly during the pre-Independence period? Secondly, why does he reverse this order in post-Independence India? Finally, does he find democracy and modernity inadequate in approximating to the reasonable aspirations of the underprivileged of India? If yes, then what are the grounds on which he finds limits in democracy as a governing principle of social and political relationships and in modernity as an organising framework of political institutions whose job it is to articulate the democratic principle?

Egalitarian democracy & constraining modernity

There are at least two core reasons that can help us understand why Ambedkar privileges democracy over modernity or equality over merit. First, his strategic move to summon democracy on priority has to be understood in terms of the genuine absence of any radical Left alternative in the early 20th century or the improbability of a communist revolution becoming a realisable goal in the immediate future. Arguably, in a communist revolution, it is people’s democracy that forces dialogue on modernity. To put it differently, such a revolutionary change seeks to eliminate the necessity of modernity as a gatekeeping device to defer the participation of those who are not as yet technically ready for participation. Communism does not keep the common masses waiting at the gate of democratic institutions just because they lack modern techniques to handle the business of democracy. In the context of Ambedkar’s thinking, one, therefore, is tempted to ask members of the present-day Indian Left whether they follow this enabling sequence when they form the politburos of their respective parties?

Secondly, Ambedkar would invoke an egalitarian form of democracy on priority simply because he thought it would be extremely difficult for the downtrodden, deprived, discriminated and decimated masses to enter the decision-making institutions should they be put to the modernity test. Thus, sociological reasons which are historically available prompted him to mount a critique of the “nationalist elite” who, according to Ambedkar, sought to privilege modernity or the language of merit over egalitarian democracy or the language of equality. In this regard, he points to the politics of modernity as a gatekeeping device as deployed by Lokamanya Tilak, who said: “If the lower castes manage to go to the legislature, what would they do in such places?” It is in this exclusionary sense that modernity becomes an ideology through which the socially dominant and politically privileged elite seeks to limit the gains of democracy to them.

However, it is interesting to note that in contemporary times, the “Mandalised” governing class at the level of the Central legislature seems to have obliquely followed Ambedkar and not Tilak. This allegiance to Ambedkar’s legacy is evident in the 73rd/74th Amendments to the Constitution. These twin amendments do not seem to insist on modernity as the precondition for women’s participation in democratic processes. If we followed Ambedkar’s principled pragmatism then, we would find the decision of certain State governments, such as the government of Rajasthan which is believed to have made certain education qualifications a precondition for political participation, highly objectionable. One finds in such decisions the intention to follow Tilak rather than Ambedkar.

Finally, in Ambedkar’s understanding, the principle of equality which is embodied in democracy is necessary because it enthuses the downtrodden about the need for the political activism that is necessary to interrogate the local configuration of power that entails Brahmanism and capitalism. Ambedkar considers Brahmanism and capitalism the two leeches that suck the blood of the common masses at the local level. To put it differently, Ambedkar suggests that nationalist attempts to prioritise modernity over democracy have a function to avoid interrogating both Brahmanism and capitalism. After creating a secure space for democracy or equality in the Constitution, thus making it at least formally safe for Dalits, Ambedkar then goes on to defend democracy though taking modernity seriously. As we shall see in the next section, Ambedkar treats egalitarian democracy as an enabling principle and makes it imperative on the part of the beneficiaries of such a principle to take modernity seriously. Ambedkar adds this caveat only to assign a certain degree of robustness to democracy itself.

Modernity precedes democracy

Ambedkar does not draw satisfaction from the democratic equality that makes its guest appearance only in a formal sense. In fact, he is committed to making democracy and the principle of equality more meritorious through the gains that serve as a benchmark, thus expanding equality into an attractive public good. Ambedkar believes that equality could be made meritorious only through continuous evaluation of institutions that assign concrete meaning to abstract principles of democracy. Evaluative practices are modern because they are aimed at making institutions stand tall with the help of merit. It is in this sense that Ambedkar overcomes the binary between democracy and modernity. Let us see in the following section how Ambedkar achieves this.

Ambedkar puts an additional premium on modernity with the sole intention of assigning merit to democratic institutions. In this regard, let me give just one example that will affirm that Ambedkar actually succeeded in overcoming the binary between democracy and modernity. He started educational institutions in Mumbai and Aurangabad in Maharashtra and recruited teachers on the basis of merit whenever they were available. Thus, he ended up recruiting teachers both from the upper castes and from his own caste. Ambedkar has become relevant especially in the context in which the modern educational institutions he established in Mumbai and Aurangabad are reported to have declined in terms of their merit. For those Dalits who are responsible for such a decline, it is a double loss. It is loss in modernity and also loss in democracy. The case of non-Dalits is different from that of Dalits. For Dalits, it is a comprehensive loss, but for non-Dalits, what is lost in modernity is gained in tradition—a single loss.

The upper-caste loss in modernity and subsequent gain through tradition tend to deny the principle of equality the advantage of merit. To put it differently, the failure in modernity creates resentment that in effect denies equality the advantage of merit as value addition. Let us look at this predicament of the Indian twice-born by citing Ambedkar’s own experience, which can be very well explained in terms of equality in search of merit.

Equality in search

of merit

Equality, on its way to becoming a concrete reality, creates many unreasonable adversaries. Claims to equality need to be acknowledged by its adversaries. In the Indian context, adversaries do not seem to offer recognition to claims of equality unless the latter acquires added value through the production of merit.

In this regard, Ambedkar himself has offered a couple of instances from his own experience relating to the opponents of the Hindu Code Bill (HCB) of which he was the main architect. It is argued that some scholars of the Vedas who claimed to themselves hermeneutic authority saw his efforts to draft the HCB as a kind of epistemological transgression. Such epistemic voices, which were quite vocal in 1951, opposed Ambedkar, not on the grounds of modernity (that he was not intellectually competent to interpret the Vedas) but on the grounds that he was an untouchable who had no right to either interpret the Vedas or listen to them. However, this trend seeks to disregard Ambedkar’s modernist calibre to intellectually fashion out an emancipatory agenda for women through the act of drafting the HCB. Misrecognition of Ambedkar’s claim to merit by the scholars concerned suggests that what is lost in modernity is a gain for tradition. To put it differently, such opponents of the HCB discounted Ambedkar’s claim with the intention of just retaining their social power not in the sphere of modernity; they invoked hermeneutic and epistemological rights that were made ritually available by tradition. In Ambedkar’s legacy, the HCB is a great step towards social reform; to bypass it is to make a farce of the Constitution and to build a palace on a dungheap. However, what we need to take into account is the fact that the judiciary does follow Ambedkar rather than the other lot while dealing with the feminist question of legal entitlement. This was evident in a recent judgment of the Supreme Court that accepted women’s right to a share in the property of the family. As Ambedkar’s drafting of the HCB suggests, the ideological content of the state must be anti-patriarchal. He wanted to rule out from the structure of the state the possibility of sedimented Brahmanism. Without this radically egalitarian core of ideology of the state, he argued, democracy in India would only be a top dressing on Indian soil.

The HCB is one instance that shows us equality is in search of merit. Ambedkar’s frustrating experience involving his failure to realise equality with the added value of merit continues to tragically resonate with modern-day Dalits, who fail to grow in the eyes of the Indian twice-born, howsoever meritorious they may be.

The unwillingness on the part of the other to appreciate Ambedkar’s efforts to combine equality with merit is also evident in his experience with a most modern personality, Jawaharlal Nehru. Ambedkar’s experience with the modernist claim of both Nehru and the Congress party led him to lament that he was not able to gain recognition for his calibre that sought to combine equality with merit. The Congress party no doubt solicited his support but this, on Ambedkar’s admission, was only the rhetorical accommodation into the opportunity structures that he considered peripheral. The most authentic biographer of Ambedkar, Changdeo B. Khairmode, has expressed Nehru’s lack of commitment to modernity. He says: “The Central government led by Pandit Nehru did not offer him opportunities that had more potential to convert them into an asset. He was capable and confident of handling not just law but other important portfolios such as finance, home and foreign.” It is in this context that Ambedkar observes that emotive criteria such as trust, friendship and capacity to please the party bosses do not add merit to the principle of equality. It is in this regard that one has to acknowledge the relevance of Ambedkar. The general picture one gets is that most parties seem to follow not the modernity or merit criterion but criteria that are parochially emotive and hence not modern.

Ambedkar’s egalitarian legacy would make a normative demand on those political parties which fail to take modernity seriously. Parties that fail to cultivate among its cadre a favourable disposition towards modernity as a criterion to brighten the future of democratic principle, therefore, need to be morally motivated to mobilise resources wherever such resources are available. Parties can show such cognitive generosity only on conditions that are genuinely liberal in their political practice. Taking such a moral lead requires putting aside narrow party ideological interests. After all, orienting oneself as Ambedkar did in favour of normative values such as equality, dignity and justice ultimately contributes to the well-being of both institutions and the nation.

Ambedkar’s legacy offers us the choice of an egalitarian state ideology and not the parochial ideology of some political parties. It is the ideology of the state, and not narrow, regressive party ideology, that should govern society and the nation. In fact, in his conception, party and its ideology and state ideology need to immerse in each other. Parties attempting to stamp out the egalitarian core will definitely undermine the radical legacy of Ambedkar.

For Ambedkar, democracy with the horizontal form of equality is the final vocabulary with egalitarianism as the interim ideal. Of course, for him, neo-Buddhism is the ultimate ideal.

Kick-starting an economic revival

When Narendra Modi took oath as Prime Minister on May 26, 2014, there were great expectations from him making decisive moves to put the economy back in recovery mode and on to a high growth trajectory of a ‘10+’ per cent per year growth rate. It is ‘10+’ because the Finance Ministry had chosen to use Paasche’s Index instead of Laspeyres Index to calculate growth rate, which, under present inflationary conditions, will artificially raise growth rate figures (see Paul Samuelson and Subramanian Swamy, “Invariant Economic Index numbers and Canonical Duality”,American Economic Review , 1974, and alsoEconomic Journal , 1984 for the reasons.)

Hence, what I have been stating in the past, of a 10 per cent growth rate target as being desirable is now, by the Finance Ministry’s revaluation of index numbers, more than a 10 per cent target now, perhaps even 12 per cent.

The blueprint for such a recovery, to a ‘10+’ growth rate, had already been prepared before the general election, and the steps to be taken were documented by a committee of the Bharatiya Janata Party. Nitin Gadkari, now Union Minister for Road Transport, Highways and Shipping, had been entrusted with task. On his suggestion, I had collaborated with a number of committed intellectuals to produce a ‘Vision Document 2020’, a road map for Mr. Modi to implement as soon as he became the Prime Minister. These steps have still to be taken.

• Regressive markers

The regressive markers in the projected path of the economy today make it worrisome as these indicate that if not rectified soon, the Indian economy can go into a tailspin. Though these markers are a consequence of the disastrous tenure of the previous government, now nearly a year on, they cease to be a credible excuse.

Some of these markers are: the Basel III norms for banks (effective from 2018) which require Rs.2,40,000 crore for capitalisation. Moreover, to retain 51 per cent of the equity of public sector banks by the government, it will need, this financial year, Rs.1,21,000 crore. The 2015-16 Budget has provided for only Rs.11,200 crore, which is not even a tenth of this. With rising non-performing assets of banks, there is a risk of a banking crash much like the 1997-98 East Asian crash.

This year, the rainfall deficit affecting 67 per cent of the single crop farmers, will cause inflationary pressures and a substantial shortfall in production, thus causing more misery to the farmer. While rainfall is in nobody’s control, the economy, even today, lacks the necessary financial cushion to absorb the liabilities arising from crop failure and farmer destitution.

The rupee is on the edge of a fall as it happened in 2012-13. This is because there has been a large-scale sell-off or dumping of shares of Indian companies purchased by foreign investors earlier last year. Some foreign direct investment (FDI) companies have also pulled out. The fall in the rupee was a little moderated three months ago, but for the wrong reason: the increased inflow of funds from the subversive, corroding, money-laundering Participatory Notes (PN) derivative. But PNs are hot money derivatives and so can be pulled out anytime to cause a further devaluation of the rupee.

All these destabilising trends have had a profound impact on the stock market. One of these is in the form of market valuations now being well below the long-term average and even below the level in 2013. Therefore, it is no surprise that the top 10 corporate entities have reached a stage where their annual profits do not cover even their yearly debt repayments.

• Negative factors

While India has demonstrated impressive prowess in IT, biotechnology, automobile ancillaries and pharmaceuticals, and has also accelerated its growth rate to become the third largest nation in terms of GDP at PPP rates, nevertheless, it still has a backward, agricultural sector employing 62 per cent of the labour force and where farmers are ending their lives unable to repay their loans.

The Indian economy is also saddled with a national unemployment rate that is over 15 per cent of the adult labour force, and a prevalence of child labour arising out of nearly 50 per cent of children not making it to school beyond standard five, a deeply malfunctioning primary and secondary educational system, 300 million illiterates and 250 million people in a dire state of poverty.

Moreover, India’s educated youth is skill deficient, risk averse in attitude and largely unemployable in the cutting-edge manufacturing sector. According to Macaulay’s Minute on Education, our universities still produce clerks for government administration and not innovators of the future.

Besides these, India’s infrastructure is in a pathetic state, with frequent power breakdowns even in metropolitan cities, a dangerously unhealthy water supply system in urban areas, and a very poor road network where there are gaping holes even on the National Highways.

India’s infrastructure requires about $150 billion to make it world class, while the education system needs six per cent of GDP instead of 2.8 per cent today.

• Need for reform

These problems can be addressed only by comprehensive, second generation, systemic reform that makes the economy an efficient, competitive market oriented one that leverages our potentialities (such as our civilizational heritage of innovative intellect), and which minimises the inefficiency, squandering and corruption in the deployment of our vast resources.

India has much potential today to become a booming economy; it has a demographic dividend of a young population of average age of 28 years compared to China’s 35 years, the U.S.’s 38 years, Europe’s 46 years and Japan’s 49 years.

Internationally, Indian agriculture has the lowest yield in land and livestock-based milk products whose yield can easily be raised judging by the performance in experimental agricultural plots of the Indian Agricultural Research Institute (IARI) and the Indian Council of Agricultural Research (ICAR) and by also borrowing agricultural techniques from Israel. Indian agriculture and milk products are also internationally at a low cost of production. With proper infrastructure and packaging, India can certainly become a global player in agricultural exports.

Even though India is also gifted with a full 12 months a year of farm-friendly weather, it grows just one crop a year in over 75 per cent of arable land when it can grow three crops a year. It also has the advantage of a highly competitive, skilled labour force and low wage rates at the national level, the advantages of which have been already proved to the world by the outsourcing phenomenon. What is needed is a bold commitment of sufficient resources to harvest this potential.

An open competitive market system can find these resources as has been demonstrated in the auction of the 2G Spectrum licences if the quality of governance and accountability is improved.

A transparent policy regime, auctioning of natural resources (if it is used for commercial private enterprise), and the unearthing of the vast $1.5 trillion in black money stashed abroad will enable the government to marshal sufficient resources for a massive investment in a second generation economic reform while reducing the tax burden on people.

As an economist, the only advice I can give the Modi government is to take some steps that will raise the morale of the consumer and investor. That means income tax abolition and reducing the annual interest rate to nine per cent.

The good news is that the built-in potential in the economy is easy to tap for revival, as is the basic resilience of the Indian people to face any situation as demonstrated from past crises.

Only one year of the mandate has elapsed, so there is still time to make the necessary course correction and put India on a fast, 12 per cent growth trajectory.