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Coal block e-auctions: With Rs 2 lakh crore in purse, has Modi govt really made any profit?

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coal

By Harshmeet Singh

All the hue and cry made by the Manmohan Singh government over CAG’s report of 1.86 lakh crore loss to the exchequer during the Coal block allocations from 2004 to 2011 has been rejected. With the proceeds from the current coal blocks auction comfortably crossing 2 lakh crore (includes proceeds from e-auction, royalty and the upfront payment), the Government is set to get a huge shot in the arm.

What went wrong in the first allocation?

Regarded as one of the biggest scandals in the Indian history, the coal blocks’ allocation between 2004 and 2011 were marred with controversy. According to the CAG, rather than opting for a competitive bidding, the Government chose to allot coal mines to Private players and PSUs at a nominal prize, giving them a ‘windfall’ gain in the process. Several blocks were allocated on ‘special’ recommendations of the ministers involved.

Interestingly, the initial report of the CAG never accused the Government of any corruption charges. It was only after the CVC (Central Vigilance Commission) asked the CBI to conduct an enquiry did the charges of corruption and wrong-doings surfaced. The loss figure of 1.86 lakh was arrived at by excluding the share of PSUs. According to Vinod Rai, the erstwhile CAG, had PSUs been taken into consideration, the loss would have amounted to over 10 lakh crore!

From incorrect information being given by the companies to new names being added to the list of conspirators with each passing day, the Coalgate took the entire country by storm. The curious case of missing files added to the already spectacular drama.

CBI director Ranjit Sinha’s testimony in the SC that the final status report was shared with the Law Minister, Ashwani Kumar, ‘as desired by him’, before being presented in the Supreme Court drew the ire of the judges. Sinha further claimed that the original content of the report was modified by the minister. This forced Harin Raval, the additional Solicitor-General to resign from his post, for misleading the Supreme Court.

Final Supreme Court Verdict

Soon after the Modi Government assumed charge last year, the Supreme Court came out with the final judgement in the coal block allocation case. The apex court cancelled the allocation of 214 coal blocks out of the total 218 blocks allocated since 1993. This presented a dual opportunity for the Modi regime.

Firstly, it gave a chance to the new Government to establish a clean image for itself by ensuring a transparent allocation of coal blocks. Secondly, it presented an opportunity to fill in the exchequer for the public welfare schemes that the Government wishes to implement in the future.

Current e-auction of coal blocks

Of the 214 blocks whose allocation was void by the Supreme Court, only 31 (18 operational and 13 soon to be operational) have been put under the hammer till now. With the current bids already exceeding the CAG’s figures, the total revenue from 214 blocks should easily end up close to 15 lakh crore. Just to be clear, the total bid amount of 2.07 lakh crore for the 31 blocks would be received by the Government over a period of 30 years, thus eroding the present value of this amount.

Apart from the transparency it brought forth, the e-auction method brings a number of other points to the table as well. With bids soaring high, the companies would be forced to increase their mining efficiency to ensure that they extract huge amounts of coal. This would put an end to hoarding with companies extracting maximum coal in order to cover their costs.

Reduction of power tariffs?

Piyush Goyal, the Coal and Power minister decided to segregate the coal blocks into two categories, viz. for power production and for non power production. With zero ceiling price for the ‘power production use’ blocks, the government adopted the reverse auction method (the company with the lowest bid wins the block) to allocate these blocks. Additionally, for every Rs 100 dip in the bid for the power production blocks, the power tariff was to be lowered by six paisa per unit.

This reverse auction process resulted in the reduction of power tariff worth Rs 96,971 crore, which would bring in much cheer for the end consumer. However, allocation of blocks at different rates by earmarking their separate purposes can be an ideal ground for corruption. The companies would always be tempted to extract coal at a lower cost from the mines tagged for power production, and sell it at a much higher cost in the market to earn profits.

Benefits of a healthier exchequer

The Government’s ambitious programs such as the 100 smart city project, Make in India, revamping of MNREGA and e-Governance initiatives could take a heavy toll on the national exchequer. The success of coal block and telecom spectrum auctions augurs well for the financial part of these schemes. However, it is their efficient implementation on the ground that would decide the future of our country.

  • Proceeds of the auction will be given to the states. Not for the central government.

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Rise of PM Modi and roar of subversive forces

To counter PM Modi opposition leaders are desperately getting aligned with anti-India forces

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Narendra Modi
Prime Minister Narendra Modi (Wikimedia commons)

– By Salil Gewali

If your son makes friendship with the difficult and longtime enemies of your own family/clan then how do you describe him and how do you feel about your future? Will it not be likely to open the door to countless tragedies? But in India, such thing is now being openly celebrated. For past couple of years or more the political leaders of certain parties have been taking the wrong step forward in having closed-door meetings with the leaders of Pakistan/China. What transpires among themselves is obviously against the present government and the nation’s fundamental ethos. Those leaders have often been heard to be sympathetic towards the terrorists or those who “roar against the nation” or against its patriotic values. Yes, those leaders jump forward to defend them who wreak havoc with the “peaceful citizens”.   Some leaders are apologetic that certain NGOs/media/religious bodies should not be harassed in the name of fighting the terrorists and ISIS. This is how country’s leaders defend the dangerous postures of dangerous outfits. Will this trend not invite greater troubles to the nation in future?

One wonders how the apex judiciary of the country just allow the political parties to pour out their pent-up anger before the leaders of neighbouring countries who are always aggressively in the combative mood. Why is the Supreme Court silent on such blatant subversive activities?

Very recently, one senior leader of the national party even scoffed at Prime Minister Modi by calling him a depraved being “Neech”. What are the criteria for one being morally low? Has PM Modi fallen short any standards of the integrity since he works sincerely hard and formulates innovative plans and schemes for the greater welfare of the nation? Well, has he not been constitutionally elected by the people of this country? Why the media is less aggressive and more defensive for those “transgressors” who wield daggers behind the cloak.

Whatsoever be the political dispensation at the center, such open rebellion against the government will not augur well for the nation and its 1.25 billion citizens.

Salil Gewali is a well-known writer and author of ‘Great minds on India’. Twitter Handle @SGewali

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Beatles, Apple, Facebook knew India more than Indians

Famous non-Indian celebrities know more about India and its past

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The Beatles once visited India to know more bout its past and culture.
The Beatles once visited India to know more bout its past and culture. Wikipedia

-By Salil Gewali

Facebook’s Chairman Mark Zuckerberg had dropped a bombshell on the “secularists” in India during PM Modi’s visit to his campus in California. It’s all about the Facebook connection with India. Initially, it was never a bed of roses for what is now a household name “FACEBOOK” across the world. This world-famous ‘social networking service company’ had its own share of bad times. Revealing for the first time in the meeting at the Facebook office upbeat Zuckerberg told PM Narendra Modi that Steve Jobs, the founder Chairman of Apple, had advised him to visit a certain temple in India for blessings. The revelation may have caused heartburn to many. More so in India where so-called secular and snooty folks have long acquired a proclivity to look down upon their own culture, religion, and values while being appreciative of any bizarre customs and styles of the West. Yes, heeding the advice of his mentor Steve Jobs the depressed Mark had visited the temple and toured around India for nearly a month.

Facebook's CEO tells about India.
Facebook’s CEO tells about India. wikipedia

Well, the American techno-wizard Steve Jobs had himself spent over six months in India in 1974. He was here in quest of the higher meaning of life and spiritual solace. As understood, from early age Steve was quite haunted by a good deal of unanswered questions. Of course, his encounter with a book “Be Here Now” by Richard Alpert, a Harvard Professor, had opened up a gateway to the spiritualism of the East. This book had also introduced him to a mystic Yogi ‘Neem Karoli Baba’. That later inspired Steve to set out the journey for the East. As soon as Steve and his friend Daniel Kottke arrived India they directly went to meet the Guru in Kainchi Dham Ashram in Nainital. But to their disappointment, they found the Baba had already passed away some months earlier. Nevertheless, the urge to dive deeper into the spiritualism did not die away. They shaved their heads and put on Indian clothes and undertook an extensive meditation and yogic practices.

The most significant impact that had made upon Steve’s life was a book “Autobiography of a Yogi”by Paramhansa Yogananda. It is on record that he would read this book too frequently, at least once every year until his death, 2011. This book had given him the practical insight into what exactly this world is about and how a layman can prepare himself to realize the Supreme knowledge. The first-hand account of a Yogi with empirical approaches to know oneself this book by Yogananda is a smash hit manual now among the seekers of the Eastern spiritualism.

Yes, by dint of hard work, intuition and innovation Steve stood out as one of the most successful techno-tycoons of the modern times. As much known, Jobs was hardly possessed by the luxury of riches and materialistic vanity. He just regarded his entrepreneurship as a tool to awaken his dormant potentialities. The chairman of Salesforce.com and famous philanthropist Marc Benioff says with conviction — “If you want to understand Steve, it’s a good idea to dig into ‘Autobiography of a Yogi’.” It is this book which Steve’s family had given to all the guests as a last gift at his memorial service.

Here we can’t afford to ignore the Beatle’s fascination for INDIA as well. The band members that were basking in the opulence of materialistic riches and glory visited India (Rishikesh) in search of inner peace. They met with Sri Maharshi Mahesh Yogi and learnt from him Transcendental meditation (TM) who laid bare methods to feel true bliss within. Sri Maharshi is a big name in the West having a huge following that includes celebrities like Oprah Winfrey, David Lynch, Russell Brand, Hugh Jackman, Jennifer Aniston, Modern physicist Dr. John Hagelin, to name a few. The Beatle’s Paul McCartney and Ringo Starr often assist a Hollywood Director/actor David Lynch to organize the Transcendental meditation under ‘David Lynch Foundation’ across USA and the European countries. George Harrison later took refuge in Bhakti Yoga. The founder of ISKCON Srila Prabhupada showed him the pathway to the Supreme Consciousness.

What basically pulls the rational westerners to India is less known to Indians themselves. It’s shamefully paradoxical. From early 19th Century, the philosophical literary treasure troves and Yoga of India found more admirers in the foreign lands than at home. Indeed, the philosophy of the “laws of karma” and the presence of all-power-divinity within every being and everywhere — which any human being can realize irrespective of one’s caste, creed, nationality, and color, has intensely stirred the greatest of the great minds of the West. The ancient texts hold out a whole bunch of keys to unlock oneself and know his/her relationship with the Supreme Being which in fact seems very reasonable to the West. Further, the complex studies of world-view by Modern scientists are gradually arriving at the same conclusion what the ancient sages of India expounded over five thousands year back that ‘creation and creator are ONE’. Interconnection, inter-relation and interdependence among every individual particle/object, living or non-living, in the infinite universe — which is the fundamental tenets of the Eastern philosophy, provided a new light of wisdom to the the modern physicists like Schrödinger, Heisenberg, Julius Oppenheimer, Brain David Josephson, David Bohm, John Stewart Bell et al.

Well, Indian’s contribution to the western academia is immeasurable — though deliberately undermined or less discussed in India itself. It’s very worthwhile to recall a famous proclamation by our western master whom we hold in the highest esteem. TS Eliot, one of the most celebrated poets of the 20th century, asserts: “Indian philosophers’ subtleties make most of the great European philosophers look like schoolboys”.

Salil Gewali is a well-known writer and author of ‘Great minds on India’. Twitter @SGewali.

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Narendra Modi App : Amazing Platform where Prime Minister connects with the citizens

Wanna give ideas to or interact with Prime Minister Narendra Modi? Go and download Narendra Modi app on android and iOs

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Narendra Modi App
Prime Minister Narendra Modi (FILE PHOTO)

Indian Prime Minister Narendra Modi has an amazing sense of connecting with masses. Prime Minister knows the nerve of Indian public and at various instances proves himself as a pan Indian leader. Prime Minster Modi is undoubtedly one of the most tech-savvy global leader and a big promoter of e-governance and m-governance since a long time. Within two months of assuming Prime Minister-ship, he had launched the ambitious myGov project. In continuing the tradition of citizen connect, Prime Minister Modi took another step towards connecting with the people at their convenience by launching Narendra Modi app couple of years back.

Narendra Modi app
Prime Minister launching Narendra Modi App

The Narendra Modi app provides updates on the day-to-day activities of Prime Minister Narendra Modi. It presents an opportunity to receive messages and emails directly from Shri Narendra Modi. There is also an option to contribute and earn ‘badges’ through to-do tasks in various social initiatives. Through Narendra Modi app, one can tune-in and listen to the various episodes of ‘Mann ki Baat’, read Prime Minister Modi’s blogs, and get to know more about him from his Biography section. Narendra Modi app also provides comprehensive information on initiatives and achievements of the Union Government, which has an ‘infographics’ section for insights.

Such type of initiative by a global leader gives a strong message how technology can be used by governments to bridge gap between leaders and citizens. apart from this app Prime Minister Modi is also very much active on various social media platforms such as Facebook, Twitter, Instagram etc. Prime Minister Modi is the one of the most followed global leader on Twitter.

So what are you waiting for. Go and share some ideas of innovation with Prime Minister Narendra Modi and contribute in his vision of “Sabka Sath, Sabka Vikas”.

– by SHAURYA RITWIK, Shaurya is Sub-Editor at NewsGram and writes on Geo-politcs, Culture, Indology and Business. Twitter Handle – @shauryaritwik