LETTERS Issn 0012-9976 Ever since the first issue in 1966, EPW has been India’s premier journal for comment on current affairs and research in the social sciences. It succeeded Economic Weekly (1949-1965), which was launched and shepherded by Sachin Chaudhuri, who was also the founder-editor of EPW. As editor for thirty-five years (1969-2004) Krishna Raj gave EPW the reputation it now enjoys. editor C Rammanohar Reddy EXECUTIVE Editor aniket Alam Deputy Editor Bernard D’Mello Senior Assistant Editors Lina Mathias Srinivasan ramani copy editors Prabha Pillai jyoti shetty Assistant editor P S Leela Assistant editor (web) Anurag Mazumdar editorial Assistants lubna duggal ABHISHEK SHAW production u raghunathan s lesline corera suneethi nair Circulation Gauraang Pradhan Manager B S Sharma Advertisement Manager Kamal G Fanibanda General Manager & Publisher K Vijayakumar editorial edit@epw.in Circulation circulation@epw.in Advertising advertisement@epw.in Economic and Political Weekly 320-321, A to Z Industrial Estate Ganpatrao Kadam Marg, Lower Parel Mumbai 400 013 Phone: (022) 4063 8282 FAX: (022) 2493 4515 EPW Research Foundation EPW Research Foundation, established in 1993, conducts research on financial and macro-economic issues in India. Director J DENNIS RAJAKUMAR C 212, Akurli Industrial Estate Kandivali (East), Mumbai 400 101 Phones: (022) 2887 3038/41 Fax: (022) 2887 3038 epwrf@vsnl.com Printed by K Vijayakumar at Modern Arts and Industries, 151, A-Z Industrial Estate, Ganpatrao Kadam Marg, Lower Parel, Mumbai-400 013 and published by him on behalf of Sameeksha Trust from 320-321, A-Z Industrial Estate, Ganpatrao Kadam Marg, Lower Parel, Mumbai-400 013. Editor: C Rammanohar Reddy. 4 Democratising Universities of life so that they could play a critical role in the society. T Swapnil Dhanraj PhD Scholar Jawaharlal Nehru University he editorial “Democratise the University!” (EPW, 4 October 2014) draws attention to the struggles of the student community in the university set-up. I am very much convinced with the view that university administrations should actively encourage student participation in university affairs. The point on the absence of internal democracy within the university is thought-provoking in the contemporary situation. Globalisation and privatisation have brought in significant changes in the system of education. These processes have played a major role in the transmission and creation of knowledge in Indian society. However, university education should be understood in terms of the functions it performs in society. Holding demonstrations against the university administration is a step taken by the student community to minimise the disorder that our universities are going through today. Universities as centres of learning are facing a crisis of communication with the student community. This is by and large true for most of the modern educational institutions. Due to university/ administrative restrictions, students find themselves isolated from socially important issues. As sociologist Emile Durkheim says, education creates consciousness and a sense of liberation in the individual. However, in today’s modern education system, the student assertion is restricted by the bureaucratic structure of the universities. Thousands of students and young people from different universities took to the streets to demonstrate as part of the public protests in the aftermath of the 2012 gang rape in Delhi, which showed collective assertion and consciousness among the youth of this country. Striking against a huge fee hike or protesting against injustice towards a fellow student is a genuine cause, which the university should not criminalise. The university administration along with the student community should promote democracy and the rights of students to transform education into a positive and rational process october 11, 2014 New Delhi Meat and Milk Sector I am not sure if the RSS (Rashtriya Swayamsevak Sangh) chief has contemplated the implications of his aadesh (order) to ban the meat exports from India, this in his annual address on 3 October 2014 on the day of the Vijayadasami festival. India is a significant exporter of meat, which is basically from buffaloes. Hence, export of buffalo meat, which has little demand in the country, should not be discriminated against on any ground. If the government were to implement the aadesh of the RSS, then the adverse impact on the economy of meat production would be obvious. First, India will lose export revenue of $4.48 billion, adversely affecting the balance of trade, which stands at $146 billion. Second, the slaughterhouses themselves will become uneconomic because they will not be able to sell their meat products domestically at the depressed prices due to the glut in the domestic meat market. Moreover, as the farmers will find it impossible to sell their unproductive animals to the slaughterhouses, the illegal trade in such animals with India’s neighbours will increase, and if the government prevents that, milk production itself will become unsustainable because the farmers will not find processing facilities for their by-products. India does not have enough goshalas (shelter houses) to manage those unproductive animals, and even if such goshalas are established, the related subsidies will add to the already threatened food subsidies. The social effects on minorities who survive in such businesses will be catastrophic and unjust. The suggestion to ban meat export is untenable as there are no economically, socially and technically workable alternatives. The proposed ban is against the spirit of Article 48 of the Constitution, which emphatically states “the State shall endeavour to organise vol xlix no 41 EPW Economic & Political Weekly LETTERS agriculture and animal husbandry on modern and scientific lines…” Of course, people like the RSS chief can give all sorts of aadeshas, but I hope that the Government of India has a shrewdness not to take such orders by considering the export earnings from meat and also the employment potential for many people in the country. Any such interference in the effective disposal of unproductive animals by the farmers would be against the farmers’ interest, as it would affect food and nutrition security, and the livelihoods of a large number of people. Chandrashekhar G Ranade Washington DC LPG Subsidies W hen we relocated to India a few years ago, our biggest worry was not bijli, sadak, or paani, but cooking gas. Most of our upper-middle-class neighbours appeared to benefit from subsidised LPG at half the market price and we were told that we too could get it easily…for a “facilitation fee” at the ration card office! But nothing had prepared us for the sheer scale of abuse of LPG subsidies, which cost the nation Rs 21,772 crore in 2010-11 and had more than doubled to Rs 46,458 crore in 2013-14. The state of Karnataka, for example, estimated in 2012 that 25% of its LPG connections were “ghosts”. An overeager minister tried to link LPG to electricity meters, but over 22% of the consumers refused to come forward despite numerous extensions. As it turned out, a miffed LPG mafia issued death threats against the minister and the initiative was abruptly terminated under pressure from cabinet colleagues presumably linked to the LPG trade. The situation was not much different in other states: Andhra Pradesh estimated in 2013 that 20% of its 1.6 crore LPG connections were “bogus”, and that 80% of its ration cards were BPL (below the poverty line)! The state had attempted in 2005-06 to link ration cards to an irisonly-based biometric ID system, but had failed miserably. The appalling state of our public distribution system (PDS) (by extension, that of subsidised LPG, which are linked to Economic & Political Weekly EPW october 11, 2014 ration cards) had prompted the Supreme Court to appoint the Justice Wadhwa Committee in 2006 to take an in-depth look, state by state. Following its report in 2010, the Court had called for “end-toend” computerisation of PDS at a national level and integration with Aadhaar “in due course”. The Court had come to the inescapable conclusion that there was no consistent political will at the state level to reform subsidies. In a nutshell, dependency on international oil prices, ballooning fuel subsidies, lack of action by states to rein in fraud, botched attempts at automation, etc – these were the genesis of the United Progressive Alliance’s (UPA) Aadhaar programme and its direct benefit transfer (DBT) initiative for LPG, which the Bharatiya Janata Party (BJP) government has now embraced with even more gusto than the UPA. It wants to extend DBT to other major schemes and has issued orders to speed up Aadhaar enrolments in lowpenetration states like Uttar Pradesh with the goal of 100% enrolment by mid-2015! BJP’s U-turn on Aadhaar was surprising, but not unexpected, as its options were stark: either reinvent the ID wheel, with no hope of immediate payback, or leverage the already established Aadhaar system. Contrary to some news reports, the National Population Register (NPR) was never an independent option, as it too relies on Aadhaar for de-duplication. Based on initial results, DBT is expected to save Rs 6,500-10,000 crore in LPG subsidies, which alone more than offsets the Rs 4,906 crore spent to date on Aadhaar – the kind of return on investment that critics would do well to take notice! Between June 2013 and January 2014, DBT for LPG had covered 10 crore consumers in 291 districts. Rs 5,400 crore were transferred to Aadhaar-linked bank accounts of 2.8 crore consumers. As much as 6.18 lakh duplicates were uncovered, representing an annual savings of Rs 193 crore. Rs 400 crore more in savings resulted from consumers who did not produce their Aadhaar numbers and hence paid the market price – a combination of “ghosts” and legitimate consumers who were still awaiting their Aadhaar numbers. The UPA government drew strong criticism on the latter count, i e, for prematurely launching DBT in low-Aadhaar districts, and was forced to put it in abeyance in early 2014. It appointed a committee chaired by S G Dhande, former director, IIT-Kanpur to study the programme and address the disquiet among consumers. The committee’s report in May 2014 concluded that DBT was indeed fulfilling its goal of curbing duplication and fraud, suggested several process improvements, and strongly urged its resumption nationwide. The BJP government appears poised to do just that and much more. It has announced plans to extend Aadhaar-linked DBT to other key areas such as pensions, scholarships, the Mahatma Gandhi National Rural Employment Guarantee Scheme and PDS. After decades of mismanaging subsidies, the nation is in a unique position to tackle corruption at the point of service delivery. A reputedly decisive government with a huge mandate now has a proven technology at its disposal. What it now needs is the political will to move forward even if it means upsetting some of its traditional urban middle class support base or its ideological mentors. What is at stake is much more than cooking gas. How this government fares in tackling LPG subsidies will be a harbinger of its ability to better target all other subsidies and entitlements. Raju Rajagopal Former Civil Society Outreach Coordinator for UIDAI Bangalore Web Exclusives The following articles have been published in the past week in the Web Exclusives section of the EPW website. They have not been published in the print edition. (1) Privatisation of CPRs and the Informal Sector: A Case of Chilika Lake – Lalatendu Keshari Das (2) Mahuva Andolan of Gujarat: Judicialisation of Politics and Protests – Varsha Bhagat-Ganguly (3) BJP’s Assertive Pitch: Panipat of Marathi Asmita? – Mahesh Gavaskar (4) Teachers’ Day Marked in the Modi Way: Hidden Curriculum of the Master Class – Kishore Darak Articles posted before 4 October 2014 remain available in the Web Exclusives section. vol xlix no 41 5 LETTERS Subscription Rates (Revised rates effective November 1, 2013) Print Edition – For India Web Edition/Digital Archives Rates for Six Months (in Rs) Category Individuals Print (Plus free web access to issues of previous two years) 975 Print + Digital Archives 1,300 Rates for One Year (in Rs) Category Print + Digital Archives (According to Number of Concurrent Users) Up to 5 More than 5 5,500 8,500 3,300 Individuals 1,750 2,000 900 1,050 Rates for Three Years (in Rs) SAARC (in US $) Number of Concurrent Users Institutions Single User Institutions Individuals Rest of the World (in US $) Number of Concurrent Users Number of Concurrent Users Up to Five 2,750 Up to Five 220 More than 5 6,600 More than 5 55 More than 5 450 Single User 1,100 Single User 22 Single User 45 Types of Web Access to the Digital Archives Category Print (Plus free web access to issues of previous two years) Print + Digital Archives Single User Individuals 5,000 5,800 Concessional rates are restricted to students in India. 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Postscript welcomes submissions of 600-800 words on travel, literature, dance, music and films for publication in this section. EPW Economic & Political Weekly 320-321, A to Z Industrial Estate Ganpatrao Kadam Marg, Lower Parel, Mumbai 400 013, India Email: edit@epw.in, epw.mumbai@gmail.com october 11, 2014 vol xlix no 41 EPW Economic & Political Weekly
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