7 January 2015

The city of activism and hope:delhi

Delhi has grown exponentially in the last couple of decades as a result of universal factors like migration, industrialisation, urbanisation. Delhi has always been a city of migrants. In the wake of Independence, it witnessed the influx of massive numbers of refugees who came from the newly born state of Pakistan. Post Independence, the city was built largely by these refugees, who came mostly from Punjab, imbuing it with an initial identity that was Punjabi.
Then Delhi became the capital of the new government of India. As the seat of political power, the city attracted a large number of government employees from all parts of the country. It also became home to politicians from different states. Thus, the city became a political and government bastion.
In the last two decades, the processes of globalisation, industrialisation and urbanisation have added waves of migration to the city. Many of these people were economic migrants who came to the capital in search of opportunity and employment. They came mostly from Uttar Pradesh, Bihar and West Bengal (though it is alleged that it was actually Bangladesh). Thus, in the late 1990s, the city’s character began to change from a Punjabi-dominated city to a city dominated by the Purabiyas, people from eastern UP and Bihar.
These various identities continue to influence public life in Delhi. Six decades after Independence, the city is the political nerve-centre of the country. Thousands of aspiring and established politicians throng the city, lending it an extremely political colour. Of late, politics has become a subject of derision thanks to a sustained smear campaign. Of course, there are good politicians and bad — but this is also true of every other profession. What is notable is that, in the last few years, the political identity of the city has also undergone a major transformation. Many young people have entered the political arena. The city’s seven Lok Sabha MPs are all young by the standards of Indian politics. In city politics, too, the dominant role is being essayed by young leaders.
Delhi today has emerged as a city of activism and hope, with an omnipresent youthful energy. A new socially and politically conscious generation is changing the contours of public life in the city. True, Delhi is notorious today for the high incidence of violence against women, and is labelled the “rape capital”. The crime rate in general is also high. But the city has also witnessed huge public mobilisations against corruption and crimes against women. Young Delhi knows how to demand accountability.
This is not a rowdy youth. Instead, it is aspirational, creative and, most importantly, socially conscious. There was
a time when people thought that urbanisation was bad. Now though, cities have become the lifeline for creative and aspirational young men and women, educated or not.
The city is not just about politics, though. It has an underbelly that is anything but political. Mahatma Gandhi used tosay that India lives in villages. What he meant was that the culture, traditions and ethos of our land are better preserved and protected in villages, which is largely true. Equally true is that the migrants who come to Delhi or any other city bring with them their cultures and traditions, too. That is why Delhi is in celebration mode all through the year. From the Tamil Pongal to the Malayali Onam and the Ganesh Chaturthi of the Marathis, from the Gujarati Garba to Holi and Durga Puja — when is there no celebration in Delhi?
Young men and women drive life in the city today. There is no cause for concern over their youthful activities, the clothes they wear or the places they visit. We must have faith in them and guide them, because they are no less idealistic than any previous generation of young people. We may find them at a bar or a coffee bar; watch them closely and they’ll likely be talking about a Narendra Modi or an Anna Hazare, discussing corruption and cursing social evils.
They have dreams in their eyes and ideas on their minds. Where we have failed is in giving them direction. We have to create excellent educational institutions in Delhi and improve the standards of our schools and colleges. We have to encourage sports in a big way. We have to create a conducive atmosphere for non-governmental activism. We have to allow youngsters to take over public life in the city. Perhaps we could hand over to them public spaces like parks and playgrounds and ask them to manage them?
Swami Vivekananda returned to India in 1897 after a four-year sojourn in the West. He reached Colombo and then travelled across the length and breadth of the country for over a year, ending his journey in Almora. He addressed hundreds of meetings during his year-long travel. He began his address at almost all of them by invoking youthful energy: “Oh, my dear young men and women of Madras! All my hopes lie on you,” he would say. Can we also say that
to our youth?

Google's Page named as business person of the year for 2014


Google's Larry Page has emerged as the 'business person of the year' for 2014, edging past the likes of Alibaba co-founder Jack Ma and Facebook CEO Mark Zuckerberg, according to Fortune magazine.



Page, who is Chief Executive Officer (CEO) and co-founder of Google, came on top in the 20 global corporate leaders' list compiled on the basis of various factors including company's performance, leadership style and total shareholder returns, the magazine said while bringing out its list.



Apart from Jack Ma and Zuckerberg, others in the race included Apple's Tim Cook and fast food chain Chipotle co-CEOs -- Montgomery Moran and Steve Ells-- and Fedex chairman & CEO Fred Smith.



Besides, five women have made the cut to the top 20 list.

Interestingly, Amazon's Jeff Bezos, who led Fortune list in 2012, failed to make in to the top 20 list.



As Google's core business continues to thrive, Page, who topped the list, is making "huge bets on new technology -ingestible nanoparticles, balloons that beam down broadband- that could define the future," the magazine noted.



Page and his company have packed a lot of evolution into just over 15 years of existence, it added.



The women contenders were Ultra Beauty CEO Mary Dillon, ITT CEO and President Denise Ramos, TJX Cos CEO Carol Meyrotwiz, Theranos Founder and CEO Elizabeth Holmes and Williams-Sonoma President and CEO Laura Alber.



The list is based on various parameters like financial results of the company including 12-month and three year growth in profits and revenues, company's stock performance and total shareholder returns over the same periods.



Besides, several non-financial elements like business influence, leadership style, strategic initiatives played a part in evaluation.

Improving an unworkable law

For the land-acquirer, the land act ordinance tries to lessen the indirect price of acquisition and transaction by diluting requirements for social impact assessments and referenda. For the land-loser, it not only retains all forms of compensation and rehabilitation, but also grows the number of those eligible for lucrative pay-offs

The government of India continues to search for the right way to do land acquisition. Last week, the Union Finance Minister announced an ordinance to amend the Land Acquisition Bill that his party, the Bharatiya Janata Party (BJP), had helped vote into law a mere 15 months ago. It had been in force for less than one year. That law, the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act (LARR), had been pushed through by the United Progressive Alliance (UPA) in its dying days. It had many detractors. Private industry said that it was the biggest obstacle to growth. Most State governments, including several Congress-led ones, thought it was unworkable. I wrote that embedded in LARR were the seeds of its own destruction.
That LARR would be changed was obvious in the first weeks after the BJP stormed to power at the Centre. There were whispers and much speculation, but nothing official. Now, it is out in the open and we can pass judgement. So, what does this ordinance reveal about the thought processes of the leaders of the Modi government? Is this a new approach? Is it any better than the old one? What could have been done differently?
Focussing on the land-loser

We need to ignore the predictable noises being made by the usual suspects. The pro-business crowd, from Goldman Sachs to Dalal Street, can barely suppress its elation. Several pro-farmer groups, especially significant non-governmental organisations like the National Alliance of People’s Movements, whose ideas had formed the initial blueprint of LARR, have called this a giveaway to the corporate sector. Anti-BJP political parties like the Congress, the CPI(M), the Samajwadi Party and the Trinamool Congress have vowed to fight these changes with all their might. All these people cannot simultaneously be right.
Compensating non-owners is a vital and non-negotiable element of LARR. How that will be achieved without the social impact assessments remains unclear.
To get analytical clarity, we need to start from basics. LARR was meant to make the acquisition process just. It was designed in the mode of the Congress’s other landmark laws on information, education, and food — using a rights-based approach — where the primary objective was to deliver “fairness” to the people affected by land acquisition. LARR expanded the definition of project-affected people and expanded the rights, protections and compensations for people who lose land or livelihood as a result of acquisition. All these were laudable and necessary. But LARR was also a purely political and fundamentally bureaucratic approach based on little or no recognition of some simple economic principles — on land markets and on transaction and opportunity costs. The underlying presumption was that the price of land matters to the land-loser but not to the land-acquirer; as a result, LARR raised the price of land acquisition to unsustainable levels.
Price matters to acquirer and loser

This price is not simply the money paid for acquisition and rehabilitation and resettlement. That is just one component of price, its direct component. There is a second component, an indirect price. This includes (a) transaction costs, which include the cost of doing social impact assessments, conducting referenda, running the massive new multilayered acquisition bureaucracy, etc. and (b) opportunity costs, which arise from the time taken to conclude an acquisition — doing social impact assessments, conducting referenda, etc. — time during which capital is not invested, infrastructure is not created, and production does not take place. If all the steps defined in LARR were accomplished in the allotted time, each acquisition would require about five years; in practice, it could take a lot longer.
The Modi government’s ordinance — unlike the UPA government’s law — is based on the principle that price matters to both the land-acquirer and the land-loser. Their interests are opposed, because the land-acquirer would like to pay the least he or it can get away with, and the land-loser would like to get the most he or it can manage. So, how does the ordinance solve this problem? Quite simply, as a matter fact, by splitting the direct and indirect prices for acquisition and keeping the direct prices unchanged while attacking the indirect prices.
For the land-acquirer, the ordinance tries to lessen, as much as it can, the indirect price of acquisition, the transaction and opportunity costs that have been listed. This it does by weakening or removing the requirements for social impact assessments and referenda. For the land-loser, the ordinance not only retains all forms of compensation and resettlement and rehabilitation, but also grows the number of land-losers eligible for these lucrative pay-offs by bringing into the ambit of LARR, 13 categories of acquisition that had been excluded earlier. These include the Land Acquisition (Mines) Act, the Atomic Energy Act, the Railways Act, the National Highways Act, and the Metro Railways (Construction of Works) Act. These inclusions were indicated in LARR, but are accomplished in this ordinance.
The reason this ordinance is likely to work in the short term and the reason it may run into trouble in the long term is the same — the underlying land market in India. Land prices in India are now the highest in the world (with the possible exception of China, where, for approximately the same reasons as in India, prices have reached unprecedented levels). For most pieces of agricultural land, these market prices are several times higher than the possible returns from keeping the land in agricultural use. When these very high prices are quadrupled or doubled, it creates a windfall for land-losers, a fortune they could never earn from agriculture. The Modi government is betting that the vast majority of people will be dazzled by the money and will acquiesce to acquisition. And by vastly increasing the scope of LARR, by bringing under its ambit several more types of acquisition and many more people, the government and the BJP can claim to be as pro-farmer as anyone else (even if the enlargement had been envisaged in the original law).
For the land-acquiring interest — be it the private or public sector — reducing the time for acquisition by several years, and thereby reducing the opportunity cost, is a huge benefit. When this is topped up with the reduction or removal of the cash cost of social impact assessments and referenda, it becomes a windfall for the acquirers too. LARR had placed an impossible double-burden on land acquirers: pay double or quadruple the highest prices in the world, and wait for several years to begin work on the ground. The first burden remains and its consequences are grave. What those consequences may be must be carefully worked out by people competent to do so. But the second burden has been mitigated by this ordinance. It should make life easier for the land-acquirer.
Price factor

What, aside from partisan politics, could go wrong? There are many things, but I will mention just three. First, the assumption that everyone responds to price is incorrect in India. There are priceless pieces of land that no amount of money can buy. The Niyamgiri hill region in Odisha where the Vedanta mining project ran aground is an example. Without referenda it may be very difficult to identify priceless land; which means that deadly face-offs over acquisition will continue to flare up. Second, the social impact assessment was meant primarily to take stock of the non-land-owning project-affected population. Compensating non-owners is a vital and non-negotiable element of LARR. How that will be achieved without the social impact assessments remains unclear.
Third and most important: the price of peri-urban land has reached such levels in the most dynamic urban regions of the country, that just doubling it (even without the added transaction and opportunity costs) may make many public projects unaffordable and private projects uncompetitive (especially in a globalised economy). The blunt instrument of acquisition is already inappropriate in many such settings; using LARR, even after the ordinance, it may be impossible. New, creative methods that make stakeholders out of landholders must be devised, perhaps by following the better outcomes of some of the experiments being attempted in some States.
Is this ordinance a better way than LARR? Yes. Is there a better way than this? Very much so, and it is based on finding State-level solutions rather than these top-down, one-size-fits-all strategies devised by the Centre. And above all, as a friend says, what we need are good intentions combined with clear analysis and hard, detailed work. Unfortunately, all these are in short supply.

Citizenship (Amendment) Ordinance, 2015 Promulgated


The President of India has promulgated the Citizenship (Amendment) Ordinance, 2015 on January 06, 2015 with immediate effect which provides for the following amendments to the Indian Citizen Act, 1955:

• At present one year continuous stay in India is mandatory for Indian Citizenship which is relaxed stating that if the Central Government is satisfied that special circumstances exist, it may, after recording such circumstances in writing, relax the period of twelve months specified upto a maximum of thirty days which may be in different breaks.

• To enable for registration as Overseas Citizen of India (OCI) by a minor, whose parents are Indian Citizens.

• To enable for registration as Overseas Citizen of India (OCI) by a child or a grand-child or a great grandchild of such a citizen.

• To enable for registration as Overseas Citizen of India (OCI) by such spouse of a citizen of India or spouse of an OCI registered under Section 7A and whose marriage has been registered and subsisted for a continuous period of not less than two years immediately preceding the presentation of the application under this section.

• In respect of existing PIO card holders central government may, by notification in Official Gazette, specify a particular date from which all existing PIO card holders will be deemed to be OCI card holders.

The Indian Citizenship Act, 1955 provides for acquisition, termination, deprivation, determination of Indian Citizenship and other related aspects. The Act provides for acquisition of Indian citizenship by birth, descent, registration, naturalization and incorporation of territory under certain circumstances, and also for the termination and deprivation of citizenship.

6 January 2015

Playing dumb on climate change

Scientists have often been accused of exaggerating the threat of climate change, but it's becoming increasingly clear that they ought to be more emphatic about the risk. The year just concluded is about to be declared the hottest one on record, and across the globe is happening faster than scientists predicted.

is conservative, and new claims of knowledge are greeted with high degrees of scepticism. When Copernicus said the Earth orbited the sun, when said species evolved by natural selection, the burden of proof was on them to show that it was so. In the 18th and 19th centuries, this conservatism generally took the form of a demand for a large amount of evidence; in the 20th century, it took on the form of a demand for statistical significance.

We've all heard the slogan "correlation is not causation," but that's a misleading way to think about the issue. It would be better to say that correlation is not necessarily causation, because we need to rule out the possibility that we are just observing a coincidence. Typically, scientists apply a 95 per cent confidence limit, meaning that they will accept a causal claim only if they can show that the odds of the relationship's occurring by chance are no more than one in 20. But it also means that if there's more than even a scant 5 per cent possibility that an event occurred by chance, scientists will reject the causal claim. It's like not gambling in Las Vegas even though you had a nearly 95 per cent chance of winning.

While there have been enormous arguments among statisticians about what a 95 per cent confidence level really means, working scientists routinely use it.

But the 95 per cent level has no actual basis in nature. It is a convention, a value judgement. The value it reflects is one that says that the worst mistake a scientist can make is to think an effect is real when it is not. This is the familiar "Type 1 error." You can think of it as being gullible, fooling yourself, or having undue faith in your own ideas. To avoid it, scientists place the burden of proof on the person making an affirmative claim. But this means that science is prone to "Type 2 errors": being too conservative and missing causes and effects that are really there.

Is a Type 1 error worse than a Type 2? It depends on your point of view, and on the risks inherent in getting the answer wrong. The fear of the Type 1 error asks us to play dumb; in effect, to start from scratch and act as if we know nothing. That makes sense when we really don't know what's going on, as in the early stages of a scientific investigation.

But when applied to evaluating hazards, the fear of gullibility can lead us to understate threats. It places the burden of proof on the victim rather than, for example, on the manufacturer of a harmful product. The consequence is that we may fail to protect people who are really getting hurt.

And what if we aren't dumb? What if we have evidence to support a cause-and-effect relationship? Let's say you know how a particular chemical is harmful; for example, that it has been shown to interfere with cell function in laboratory mice. Then it might be reasonable to accept a lower statistical threshold when examining effects in people, because you already have reason to believe that the observed effect is not just chance.

This is what the argued in the case of second-hand smoke. Since bystanders inhaled the same chemicals as smokers, and those chemicals were known to be carcinogenic, it stood to reason that second-hand smoke would be carcinogenic, too. That is why the Environmental Protection Agency accepted a (slightly) lower burden of proof: 90 per cent instead of 95 per cent.

In the case of climate change, we are not dumb at all. We know that carbon dioxide is a greenhouse gas, we know that its concentration in the atmosphere has increased by about 40 per cent since the industrial revolution, and we know the mechanism by which it warms the planet.

The 95 per cent confidence limit reflects a long tradition in the history of science that valorises scepticism as an antidote to religious faith. Moreover, while vigorously denying its relation to religion, modern science retains symbolic vestiges of prophetic tradition. A vast majority of scientists do not speak in public at all, and those who do typically speak in highly guarded, qualified terms. They often refuse to use the language of danger even when danger is precisely what they are talking about.

Years ago, climate scientists offered an increase of 2 degrees Celsius as the "safe" limit or ceiling for the long-term warming of the planet. We are now seeing dangerous effects worldwide, even as we approach a rise of only 1 degree Celsius. The evidence is mounting that scientists have underpredicted the threat. Perhaps this is another reason we have underreacted to the reality, now unfolding before our eyes, of dangerous climate change.

Scepticism is built into science's DNA - which is why the world is underestimating the effects of climate change even when there is overwhelming evidence

5 things that differentiate NITI Aayog from Planning Commission

ParameterNITI AayogPlanning Commission
Financial cloutTo be an advisory body, or a think-tank. The powers to allocate funds might be vested in the finance ministryEnjoyed the powers to allocate funds to ministries and state governments
Full-time membersThe number of full-time members could be fewer than Planning CommissionThe last Commission had eight full-time members
States' roleState governments are expected to play a more significant role than they did in the Planning CommissionStates' role was limited to the National Development Council and annual interaction during Plan meetings
Member secretaryTo be known at the CEO and to be appointed by the prime ministerSecretaries or member secretaries were appointment through the usual process
Part-time membersTo have a number of part-time members, depending on the need from time to timeFull Planning Commission had no provision for part-time members

Dictatorial democra

It has recently been claimed that Jawaharlal Nehru was an ardent democrat and that he always upheld the democratic spirit in his belief and activities. In reality, however, history recounts a very different story.

When he became the Prime Minister of India, he seemed to be a power-monger and in order to retain authority, he discarded all democratic values. First, his relationship with the President suggests that he was a strong believer in Prime Ministerial ascendancy, emphasising that we had adopted the cabinet system as in Britain. In his reckoning, the President must act upon the advice of the cabinet and, thus assume a passive role. But, obviously, the President, as the Head of State had a dignified role to play and, as a person, he was entitled to have his own ideas, prejudices and beliefs. This was the reason why, soon after the Constitution came into force, the then President, Dr Rajendra Prasad, was not able to maintain cordial relations with Nehru.

In fact, Dr Prasad once wrote to him that in certain matters, he would take his own decision. Nehru sent two copies of the letter to Alladi Krishnaswami Ayar, one of the framers of the Constitution, and MC Setalvad, the Attorney-General, for their opinion. However, both of them stressed that in a cabinet system, the President must accept a passive role and abide by the ministerial advice. Inspired by this favourable opinion, Nehru intended to belittle the President. Dr Prasad once again raised the issue before the Delhi Law Institute and claimed that the Constitution did not ask the President to act upon the ministerial advice in all matters. Surely, for Nehru, it was fuel to the fire.

In certain minor matters such as the religious ceremony in Varanasi in which Dr Prasad washed the feet of the priests and pundits, his visit to Somnath temple and presence at the funeral of Sardar Patel, he acted against the wishes of Nehru. As regards General Thimaya’s resignation, Nehru’s Tibet policy and corruption in high places, Dr Prasad expressed considerable dissatisfaction. He did not support the imposition of President’s rule in Kerala in 1959 and the introduction of the Hindu Code Bill in Parliament. He even sent a message, under Article 86(2), urging Parliament to carefully and cautiously consider the Bill as it was awfully defective (Editorial, the Modern Review, November 1978).

As Nehru felt slighted, he wanted to reach a parting of the ways with Dr Prasad after the conclusion of his first term. But, it was Abul Kalam Azad who persuaded the Prime Minister to offer a second term to Dr Prasad. But when the latter sought a third term, Nehru firmly opposed the proposal. Dr Prasad reluctantly resigned office in 1962.

Nehru picked Dr Radhakrishnan for President with the fond hope that the distinguished philosopher would be immersed in his library and would hardly interfere in political affairs. But the Prime Minister was disillusioned because the new President also wanted to play a positive role in matters of State. He was annoyed with Nehru’s defence policy which led to our military debacle against China in 1962 and he had reportedly wanted to remove Nehru from the office of Prime Minister. The rift soon widened and Nehru decided to give him an honoured farewell after the end of his first term.

Similarly, as head of the cabinet, Nehru behaved like a political colossus. Of course, under Article 75(2) of the Constitution, the cabinet is ‘collectively responsible’ to the Lok Sabha and, hence, the cabinet collectively takes the decision in all matters. But Nehru discussed such matters with only a few colleagues of his choice and expected others to readily agree. As VK Kulkarni has pointed out, Nehru merely raised the issues at cabinet meetings and such meetings ended there (Problems of Indian Democracy, page 158). In this way, the cabinet became, as Percival Spear wrote, a mere ‘registering body’ (A Modern History, p 437). In 1956, Bombay was bifurcated by Nehru without the resolution of the cabinet. CD Deshmukh, Finance Minister, promptly resigned. But, Nehru bluntly observed that he was the Prime Minister and that ‘the Prime Minister can lay down the policy of the government’. During his time, a number of ministers notably RR Diwakar, Dr KM Munshi, S Chetty, KC Neogi and C Biswas, had resigned. Nehru functioned in league with some “yes men”.

Of course, Sardar Patel, the Home Minister and No. 2 in the cabinet, believed that the Prime Minister was primus inter pares. No wonder he couldn’t suffer Nehru’s attitude. In the Prime Minister’s scheme of things, though the cabinet was the ultimate policy-maker, ‘the Prime Minister is supposed to play an outstanding role’. Sardar Patel wanted to resign, but Mahatma Gandhi persuaded him to continue.

Within the Congress, Nehru sought to play the role of supreme head. In 1950, a contest for the office of the party president led to a major crisis. JB Kripalani and P Tandon were two rival candidates, the former represented the Nehru group and Tandon stood for Patel. Eventually, Mr Tandon won the election. But Nehru, in order to keep the party within his grip, observed that the Congress must choose either him or Mr Tandon. As Chalapati Rau has observed, ‘The struggle really was who was to lead the Congress, Tandon or Jawaharlal’ (Jawaharlal Nehru, p 205). Though Mr Tandon was duly elected in a democratic manner, he had to step down. Nehru became the party president and retained the office till the early part of 1954. To quote Rajni Kothari, ‘All future incumbents of the post until his death owed their position to Nehru’s will” (Politics In India, p 169). Some of his colleagues, like C Rajagopalachari and JB Kripalani parted with him and founded separate political parties, in order to fight against the Congress.

Moreover, Nehru virtually reduced Parliament to a subordinate institution. Constitutionally, of course, the cabinet is responsible to the Lok Sabha. But Nehru held the Prime Ministerial office three times and, on each occasion, he was backed by an overwhelming majority. So, he was never worried about the stability of the government which was actually made independent of the Lok Sabha. On occasions, he even dared to incur the wrath of the judiciary for his irresponsible comments. He was truly a dictator in the democratic structure.

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