Disenfranchising the poor

The right to contest elections may not be a statutory or legal right but it definitely is the essential feature of democratic process

Last month, the Supreme Court in a far reaching judgement upheld the Haryana government’s decision to bar certain categories of citizens from contesting local elections. The judgement delivered by a two-judge bench in the Rajbala and others versus the State of Haryana maintained the constitutionality of the Haryana Panchayati Raj (Amendment) Act, 2015, which listed the following categories as criteria for ineligibility to contest local elections: (i) persons against whom charges are framed in criminal cases for offences punishable with imprisonment for not less than 10 years, (ii) persons who fail to pay arrears, if any, owed by them to either a Primary Agricultural Cooperative Society or District Central Cooperative Bank or District Primary Agricultural Rural Development Bank, (iii) persons who have arrears of electricity bills, (iv) persons who do not possess the specified educational qualification and lastly (v) persons not having a functional toilet at their residence.

While there is no disagreeing with the court’s verdict on legal grounds of the supremacy of the state legislature to define criteria for eligibility to contest elections, the issue at hand is not the legality of the decision. As the judgement rightly points out, there have been various disqualifications for contesting elections at different levels and these have also been modified from time to time. The issue is not whether a certain category of citizens can be debarred from contesting, but what kind of disqualifications can be treated as valid. And it is this issue which is at the core of not only the functioning of the democracy in the country but, more importantly, the relationship between state and citizens.

There are certain categories of disqualifications which are applicable in the case of the Lok Sabha and the Rajya Sabha, too. These are, apart from age restrictions, mostly on whether the candidate is of sound mental health or has any criminal convictions, both of which are individual traits—either a health condition or activities that make a person unfit to be elected. The problem lies in the judgement treating education and toilets as essential qualifications for contesting elections. In these cases, the state uses its authority to decide what kind of representatives the citizens choose, thereby subverting the very foundation of democratic polity which is built on the notion of people deciding what kind of state they want.

Both these are traits which are as much in the domain of the individual as they are the outcomes of the social and economic policies of governments. Since acquiring an educational degree is as much an outcome of the existence of proper schooling facilities, availability of teachers, cost of acquiring the educational qualifications and so on, the state has no right to disqualify a citizen for the inadequacies or inefficiencies in the proper provisioning of these. The same is true of a proper functioning toilet which is also a function of the availability of money, land and housing, most of which are lacking in rural areas for a significant section of the rural population. The fact that a substantial section of the rural population lacks even proper pucca housing despite the government’s efforts to provide these, implies that the poor can hardly be blamed for not having a proper toilet at home. It is a classic case of the state blaming the poor for not acquiring physical or moral assets which are beyond the control of the individual. The class of citizens that is most affected by these are also the ones which the state should try and protect and empower through the democratic process.

The issue is essentially one of the role of the state which instead of empowering these communities is now penalising them by disenfranchising them. And it is important to note that the process of empowerment is not just the right to vote but also to contest elections and thereby raise the voice of the marginalised. The right to contest elections may not be a statutory or legal right but it definitely is the essential feature of democratic process.

Unfortunately, such contempt for the poor is not new. A classic case is a petition filed in the Bombay high court in 2005 to take away the voting rights of slum dwellers by actor Sadashiv Amrapurkar, writer Subhash Bhende and other personalities. The arguments then were similar to those made this time which essentially defined the characteristics of a good citizen. It is worth reminding ourselves that the long history of democracy is full of such discriminations— whether against blacks, women or poor. In most developed nations, some of these categories were not allowed to be part of the democratic process as late as the 1950s.

It was these concerns which led our Constitution makers to opt for a system of universal adult franchise. It was not just limited to the right to vote but also the right to contest, where the limitations are kept to a minimum. So much so that even in the case of separate electorate for certain categories such as graduates and teachers in the case of state legislative councils, the limitation was on the constituents of the electoral college and not on the candidates.

The problem is not just these disqualifications. These are just the beginning, with many states already having passed similar laws which disqualify candidates on various attributes ranging from open defecation, education, family planning norms to being sick with leprosy or tuberculosis which are beyond the control of the individual and are certainly discriminatory. The larger issue is the state using the democratic process to cover its own inadequacies in providing basic services to the citizens. By defining these as individual traits, the state is also altering the basic foundation of the Constitution where most of these have been treated as fundamental duties of the state. By doing so, the state is not just washing its hands of protecting these basic rights but is ensuring the voices representing these communities are muted. The danger of the democratic process being usurped by the elites and the executive to penalise the poor is not just redefining the relationship between the state and citizens but is also an attack on the basic intent of the Constitution and the democratic functioning of our country.

Li-Fi: A green avatar of Wi-Fi

Li-Fi is not expected to completely replace Wi-Fi, but the two technologies could be used complementarily to create more efficient, green and future-proof access networks

Li-Fi is not expected to completely replace Wi-Fi, but the two technologies could be used complementarily to create more efficient, green and future-proof access networks.

Li-Fi, or light fidelity, invented by German physicist and professor Harald Haas, is a wireless technology that makes use of visible light in place of radio waves to transmit data at terabits per second speeds—more than 100 times the speed of Wi-Fi.

Though it was discovered in the last decade, proofs of concept to test commercial utilization started emerging only in 2015. To start with, it is being tested for indoor usage, i.e., in offices and establishments, but it is also sure to go outdoor in a big way by making use of existing infrastructure used for street and traffic lights, which are already moving towards LED lamps.

Li-Fi offers great promise to overcome the existing limitations of Wi-Fi by providing for data-heavy communication in short ranges. Since it does not pollute, it can be called a green technology for device-to-device communication in the Internet of Things (IoT).

Move towards greener wireless communication

A technical solution for wireless pollution, power shortages and unavailability at outdoor locations should meet the 3L criteria: low interference, low power and low maintenance.

In addition, it has to support the three Hs of high data rates, high reliability and high affordability. Since Li-Fi relies on visual light and not radio waves as the carrier, it has potential for the first two Hs, but the last one—high affordability—may be achieved only when volumes increase, as it has in the case of Wi-Fi.

The above characteristics can be met by an all-IP (packetized) Li-Fi system utilizing existing LED lamps which are ruggedized, have a high MTBF (mean time between failure) and consume less power, therefore replacing conventional lamps on existing structures in both indoor as well as outdoor without need for any additional power supply.

To make LED lamps capable of working as an access point as in Wi-Fi, a kind of media converter is required to convert the electrical data signal into photons (light), and a light detector which converts light into electricity is required on the receiving device end.

Potential applications

Li-Fi is still in its infancy, but some fields where it seems eminently usable are street and traffic lights. Traffic lights can communicate to the vehicles and with each other. Vehicles having LED-based headlights and tail lamps can communicate with each other and prevent accidents by exchanging information. Also, through the use of Li-Fi, traffic control can be made intelligent and real-time adaptable. Actually, each traffic and street light post can be converted into access points to convert roadsides into wireless hot spots.

Visible light being safer, they can also be used in places where radio waves can’t be used such as petrochemical and nuclear plants and hospitals. Similarly, in aircraft, where most of the control communication is performed through radio waves, there are restrictions on passenger communication using the same media, which can be easily handled through use of Li-Fi.

Li-Fi can also easily work underwater, where Wi-Fi fails completely, thereby throwing open endless opportunities for military and navigational operations. Still, the technology comes with some limitations.

As visual light can’t pass through opaque objects and needs line of sight for communication, its range will remain very restricted to start with. Also, it is likely to face interference from external light sources, such as sunlight and bulbs, and obstructions in the path of transmission, and hence may cause interruptions in communication.

Also, initially, there will be high installation costs of visual light communication systems as an add-on to lighting systems. Li-Fi receiving devices will require adapters to transmit data back to the transmitter.

Challenges and opportunity in India

The lack of ubiquitous broadband access, which thereby restricts data access, and chaotic traffic management leading to traffic jams and pollution are just two of the many problems in India. Li-Fi has scope to help with both. By converting traffic lights into LED-based access points, traffic management can be made intelligent, adaptive and real-time—and so, more efficient and effective. In the same way, street lights can also be converted into Li-Fi access points, making them broadband access transmitters to mobile Li-Fi enabled smartphones, converting areas into seamless hot spots.

The main challenge is to create a Li-Fi ecosystem, which will need the conversion of existing smartphones into Li-Fi enabled ones by the use of a converter/adapter. Also, an integrated chip that has both light-to-electrical conversion and data-processing capability (Wi-Fi/Bluetooth) combined into one needs to be developed and manufactured in the millions. This is one opportunity where the country can capture the initial lead advantage, making up for earlier missed cases.

If Li-Fi can be put into practical use, every LED lamp (indoor as well as outdoor) can be converted into something like a hot spot to transmit data to every mobile device to achieve universal broadband communication between devices. Also, it presents another unique possibility: transmitting power wirelessly, wherein the smartphone will not only receive data through Li-Fi, but will also receive power to charge itself.

Is the Internet a public good?

As an enabler of development, its primary value is for providing access to other basic goods and services

The growth of the Internet in the 1990s led to the fear of a new kind of social inequity in the form of the digital divide. A contrary view was that the new technology had the potential to overcome previously existing divides, provided government support was available in order to overcome the challenges of ICT (information and communications technology) in under-served areas. A view not examined enough is the relevance of the Internet in the context of the need to balance the allocation of scarce public money among different urgent priorities.

The European Union Universal Service Directive of 2002 suggested that a necessary condition for a service to be included within the ambit of universal service is that, in the light of social, economic and technological developments, the ability to use the service has become critical for social inclusion—that is, it is a consumption norm.

Some governments have tried to operationalize the notion by setting a trigger mechanism in the form of a minimum number of users of a service that would need to be crossed before provision of subsidies for its universalization is considered. While the number of Internet users in India has multiplied, the number of active users is still too low for the Internet to be considered a “consumption norm” that a government is obligated to provide.

Government funds can also be deployed to correct market failures and realize positive externalities. Since the 1980s, sophisticated statistical techniques have been used to establish cause-effect relationships between the adoption of new technologies—the mobile phone, the Internet and broadband—and gross domestic product (GDP) growth. In India, for example, such studies show that a 10% increase in Internet penetration can increase the GDP by 1.6% in the presence of a minimum penetration level of 25%. These studies have become the basis for calls for the use of public money for Internet access and broadband expansion.

However, there are three major conceptual issues with such policy conclusions. First, these studies do not claim that the new technologies will yield positive spillovers prior to the threshold level of penetration being reached. Many under-served areas lie far below the threshold. Second, these studies do not establish that the bang per buck of the new technology is greater than that for other basic inputs such as education, roads or health. Third, these econometric studies are typically carried out with either a country or a province within a country as the unit of analysis. Given the immense size and heterogeneity of the unit, the claims do not automatically extend to the sub-unit level—for example, to rural areas within a province.

Indeed, there are reasons to believe that the externalities may not accrue in many rural areas at their present level of development. Unlike roads, the provision of digital connectivity is not sufficient to ensure empowerment or even equitable inclusion of the target population. The reaping of benefits requires the ability and willingness to use the new technology on the part of the intended beneficiaries, relevant content and applications, and affordability. Mere access without a host of complementary inputs is unlikely to lead to positive spillovers.

As per the “enabler of development” rationale, the Internet has value not in and of itself but rather as a medium that gives access to other basic goods and services. Indeed, ICT for development projects cover many domains including healthcare, education, online government services and the provision of commodity price information to small producers.

Two implications emerge from this. First, the level of provision of the basic goods and services facilitated via ICT should adhere to some consumption norm. In the case of the provision of health services, for example, the government needs to aim for a level that at the minimum achieves the targets of the Millennium Development Goals. Second, since the provision of basic services using ICT is dependent on the availability of other complementary inputs, the decision on the level of a particular ICT service that is to be provided cannot be made without reference to the presence of other complementary inputs. Continuing with the healthcare example, the ICT network should develop in rough alignment with the complementary institutions, processes and skills needed to provide remote medical services.

The provision of connectivity can to some extent substitute for the other inputs. However, the substitutability peters out beyond a point and then the provision of advanced connectivity amounts to wastage of social resources.

There is also the view that the provision of connectivity will trigger the provision of complementary inputs and the development of ability to use (“build it and they will come”). However, the experience of several government schemes in India shows that there are limits to this rationale for advance build-out of connectivity.

The conclusions from this exploration are that “universal access” to the Internet need not be interpreted as “uniform access” and the build-out of networks should be aligned to the absorptive capacity of a region. The deliberations on the national optic fibre network and “free basics” could benefit from such a nuanced approach.

Ministry of Railways Prepares Concept Paper On Rail Development Authority of India

Ministry of Railways Prepares Concept Paper On Rail Development Authority of India

The Concept Paper Has Been Uploaded On The Railway Ministry’s Website www.indianrailways.gov.in

Comments and Suggestions Invited From The Public About This Authority

The Comments Can Be Submitted By 30^th January, 2016

            Ministry of Railways has prepared a concept paper on Rail Development authority of India which has been uploaded on the Indian Railway website namely www.indianrailways.gov.in. The salient features of the Note are:

·         Minister of Railways Shri Suresh Prabhakar Prabhu in his speech for Rail Budget 2015-16 had said that for orderly development of infrastructure services, enabling competition and protection of customer interest, it is important to have a regulation mechanism independent of the service provider. The concept paper has been prepared in line with the vision presented by the Minister of Railways.

·         National Transport Development Policy Committee (NTDPC) Report of 2014 had recommended that a Rail Tariff Authority should be set up which should become the overall regulator. Later Bibek Debroy Committee Report had also recommended a regulator with overarching functions.

·         Many of the countries like U.K, Russia, US, Australia, Germany have regulatory structure in some form or the other.

·         The Authority will discharge functions in a manner to protect the interest of consumers, ensuring quality of service, promoting competition, encouraging market development, efficient allocation of resources, provide non-discriminatory open access specially on DFC and to benchmark service levels for ensuring quality, continuity and reliability of service.

·         The Authority will undertake four key functions:

o   Fixing tariff.

o   Ensuring fair play and level playing field for private investment in railways.

o   Determination of efficiency and performance standards.

o   Dissemination of information. 

·         The Authority can initially be set up through an executive order and can be subsequently strengthen through a legislation process.

·         The Authority will consist of Chairman and four other members who have experience and knowledge in railways, infrastructure, finance, law, management and consumer affairs.

ISRO is Planning to Launch Eight (8) Satellites on One PSLV: Dr. M. Annadurai

ISRO is Planning to Launch Eight (8) Satellites on One PSLV: Dr. M. Annadurai

ISRO is planning to launch eight micro satellites on a single PSLV in future, said Dr.M. Annadurai, Director, ISRO. He was addressing a session on the topic “Future Satellite Programme” in the plenary of the 103rd Indian Science Congress at the University of Mysore, today.

In this new global era where everything is becoming smaller in size and smarter in application we are also trying to reduce the size of satellites to the extent possible. The vehicle configuration for PSLV of 400km Space Shuttle Orbiter (SSO) is 1200kg. The number of micro satellites that can be carried in single mission is eight, each weighing about 120kg with total payload capacity 960kg, he added.

He pointed to the fact that, present domestic satellite communication is dominated by Fixed Satellite Services and Direct to Home Services and the future service growth areas will be communication satellites for internet, multi-media and personal communication services, direct to home high definition TV services. Apart from that, Thematic missions such as Tele-medicine and Tele-education, bandwidth on demand services, E-Governance, secured communications and satellite aided navigation are expected to grow, he added.

He stressed the need for production of Space Systems to meet the huge demand for satellites and also to strengthen basic Research and Development. This will boost the increased participation of Indian industries in Space Programme in the areas of electronic systems, mechanical systems, assembly, integration and testing of satellites. Focusing on “Make in India” concept for end-to-end production of satellite from industries within the country would help us to achieve further self reliance.

The other resource persons of the plenary talk were Dr. Vinay K Dadhwal who briefed the gathering on the dimensions of Indian Space Programme and outline of Earth Observatory, Dr. S. K. Shivakumar on the topic “Mars Orbiter Mission- overview”, Dr. V. Koteswara Rao on the topic “ASTROSAT- A multi wavelength Space Observatory”and Dr. S Somanath on the topic “ISROs Launch Vehicles- Growth of Capability”. Prof. D N Rao, Chennai, chaired the programme. Delegates, students and participants from various states and countries enthusiastically participated in the session.

To target the LPG subsidy better, the number of subsidised cylinders must be reduced from 12 to nine per family

To target the LPG subsidy better, the number of subsidised cylinders must be reduced from 12 to nine per family

 

At a chance meeting with Dharmendra Pradhan, the minister for petroleum and natural gas, at a wedding reception in late February 2015, I remarked that I was being bombarded by SMSes asking for my bank account number to deliver LPG subsidy. As a life-long opponent of the universal petroleum subsidy, I did not think it right for me to take the subsidy and ignored the messages. But the consequence was that the local distributor could not give me a cylinder at full price without "completion of the process". The distributor needed my bank account details. We suggested to the minister that there needs to be a mechanism where we can say no to the subsidy.

The day after our interaction, I received a call from the ministry of petroleum and natural gas (MoPNG) requesting my local distributor's name and asking when a representative could meet me. I insisted that no one needed to take the trouble to meet me; we merely wanted some options, either through a form or a website that would allow me to opt out of the subsidy. To their credit, the ministry did not leave it at that. I was at a function in Vigyan Bhavan on March 27, when Prime Minister Narendra Modi released a web-app through which citizens can give up their subsidy and said that this trend was already gaining momentum. The ministry made a promise to deliver that foregone subsidy to a needy family. Since then, in a short span of nine months, 5.75 million customers have given up their subsidy. The ministry realised that those who gave up also included retired soldiers, senior citizens and others who cared for those toiling and scrounging for biomass to cook.

Now comes news that the benefit of the LPG subsidy will not be available to consumers if the consumer or his/her spouse had taxable income of more than Rs 10 lakh during the previous financial year, computed as per the Income Tax Act, 1961. India has less than 1.8 million such people. Given India's inequity, there would be around 300,000 families with more than two such persons per family. That leaves 1.5 million families. Hopefully, 50 per cent may have given up already and the rest who are either lazy or too busy or stingy who would be now shamed to contribute. Thus, an additional 750,000 is a much smaller number compared to the 5.75 million from the give-up scheme. Though not a substantial addition, this group has important symbolic value.

However, the ministry needs to ensure that the "give-it-up" programme remains successful. It is a broad-based and participatory movement, and needs to continue if it is to have a bigger impact. In fact, there is a worry that the non-contributing rich may discourage simple people from contributing, as they did so far.

The above two measures, though significant, are small steps in a long journey. Whether it is COP 21 at Paris or UN discussions on Sustainable Development Goals, India mentions at every platform that millions of persons have no access to energy. Yet, for more than 65 years, the only measure taken was to give subsidised LPG to all! In 1980, when we were projecting energy demand till 2000 in the Planning Commission, we thought the problem would be reduced substantially by 2000. But the 2001 census showed only 13 per cent LPG coverage. The 2011 census was disappointing at 28 per cent coverage. Even assuming some progress till 2015, close to 160 million households have partial or no coverage. Clearly, the trickle-down theory is not working.

We need to chalk out a more aggressive, time-bound plan. The logical extensions for the MoPNG can be divided into two sets of measures.

To target the subsidy even better, reduce the number of subsidised cylinders from 12 to nine per family (surveys by Integrated Research and Action for Development or IRADe show this is the average demand for a lower middle class family, which is not too poor); consider stopping the subsidy by clubbing family income to Rs 10 lakh instead of individual income at Rs 10 lakh, by including the income of all earning members; and more ambitiously, reduce that to Rs 5 lakh per family over the next few years.

To increase reach and access to new deserving families, ensure the presence of more LPG distributors in the rural areas, promote five-kg and even two-kg cylinders to suit their pocket and add free stoves for people below the poverty line. For consumers in large cities, a network of piped natural gas (PNG) is a feasible solution and avoids transport of heavy cylinders. It has reached nearly three million customers but more is possible with better campaigns and infrastructure.

In some rural areas, where electricity is more easily available, cooking through electric kettles, electric hot plates and efficient induction cookers may be promoted. These appliances also reduce women's work and can be afforded by some well-off rural households. These solutions cost Rs 3000 or less, and may be easier than LPG, as electricity coverage at 70 per cent families in the country is much higher than that of clean fuels. Energy-saving cooking practices are also needed for all income categories.

If India is to attain rapid economic growth, women need to be empowered through healthy indoor environments, and lives free from the drudgery of collecting fuels. LPG or a multi-fuel strategy can change lives and even save lives from pollution.

A time-bound blueprint for the transition to clean cooking solutions for all needs state-wise programmes and annual budgets. This must be the government's vision. As women have started to vote aggressively, there will not be a choice in future.

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Need for deeper pension coverage

It’s important for key stakeholders to engage in a discussion to find ways to deepen pension coverage 

India has a young pension industry with schemes such as the National Pension System (NPS), a defined contribution scheme, and the Atal Pension Yojana, a defined benefit scheme targeted at the unorganised sector, that are less than a decade old.
Owing to the increased focus, trends in the pension industry have changed dynamically, and more changes are expected in the new year with regards to regulation, design and charging structure of NPS, pension plans offered by life insurance companies and retirement plans offered by mutual funds. Even though these products have the common objective of pension fund accumulation, charges levied on customers and incentives given to distributors vary widely, creating product arbitrage. Since the NPS is a low-cost product, charges should be conducive to developing a strong distribution network and manage funds.
There are other government schemes available for long-term investments, such as the Public Provident Fund (PPF) and Employees’ Provident Fund (EPF), which are also used to accumulate a retirement corpus. However, these are merely long-term savings schemes since their benefits are not mandatorily in the form of a retirement income. Therefore, it is important to develop pension products that are specifically targeted at retirement income.
For NPS, the immediate focus needs to be on sustainability of the product and on ownership. The Bajpai Committee that was formed to look at the challenges facing NPS, suggested assigning the ownership to pension fund managers (PFMs), which will also help PFMs increase their assets under management (AUM). The Committee’s report also added that there was a need for the regulator, Pension Fund Regulatory and Development Authority (PFRDA), to reconsider PFM charges, and perhaps introduce a fixed and variable component in the fee, as the existing charges were not sufficient for them to sustain in the long run. The cost that PFMs bear is much higher than the current fund management charge of 0.01% arrived upon through a flawed bidding process. Though PFRDA is promoting NPS as a low-cost pension scheme, the low cost itself has become the reason for the slow take-off of the scheme. PFRDA must come up with a solution in 2016 to incentivise PFMs appropriately and to keep charges low since this is a mass product.
The regulator should introduce a facility to open NPS accounts online for those subscribers who do not have to submit physical documents. This will give a much needed fillip to subscriptions. PFRDA also plans to increase NPS penetration among non-resident Indians through banks
Further, the regulator is also expected to provide an option to subscribers between annuity and systematic withdrawal plan at the time of retirement. .
Earlier this year, the government had announced exclusive tax benefit of Rs.50,000 for NPS investments, beyond the Rs.1.5 lakh cap under section 80C of the Income-tax Act, 1961. The PFRDA has also taken various steps to make NPS more subscriber-friendly, including mandatory processing of online withdrawal request, which is to be made live by 1 April 2016. These steps have helped the NPS get better traction; the monthly business sourcing in the retail segment increased 10 times in November 2015 compared to the same month previous year. PFRDA has also sought parity in tax treatment for NPS with EPF (exempt, exempt, exempt), and the same has been recommended in the 7th Pay Commission report. These developments will pave the way for fungibility between EPF and NPS.
There can also be radical changes in EPF with the amendment in the definition of wages as proposed by the labour ministry, which would impact the net salary of employees. The Employees’ Provident Fund Organisation may also consider bringing down administration charges paid by the employer on PF contributions of employees.
According to a World Bank report, gross domestic savings in India are relatively higher than in the US, the UK and other developed nations. But the current scenario in India is marked by insufficient pension coverage, with only 8% of the population covered. Life expectancy is expected to grow. But fiscally, the government can’t ensure social security to such a large population. Therefore, it’s important for key stakeholders to engage in a discussion to find ways to deepen pension coverage.