UPA Govt on overdrive,Cabinet skips GoM option

Under attack for the drift in governance since it returned to power in 2009,the UPA government has gone on overdrive to regain lost ground.

Under attack for the drift in governance since it returned to power in 2009,the UPA government has gone on overdrive to regain lost ground. In an indication of Prime Minister Manmohan Singhs attempt to bring the focus back on governance,the agenda for Tuesdays Cabinet meeting was revised at least twice making the last addition to it,the National Manufacturing Policy,as late as Monday night.

At the Cabinet meeting,as there were some differences of opinion about some points in the proposed Companies Bill,the by now familiar option of referring it to a Group of Ministers (GoM) was abandoned and Corporate Affairs Minister Veerappa Moily was,instead,asked to sort it out in consultation with Finance Minister Pranab Mukherjee,Law Minister Salman Khurshid and Deputy Chairman of the Planning Commission Montek Singh Ahluwalia. The main point of contention was said to be the proposed 2 per cent levy on the companies profits to be set aside for Corporate Social Responsibility.

While Moily was learnt to have argued that the levy was not mandatory,his ministerial colleagues pointed out the apprehension of the corporate sector about the levy becoming a part of the legislation. When contacted,Moily said,I cannot comment on the issues discussed but they are minor and we will sort it out in a few days in consultation with the Finance Minister. It has not been sent to the GoM.

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The National Manufacturing Policy,approved by the Cabinet on Tuesday,had been cleared by the GoM in just one meeting.

Sources said a senior minister met Congress president Sonia Gandhi a few weeks back and brought forth the issue of GoMs causing unnecessary delays in decision-making. He was said to have impressed upon her the need for quick action in policy matters to change the perception about drift in governance. According to sources,there have been several brainstorming sessions since the controversy over a Finance Ministry note regarding 2G spectrum allocation broke out. It was agreed that the government needs to re-embark on its reforms agenda to arrest the perceived drift and to divert the focus from scams and corruption charges.

The urgency to bring the focus on governance was evident from the additions to the Cabinet agenda for Tuesday. The agenda,as circulated on Saturday,had eight items,including the recommendations of the Wage Boards for working journalists and non-journalists. On Monday afternoon,15 more items were added,including the scheme for creation of National Optical Fibre Network for Broadband Connectivity of Panchayats,1 per cent interest subvention on housing loans up to Rs 15 lakh,and the Companies Bill,among others. Late on Monday night,the National Manufacturing Policy was added as the 24th agenda item.

There has also been a flurry of activity in the government to finalise legislations,which,along with the Lokpal Bill,will be tabled in the winter session of Parliament to address the concerns raised by Anna Hazare and other members of the civil society. For instance,the Prime Minister himself is said to be personally monitoring the drafting of the electoral reforms.

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