Is India being put on mega sale?

As is the habit with Prime Minister Narendra Modi, of announcing high-sounding grandiose plans like Stand-Up India, Start-Up India, etc., finally he has come up with a mega India Sale, with what is touted as National Monetization Pipeline (NMP) programme. It seems to be the grand finale for the Modi government, as it sounds more like India on Sale. The national assets, assiduously built up over the past seven decades, are being handed over to his few industrialist friends, on a platter, in the name of the high-sounding National Monetization Pipeline programme.

This is nothing short of legalised loot. What else is it? The aim is to profit his few corporate friends. With Prime Minister Modi committed to the welfare only of his corporate friends, the national assets are no longer safe in his hands. This is a double whammy for the common man. On the one hand, the economy of the country is in bad shape, with declining GDP, sky-rocketing prices, job losses, farmers' unrest and industrial slowdown. On the other hand, with the National Monetizing Pipeline programme, the future of the younger generations is at stake, as this will mean no hope for their jobs security and no hope for new jobs, with the national assets being made over by Prime Minister Modi to his industrialist friends.

Prime Minister Modi is bent upon selling away the invaluable national assets worth Rs 6 lakh crore, which include railways, roads, mines, telecom, power, gas, airports, ports, sports stadia and what not! Justification for the NMP is that it is meant in the main to fund the Rs 100 lakh crore Infrastructure Development Programme, called Gati Shakti. But according to Union Finance Minister Nirmala Sitaraman, through the NMP, the Modi government aims to mobilise Rs 6 lakh crore. If all the assets are sold for Rs 6 lakh crore, will it be enough to complete Rs 100 lakh crore Infrastructure Development Programme?

Assets would be gone, and the Modi government would still be groping for funds. There is no rhyme, reason or logic to it. Consider this. Prime Minister Modi announced Rs 100 lakh crore National Infrastructure Development Programme. Now this is a mind-boggling figure. The total Union Budget size is Rs 25 lakh crore, which funds over 55 Union Ministries. The Gati Shakti is Rs 100 lakh crore. Four times the amount of the total Annual Union Budget for infrastructure development makes one wonder, whether the Modi Government is in its senses in making such claims.

Prime Minister Modi failed to even reveal the source of funding for such a programme costing an astronomical figure. For seven years, Modi has been thundering to his audiences that the Congress did nothing in the last 70 years. But much to his embarrassment, his own Cabinet colleague, the Union Finance Minister, spelt out assets that are up for sale, which only goes to provide a glimpse into the tremendous work done silently by the Congress during the past seven decades.

The Congress has built up enormous assets and the Modi government Sale List says it all: 26,700 km of roads; 28,698 km of power transmission assets; 6,000 mega-watts of hydel and solar power assets; 8,154 km of natural gas pipelines; 3,930 km of petroleum products pipeline; 210,00,000 metric tonnes of warehousing assets; 400 Railway Stations, 90 passenger train operations and 260 goods sheds; Konkan Railways and Dedicated Freight Corridor; 2,86,000 km of fibre network; 14, 917 Telecom Towers; 25 Airports; 31 projects in 9 major ports; and National Sports Stadia.

Railways are the national lifeline. For this reason, the Congress considered it as strategic sector, not to be privatised. Now, that is being privatised. Similarly, Air India is the National Carrier that links even remote and far-flung areas; but even that is being privatized. Public Sector Undertaking Units (PSU) are being sold for sing-song price, only to fill up the gaping holes in the Union Budget.

The Visakhapatnam Steel Plant, the pride of Andhra Pradesh, is a classic example. The Congress did try out the process of monetization, but it was never done in the present fashion of outright sale, aimed at benefitting few crony industrialists. The Congress chose the Public-Private Partnership (PPP) Model. It considered privatising the non-core, loss-making assets. It was opposed to monopoly and never allowed it during its time, in stark contrast to the Modi government. The Congress never sold strategic assets. It ensured that there is no monopoly in monetization. Choice of assets for privatisation was based on criteria. Now, the Modi government has to come clean and make it known what provisions will be included to prevent monopolies from emerging in ports, airports, telecom and power sectors. The most important and pressing question is what are the objectives of the National Monetization Pipeline? Is the sole objective raising revenue over a four-year period? Or, is it funding the National Infrastructure Projects? The Modi government is deliberately and purposely keeping the nation in the dark over this vital issue.

The Modi government plans to give away national assets on lease. Imagine! If an asset is given on 30 years lease, what will be its value, as and when it is returned? During the period of lease, will there be proper maintenance of the asset? It is unlikely, because there is no ownership with them and no stake in its maintenance, as such. Apart from this, there will be depreciation in the value of the asset.

Besides, the other more important question is at what cost is it being given out on lease? In what condition will it be returned, say after 30 years? These are all the disturbing questions that need to be answered by the Modi government. Price rise for the end-user is another big concern. Unless there is effective regulation, prices will go up. More pressing question relates to job security. Are there any job security guarantees included in the lease agreements? The Modi government is silent on maintaining the current level of jobs in assets that will be monetized. What about retaining the existing workforce on these assets? Will they be retained or retrenched by the new managements? If there are job losses, does the Modi government at least have an estimate how many workers will lose their jobs and be out on the roads?

Besides, it is unfair to make sweeping generalizations about the public sector, if any PSUs are loss-making. If PSUs are not doing well, there is a way to infuse capital, bring in new technology and managerial talent, in order to bring about a turnaround. In fact, several countries have public railways system. This can be seen in advanced countries like Britain, France, Italy and Germany, where there is excellent public railway infrastructure. The real issue is the incompetence of the Modi Government to manage things and Prime Minister Modi's single-minded devotion to profit his corporate friends that can sound the death-knell for national socio-economic prosperity.

(The writer is AICC Secretary and former MLC)