Thursday 11 June 2009

What does this government hold in store?

There was initial relief that the left is no more part of the government. That has been shortlived as there are apparently worse forces at work. The government needs money. One way to get this is to remove the administered pricing mechanism (APM) (not exactly sure about what this exactly is, but it is primarily the reason why our fuel prices did not shoot up even when international crude prices did). Enter Mamata di. There are some elections (assembly i think) coming up in Bengal. Raising prices before elections is anathema! I hope it happens at least after the elections. I know, no one likes higher prices. But that way at least usage will come down and more people will opt for public transport or will pool vehicles (message to the government - improve public transport, fast). Btw I think Mr Karunanidhi is also dead against raising fuel prices. I think these two will more than make up for the left's absence in the present government. Even after the APM is removed prices of LPG and kerosene will still be regulated - this was the plan. An interesting piece of trivia. Kerosene is cheap because the government provides a subsidy hoping the poor will benefit. Where does a lot of this go? Into adulterating petrol (and/or diesel, I am not sure).


A Raja who apparently has cost the previous UPA government 60,000 crores (yup, crores) in revenue because of the opaque way he allotted 2G spectrum is back as the IT minister. TR Baalu who has supposedly demoralised the entire ministry of transport is also back. Raghuvansh Prasad Singh of the RJD who supposedly did some good work as rural development minister has not been allowed by Lalu to join this government (talk about sour grapes!). I am not casting aspersions on the man's abilities but I am still confused as to why SM Krishna has become the MEA.


What is going to happen to this country?

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