Please Clear the Following

Among them are very important legislations that could have serious implications on the economy, currently going through its lowest phase in a decade. Also waiting are Bills like the Lokpal Bill, dealing with corruption in high public offices. Official records show it has been pending since August 2001, but actually, it has been around in Parliament in one form or the other since 1969!

Then there’s the Right to Information Bill, of similar vintage, and the much-hyped Election Laws (Amendment) Bill, which aims at initiating electoral reforms and cleansing the political system.

While some of these Bills, experts say, could trigger major debate and take time to iron out, the delays in the passage of economic bills defy all logic. Eight of the 43 pending bills relate to legislations the Ministry of Finance needs to boost economic activity and impose financial discipline. These Bills could have a far-reaching impact on the growth of the Indian economy and its global competitiveness.

Top among them is the the Fiscal Responsibility and Budget Management Bill, which was introduced in Lok Sabha on December 20, 2000. The Bill was fashioned to impose some discipline on government spending so as to keep the fiscal deficit in check. Government downsizing, restrictions in expenditure ‘‘by the mantris and their santris’’ — as it is popularly referred to — will all become serious business only after this Bill is passed.

The most important Bill, essential for financial reforms in the corporate sector, is the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Bill, which aims at empowering banks to recover loans (given to large and small industrial houses) that have become bad debts or non-performing assets.

Taken together, the nationalised banks account for close to Rs 70,000 crore in loans — given to some of the biggest industrial houses in the country — that have not been repaid. The Bill was introduced on July 19 this year. Though an Ordinance is currently in force, it is imperative that the Bill be passed before the Ordinance lapses.

Then there’s the Banking Companies (Acquisition and Transfer of Undertakings) and Financial Institutions Laws (Amendments) Bill, introduced on December 13, 2000, that looks at banking reforms and cuts government equity in nationalised banks from 100 per cent to 33 per cent.

Other important financial Bills awaiting Parliament’s nod are the Financial Companies Regulation Bill, which has been pending since December 2000; the Sick Industrial Companies (Special Provisions) Repeal Bill, pending since August 2001; the Negotiable Instruments (Amendment and Miscellaneous Provisions) Bill, introduced in July 2002 and Prevention of Money Laundering Bill, introduced in December 1999.

The Electricity Bill is another important Bill that has a crucial role in initiating power sector reforms in the country. It proposes streamlining the working of the financially beleaguered State Electricity Boards, stumbling blocks to private investment in power generation and all consumer and industry hope for power sufficiency in the near future.

The Communication Convergence legislation is supposed to replace the TRAI Act 1997, but no one, except the Ministry of Communications, seems to want it. The Bill has been opposed unequivocally by the industry and consumers, who have labelled it ambitious, but retrograde, even when compared to the current legislation. Multiple presentations have been made outlining specific section-by-section deficiencies in the Bill to the Parliamentary Committee headed by Somnath Chatterjee.

The Bill, according to industry experts and consumer bodies, is vague, leaving too much discretionary power in the hands of the proposed Commission. The bill is specifically inadequate while dealing with issues of competition and abuse of market power, interconnection and access norms, conflict of interest, process of migration to convergent licenses, transparency in selection of members and principles in allocation of scarce resources etc. The Bill was first introduced in August 2001.

The Competition Bill is yet another important piece of legislation that is hanging fire. It could improve fair competition and also reduce the load of litigation. It has been put together by a distinguished set of experts and is well defined in its scope and content. However, it has some crucial shortfalls under which the government can exempt any class of enterprise from the provisions of the proposed legislation citing, amongst others, public interest as a reason.

Also, the Bill allows the government freedom to issue directions on the question of policy. This, points out the corporate world, undermines the very purpose of the Bill.

The Petroleum Regulatory Board Bill deals with the establishment of an independent regulator, which will ensure that prices and competition issues are resolved independent of government intervention after the private sector becomes a player in the oil sector.

Equally significant are Bills like the ones for the Protection from Domestic Violence — introduced in March this year — Prevention of Food Adulteration, Medical Termination of Pregnancy (Amendment) and the Essential Commodities (Amendment), which will lift the ban on inter-state movement of grains in favour of free movement.

With such important Bills hanging fire, the members’ oft-repeated excuse that all Bills require debate as ‘‘the future of the country and its millions are at stake’’, has to be taken with a pinch of salt.

After all, the Information Technology Bill became an Act with a couple of hours’ debate each in the Rajya Sabha and the Lok Sabha. And the 2002 Budget, which covers 100 crore people for a whole year, was passed without any debate whatsoever amid the din over the Gujarat affair.