Wednesday, July 14, 2010

THE SANTOSH HEGDE FARCE: A LAMENTABLE ANTICLIMAX

On June 23, N.Santosh Hegde,the Lokayukta(Ombudsman) of Karnataka resigned from that prestigious advisory post over the state BJP government’s refusal to crack down on the Belekeri port scam(relating to 3.5 million tons of illegal iron ore) and the subsequent suspension of Deputy Conservator of Forests R Gokul.
This sent shockwaves across the nation. The institution of Lokayukta or anti-corruption ombudsman, mooted by the Morarji Desai-headed Administrative Reforms Commission (ARC) in 1966 was supposed to be a ‘bulwark of democratic government against the tyranny of officialdom’.Sadly, it turned out to be an ineffectual, even ludicrous, institution that politicians could bypass at will. It had the power to complain and recommend but not to punish or even to conduct independent inquiries. In short, it was a watchdog without teeth. Frequently, officials indicted by state lokayuktas would be promptly reinstated.This, felt Hegde, was a “slap on the face of the Lokayukta”.
Hence, Justice Hegde’s resignation and his announcements at a crowded press conference were rightly lauded as a bold way of calling the government’s bluff. It was in many ways reminiscent of his illustrious father, the late Justice KS Hegde, who resigned from the Supreme Court of India in protest against his supersession by former Prime Minister Indira Gandhi, contributing to events that culminated in her imposition of national Emergency.
In this light, recent events become even harder to digest. Justice Hegde eventually withdrew his resignation from Governor HR Bhardwaj and apologised publicly to the people of Karnataka for his “mistake”. It was a scene straight out of a vintage Bollywood tearjerker: the prodigal son’s return to fold! He even went so far as to say,” I have decided to take back my resignation only for the regard I have for Mr.Advani,who is like a father figure to me[Wow!].” and added(Can you believe it?) “There is no politics here.” O c’mon Santosh, whom are you kidding, anyway? This utterly disgraceful turn of events will allow many portentous issues to be summarily swept under the carpet.
Our anti-corruption crusader, who proclaimed a lifelong war against the “mining mafia” (he once told Vijay Simha of Tehelka that “Mining Leases are being used as James Bond’s gun to kill anybody---anytime and anywhere”) now comes across as a smart-talking publicity hunter. An agonising, counter-productive anticlimax: as if Batman suddenly decided that the Joker is his best friend, after all. Or like Aung Sang Suu Kyi suddenly apologising to the Myanmar’s despotic junta. Or Obama suddenly cosying up to the Al Qaeda. Ugly.
In the aftermath of this fiasco, at least some good has come to pass. In a damage control exercise the BS Yeddyurappa-led Karnataka Government has decided to bestow suo motu powers on the Lokayukta to act against corruption, but with strings attached. Notable is the fact that an Upalokayukta is yet to be appointed, despite repeated demands. Elsewhere, the institution is in similarly dire straits. For example in Maharashtra, even the identities of the defaulters are not disclosed; such are the legal bottlenecks our ombudsmen have to face.
This is a shame.

Wednesday, July 7, 2010

BEAUTY SURVIVES---SPAIN ARE THROUGH TO THE FINAL!!!

First, the facts.Spain, on the 7th of June, 2010, outsmarted Germany in a ridiculously lopsided 1-0 win to book a place in the final of the first African World Cup. The only goal of the match came from the head of Catalan central defender Carlos Puyol from a viciously curling corner kick delivered by Xavi.Spanish possession was more than 60%.
But statistics do not even BEGIN to tell the story. It was a victory not just for the classy Spaniards, but for every single lover of La Jogo Bonito(The Beautiful Game)...We witnessed not just a game of football-----not merely that!---but an orchestra on the grandest possible scale: sensuous touches, exquisite through-balls and intricate passing...Spain versus Germany felt like watching a peacock dancing amidst lashing rain, with that one flash of lightning(Puyol’s goal) and some rolls of thunder(other shots on/off target) momentarily taking our entranced eyes off its dazzlingly colourful feathers. A slow, deliberate dance of courtship mesmerised one and all.Aaah, if only it didn’t have to stop!
In a Hindustani classical music piece (a Raaga), the song is a minor part of the performance. The real beauty lies in the aalap and the taan, where the singer explores the musical ‘mood’ of the entire composition. Ditto for this match. The goal was but an aberration, the passes were a passionate search for footballing nirvana, the game was an end in itself...If football is a celebration of life, here it was proved. And I was there; I saw it happen, LIVE!
But then, it could all have been so different. Time and time again we have seen Jose Mourinhos and Italys getting the better of the Barcelonas and the Argentinas of our game, the latter teams’ enthralling passing routines and inventive genius falling to tactical supremacy and lifeless discipline.Elsewhere, the industrious Nadal has had the measure of poetry-in-motion Federer...More often than not. Schumacher’s swansong was wrecked by a car crash in Japan. Tiger Woods, he of the almost-vertical shots, was beaten to it by personal life. Artistry in sport was dying a slow death, painful to all but inevitable, irreversible.The writing on the wall was clear: superb Spain would never go past the quarterfinals of a World Cup. And then, it all changed. Good old Carlos had other things in mind....White-shirted Germany was knocked out by the players donning red-and-yellow. The Rainbow Nation saw colour and beauty prevail, despite all odds (Well, an octopus predicted this too lolz!). Death to counter-attacking football, a victory of technique and flair over unimaginative catenaccio.Finally!!!
It feels like a personal vindication. Hurrah!
P.S. Spain might yet lose. The Oraanje might prove to be better than the Germans. But for now, this will do (in addition to Villa’s sublime goals, of course).

Friday, July 2, 2010

INDIA AND THE SHALE GAS REVOLUTION

As we in energy-starved India were sleeping, the world awoke to the magic of shale.
As a result, gas prices plummeted from $13/mmbtu(million British thermal units) four years ago to just $4/mmbtu today, even as the price of oil doubled. Shale, that is, thin compressed layers of soft rock formed from mud and clay, is a wonder source of natural gas which has caused an energy glut where previously there was dire scarcity. These unconventional, eco-friendly deposits have raised estimates for US gas reserves from 30 years to 100 years at current usage rates. In fact, the share of shale gas in the US gas production has shot up from zero to 8% in the last decade. One single deposit, the Barnett Shale in Texas, produces 1.1 trillion cubic feet per year, and other deposits (Bakken, Haynesville) could be just as productive. India, the world’s fifth largest consumer of energy, is burdened with a mammoth import bill for nearly 25 per cent of its gas needs. Shale gas could, therefore, bring about an economic renaissance. But the big question is: ARE WE READY?
Tapping shale gas deposits wasn’t considered commercially viable before Houston billionaire George P Mitchell pioneered new extraction techniques in the 1990s.Shale being non-porous; it does not flow from a normal well. The new technology cracks open shale with sand and water under high pressure, opening up the formation and allowing gas to flow. North America is where shale production really took off, so it naturally holds all the cards when it comes to the finer points of extraction technology. Without the requisite technological expertise, which can be acquired only by tying up with US/Canadian companies, it is difficult to implement any national production blueprint. For this, we need a China-style memorandum of cooperation with the US, which, by the way, can be sealed in November itself when President Obama arrives for bilateral talks.Unfortunately, despite talks on the subject; India hasn’t pursued a similar partnership. The ONGC in fact still accepts the outdated oil-gas linked price formula which Gulf countries like Iran and Qatar are reluctant to alter, which implies that India will have to pay $10/mmbtu at today’s oil price of $70/barrel, and a whopping $20/mmbtu for gas if oil returns to its 2008 peak of $150/barrel. This is patently absurd.
India, moreover, is intent on the quixotic Iran-Pakistan-India oil pipeline, which is tantamount to economic and political hara-kiri. A Kissinger-style “leaning away” from Iran, an international bête noire, could also further India’s democratic credentials, paving the way for a permanent Security Council seat. Why then, is the government’s top brass so myopic?
The Chinese establishment, on the other hand, have shown commendable far-sightedness in this regard. Their aggressive shale policy is apparent when one considers their largest state oil firm, the CNOOC, which has engaged the Canadian company Vangold (based in Vancouver, British Columbia) on possible joint stakeholding in exploitation of Kenyan reserves. Elsewhere in Europe, where the bid to overthrow Russian energy supremacy is being carried out on a war footing ,Hess Co. and Torreador Resources Co. are committed to jointly exploiting the Paris Basin reserves. Can we afford to lag behind?
The good news is that RIL (Reliance Industries Limited) has been the first to grasp the new opportunity. It has just bought a 40% stake in the operations of a US company, Atlas Energy, in the Marcellus Shale, a huge deposit extending from New York to West Virginia.Essar Oil, too, has evinced interest (Non-state players thus seem to be better advised).They will, however, be hampered by governmental price control and other legal handicaps. The ridiculous ban on exploration of shale deposits even in their own exploration blocks is another perfect example of India’s economic naïveté.
We desperately need to attract experienced global firms such as BHP Billiton, BG Exploration and Cairns Energy to take advantage of their technological know-how. Our shale basins, mainly those in Cambay(Gujarat),Assam-Arakan(in the North-East) and Gondwana(in central India),can be put to auction under Production Sharing Contracts(PSCs),which could reap a gas bonanza similar to that in the US. Seismic surveys on a massive scale are needed to produce basic data.
If we play the shale game well, edging out China and Europe, shale gas (like Boost in that unforgettable advert) could well become the secret of our energy. But is Oil Minister Murli Deora willing to give his best? That remains to be seen...
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